© NSW Trustee & Guardian 2017 12/17
Please return this form to your client service team.
NSW Trustee & Guardian | Locked Bag 5115 Parramatta, NSW 2124 | www.tag.nsw.gov.au
B – Section 14C of Trustee Act 1925
14C Matters to which trustee is to have regard when 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, if any, have regard to the
(a) the purposes of the trust and the needs and circumstances of the beneciaries,
(b) the desirability of diversifying trust investments,
(c) the nature of, and the 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 on the determination of,
the term of the proposed investment,
(k) the aggregate value of the trust estate,
(l) the effect of the proposed investment in relation to the tax liability of the trust,
(m) the likelihood of ination affecting the value of the proposed investment or other trust property,
(n) the costs (including commissions, fees, charges and duties payable) of making the proposed investment,
(o) the results of a review of existing trust investments in accordance with section 14A (4).
(2) A trustee may, having regard to the size and nature of the trust, do either or both of the following:
(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,
(b) pay out of trust funds the reasonable costs of obtaining the advice.
(3) A trustee is to comply with this section unless expressly forbidden by the instrument (if any) creating the trust.