peer reviewed ; In 2004 the Business and Law Research Centre of the Radboud University Nijmegen reinstated the International Working Group on European Trust Law, which previously produced the book Principles of European Trust Law edited by Professors Hayton, Kortmann and Verhagen, published in 1999. The Working Group on Trust Law was subsequently enlarged, so as to prepare the way for a new law on protected funds in the EU and backed by a broad range of National Reports explaining the current legal position and considering implementing the protective fund directive into national law. By doing so, the International Working Group on Trust Law has shifted its purpose. Instead of reviewing or consolidating current law, as was the case in previous projects, it has taken a step further by working towards a proposal for new legislation in the European Union. The result of this proposal - a draft Directive on Protected Funds - is presented in this book.