Bermuda has enacted the Trustee Amendment Act 2025, clarifying trustees' ability to adopt responsible investing approaches that not only consider financial returns but also reflect the settlor's and beneficiaries’ wishes on broader social, environmental and other impacts.

The legislation, which has immediate effect, is centred on the responsible stewardship of wealth and creates a framework for modern fiduciary practice. It takes into account key principles, including that fiduciary duties should include the consideration of non-financial factors’ impact on financial performance.

Further, it accepts that settlors’ and beneficiaries’ views and wishes regarding the impact of trust investments on wider society and the environment are relevant considerations for trustees; as well as the fact that responsible investing approaches can support long-term value creation and sustainability for families.

The reform provides legal certainty for trustees, a stronger alignment of trust administration with family values and the fostering of investment in sustainable development.