Matters to which trustee shall have regard in exercising power of investment
8 Matters to which trustee shall 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 shall, 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;
the desirability of diversifying trust investments;
(c) the nature of and risk associated with existing trust investments and other trust property;
(d) the need to maintain the real value of the capital or income of the trust;
the risk of capital or income loss or depreciation;
the potential for capital appreciation;
the likely income return and the timing of income return;
the length of the term of the proposed investment;
the probable duration of the trust;
(k) the liquidity and marketability of the proposed investment during, and on the determination of, the term of the proposed investment;
the aggregate value of the trust estate;
(n) the effect of the proposed investment in relation to the tax liability of the trust;
(p) the likelihood of inflation affecting the value of the proposed investment or other trust property;
(q) the cost (including commissions, fees, charges and duties payable) of making the proposed investment; and
the results of a review of existing trust investments.
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.
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