Cambodia Investment Review
Phillip Trustee (Cambodia), an associate of Phillip Bank has obtained a trust license from the Trust Regulator (TR) in Cambodia, allowing it to expand its business and attract more foreign investors to the country. The trust sector in Cambodia is still relatively new, but it has grown alongside the country’s flourishing real estate market.
Phillip Trustee (Cambodia), an associate company of Phillip Bank, aims to provide four key services to foreign investors: holding property, fund retention, sale and purchase agreement (SPA) service, and escrow service. These services are designed to enable foreign investors to own tangible assets and grow their businesses in Cambodia.
“We are excited to enter the trust sector in Cambodia and offer our services to foreign investors,” said Mr. Ong Teong Hoon, Director of Phillip Bank said . “With Phillip Trustee, we aim to support our customers in owning assets and growing their businesses in the country. We believe that our expertise and resources, combined with the growing demand for trust services in Cambodia, will allow us to succeed in this new venture.”
Leverage the resources and facilities of Phillip Bank
Phillip Trustee is able to leverage the resources and facilities of Phillip Bank, which has more than 10 years of experience in financial management in Cambodia. The trust company will work closely with foreign investors to determine the appropriate trust structure for their needs and investment purposes. Individual trusts can be customized for the benefit of the trustor, as well as for certain individuals or families. Social trusts, intended for charitable purposes, can also be accommodated by Phillip Trustee.
“The trust law in Cambodia provides a unique opportunity for foreign investors to safely and securely own assets and grow their businesses in the country. Phillip Trustee, as an associate company of Phillip Bank, is committed to supporting foreign investors in utilizing the trust law to their advantage and facilitating the growth of their businesses in Cambodia,” Mr. Ong Teong Hoon further commented.
“Our team of experts will work closely with investors to determine the appropriate trust structure for their needs and investment purposes, ensuring that all necessary tax and legal requirements are met. We look forward to helping foreign investors take advantage of the trust law in Cambodia and achieve their investment goals,” he added.
Clarification around taxation of Cambodia’s trust law
There is currently some uncertainty around the taxation requirements of the trust law in Cambodia, but Phillip Trustee is compliant with all necessary tax and legal requirements. The trust sector in Cambodia is still in its early stages of development and the framework for taxation is expected to be established in the near future, bringing greater clarity to this issue. In the meantime, Phillip Trustee plans to adhere to all necessary reporting and tax requirements in order to maintain transparency and soundness.
Phillip Bank’s overall strategy is to diversify its financial services and provide both banking and non-banking options to its clients. Trusts can serve as a form of investment that generates passive income for investors, and it is the role of Phillip Trustee to support customers in their investments, particularly in the acquisition of immovable assets. The trust company has the responsibility of ensuring that foreign investors are the beneficial owners of these assets, even if they are otherwise prohibited from owning them in their own names.
Phillip Trustee aims to provide top-quality services
Cambodia now has over $300 million in assets under trust management, according to leading stakeholders in the industry. In 2019, the Royal Cambodian Government implemented its Trust Law to set out rules and procedures for the establishment, registration, management, and control of five types of trusts: Financial, public, commercial, social and personal trust. Phillip Trustee will operate in accordance with this law and related laws and regulations.
Overall, Phillip Bank’s entry into the trust sector in Cambodia represents a significant expansion of its business and an opportunity to serve more foreign investors in the country. Phillip Trustee aims to provide top-quality services to these investors and facilitate the growth of their businesses in Cambodia.