New South Wales Consolidated Acts

AUSTRALIAN CATHOLIC UNIVERSITY ACT 1990 - SCHEDULE 1

SCHEDULE 1 – Investment of University funds

(Section 8)

1 Definition of funds

For the purposes of this Schedule, the funds of the University include funds under the control of the University and real property, securities or other property comprising an investment.

2 Investment common funds

(1) The University may establish one or more investment common funds.

(2) The University may from time to time, without liability for breach of trust, bring into or withdraw from any such investment common fund the whole or any part of any trust funds or other funds of the University.

(3) Subject to subclause (4), the University must periodically distribute the income of each investment common fund among the funds participating in the common fund, having regard to the extent of the participation of each fund in the common fund during the relevant accounting period.

(4) The University may, if it considers it expedient to do so, from time to time add some portion of the income of an investment common fund to the capital of the common fund or use some portion of the income to establish or augment a fund or funds as a provision against capital depreciation or reduction of income.

(5) If an investment is brought into an investment common fund:

(a) the University is to be regarded as holding that investment on behalf of and for the benefit of the common fund instead of the participating trust fund or other fund, and

(b) that participating fund is to be regarded as having contributed to the common fund an amount of money equivalent to the value attributed to the investment by the University at the time it is brought into the common fund, and

(c) on the withdrawal of that participating fund from the common fund, the amount of money to be withdrawn is to be the amount equivalent to the value attributed by the University to the equity in the common fund of that participating fund at the time of withdrawal.

(6) The inclusion in an investment common fund of trust funds does not affect any trust to which those trust funds (or money attributed to them) are subject.

(7) On the withdrawal of trust funds from an investment common fund, the funds (or money attributed to them) continue to be subject to the trust.

3 Terms of trust to prevail

In respect of the trust funds of the University:

(a) the power of the University to bring the trust funds into an investment common fund, and

(b) the investment powers of the University,