sec.31Investing assets

sec.31 Investing assets

The Trusts Act 1973 , part 3 , other than section 22 (1), applies in relation to a charity or association as if— the charity or association were a trustee; and the assets of the charity or association were trust funds. A charity or association must, in exercising a power of investment— if the profession, business or employment of a member of the governing body of the charity or association is, or includes, acting as a trustee or investing money for other persons—exercise the care, diligence and skill a prudent person engaged in that profession, business or employment would exercise in managing the affairs of other persons; or if the profession, business or employment of a member of the governing body of the charity or association is not, or does not include, acting as a trustee or investing money for other persons—exercise the care, diligence and skill a prudent person of business would exercise in managing the affairs of other persons. However, a charity or association may— continue to hold an investment held before 1 March 1975; and accept any investment as a gift; and in relation to any investment accepted as a gift, exercise any option or right in relation to the investment and deal with the investment in the way required by the exercise of the option or right. (sec.31-ssec.1) The Trusts Act 1973 , part 3 , other than section 22 (1), applies in relation to a charity or association as if— the charity or association were a trustee; and the assets of the charity or association were trust funds. (sec.31-ssec.2) A charity or association must, in exercising a power of investment— if the profession, business or employment of a member of the governing body of the charity or association is, or includes, acting as a trustee or investing money for other persons—exercise the care, diligence and skill a prudent person engaged in that profession, business or employment would exercise in managing the affairs of other persons; or if the profession, business or employment of a member of the governing body of the charity or association is not, or does not include, acting as a trustee or investing money for other persons—exercise the care, diligence and skill a prudent person of business would exercise in managing the affairs of other persons. (sec.31-ssec.3) However, a charity or association may— continue to hold an investment held before 1 March 1975; and accept any investment as a gift; and in relation to any investment accepted as a gift, exercise any option or right in relation to the investment and deal with the investment in the way required by the exercise of the option or right.

• (a) the charity or association were a trustee; and
• (b) the assets of the charity or association were trust funds.
• (a) if the profession, business or employment of a member of the governing body of the charity or association is, or includes, acting as a trustee or investing money for other persons—exercise the care, diligence and skill a prudent person engaged in that profession, business or employment would exercise in managing the affairs of other persons; or