(1) A chose in action arising under RITS that entitles its holder to a
security of a particular description (the
"underlying security" ) is, for this Act and the instrument creating a trust,
taken to be the same in all respects as the underlying security.
(2) The
holding or acquisition by a trustee of a chose in action mentioned in
subsection (1) is taken to be an investment by the trustee in the
underlying security.
(3) It does not matter that the right conferred by the
chose in action is a right in relation to securities of a particular
description and not in relation to particular securities.
(4) In this
section—
"RITS" means the Reserve Bank of Australia’s Information and Transfer
System, as operating from time to time.
