sec.24Matters to which trustee must have regard in exercising power of investment

### sec.24 Matters to which trustee must have regard in exercising power of investment Without limiting the matters 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 the following matters— the purposes of the trust and the needs and circumstances of the beneficiaries; the desirability of diversifying trust investments; the nature of and risk associated with existing trust investments and other trust property; 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; the liquidity and marketability of the proposed investment during, and at the end of, the term of the proposed investment; the total value of the trust estate; the effect of the proposed investment for the tax liability of the trust; the likelihood of inflation affecting the value of the proposed investment or other trust property; the cost (including commissions, fees, charges and duties payable) of making the proposed investment; the results of a review of existing trust investments. A trustee— may obtain, and if obtained must 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 may pay out of trust funds the reasonable costs of obtaining the advice. s 24 sub 1999 No. 69 s 5 (sec.24-ssec.1) Without limiting the matters 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 the following matters— the purposes of the trust and the needs and circumstances of the beneficiaries; the desirability of diversifying trust investments; the nature of and risk associated with existing trust investments and other trust property; 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; the liquidity and marketability of the proposed investment during, and at the end of, the term of the proposed investment; the total value of the trust estate; the effect of the proposed investment for the tax liability of the trust; the likelihood of inflation affecting the value of the proposed investment or other trust property; the cost (including commissions, fees, charges and duties payable) of making the proposed investment; the results of a review of existing trust investments. (sec.24-ssec.2) A trustee— may obtain, and if obtained must 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 may pay out of trust funds the reasonable costs of obtaining the advice. - (a) the purposes of the trust and the needs and circumstances of the beneficiaries; - (b) 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; - (e) the risk of capital or income loss or depreciation; - (f) the potential for capital appreciation; - (g) the likely income return and the timing of income return; - (h) the length of the term of the proposed investment; - (i) the probable duration of the trust; - (j) the liquidity and marketability of the proposed investment during, and at the end of, the term of the proposed investment; - (k) the total value of the trust estate; - (l) the effect of the proposed investment for the tax liability of the trust; - (m) the likelihood of inflation affecting the value of the proposed investment or other trust property; - (n) the cost (including commissions, fees, charges and duties payable) of making the proposed investment; - (o) the results of a review of existing trust investments. - (a) may obtain, and if obtained must 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) may pay out of trust funds the reasonable costs of obtaining the advice.