TRUSTEE ACT 1936 - SECT 9
TRUSTEE ACT 1936 - SECT 9
9—Matters to which trustee must have regard in exercising power of
investment
(1) Without limiting
the matters that a trustee may take into account when exercising a power of
investment, a trustee must, so far as they are appropriate to the
circumstances of the trust, have regard to—
(a) the
purposes of the trust and the needs and circumstances of the beneficiaries;
and
(b) the
desirability of diversifying trust investments; and
(c) the
nature of and risk associated with existing trust investments and other trust
property; and
(d) the
need to maintain the real value of the capital or income of the trust; and
(e) the
risk of capital or income loss or depreciation; and
(f) the
potential for capital appreciation; and
(g) the
likely income return and the timing of income return; and
(h) the
length of the term of the proposed investment; and
(i)
the probable duration of the trust; and
(j) the
liquidity and marketability of the proposed investment during, and on the
determination of, the term of the proposed investment; and
(k) the
aggregate value of the trust estate; and
(l) the
effect of the proposed investment in relation to the tax liability of the
trust; and
(m) the
likelihood of inflation affecting the value of the proposed investment or
other trust property; and
(n) the
costs (including commissions, fees, charges and duties payable) of making the
proposed investment; and
(o) the
results of a review of existing trust investments.
(2) A trustee
may—
(a)
obtain and consider independent and impartial advice reasonably required for
the investment of trust funds or the management of the investment from a
person whom the trustee reasonably believes to be competent to give the
advice; and
(b) pay
out of trust funds the reasonable costs of obtaining the advice.