TRUSTEE ACT 1936 - SECT 7
TRUSTEE ACT 1936 - SECT 7
7—Duties of trustee in respect of power of investment
(1) Subject to the
instrument creating the trust, a trustee must, in exercising a power of
investment—
(a) if
the trustee's profession, business or employment is or includes acting as a
trustee or investing money on behalf of other persons—exercise the care,
diligence and skill that a prudent person engaged in that profession, business
or employment would exercise in managing the affairs of other persons; or
(b) if
the trustee is not engaged in such a profession, business or
employment—exercise the care, diligence and skill that a prudent person
of business would exercise in managing the affairs of other persons.
(2) A trustee must, in
exercising a power of investment, comply with any provision of the instrument
creating the trust that is binding on the trustee and requires the obtaining
of a consent or approval or compliance with any direction with respect to
trust investments.
(3) Subject to the
instrument creating the trust, a trustee must, at least once in each year,
review the performance (individually and as a whole) of trust investments.