Podcast
Questions and Answers
According to the Trustee Act 2000, what is the trustees’ stance on purchasing freehold or leasehold land for occupation by a beneficiary?
According to the Trustee Act 2000, what is the trustees’ stance on purchasing freehold or leasehold land for occupation by a beneficiary?
- It is strictly prohibited
- They can only do so if it aligns with the charity's purposes
- They are required to do so under all circumstances
- It is up to the trustees’ discretion to decide whether or not to invest trust money in this way (correct)
What must trustees do when purchasing investments?
What must trustees do when purchasing investments?
- Obtain and consider proper investment advice from a suitable source (correct)
- They need not seek any advice
- Seek legal advice only
- Consult with the beneficiaries
What type of investment breaches the trustees’ duty to invest impartially between all the beneficiaries?
What type of investment breaches the trustees’ duty to invest impartially between all the beneficiaries?
- Investments in real estate
- Investment bonds with a focus on generating income for the life tenant (correct)
- Investments in small start-up companies
- Investments in government securities
What should trustees prepare when delegating asset management functions to an agent?
What should trustees prepare when delegating asset management functions to an agent?
Under what circumstances are trustees not required to seek proper investment advice when making an investment?
Under what circumstances are trustees not required to seek proper investment advice when making an investment?
What types of land can a trustee acquire in the UK under s 8 of the TA 2000?
What types of land can a trustee acquire in the UK under s 8 of the TA 2000?
What can the settlor specify in the declaration of trust regarding investments?
What can the settlor specify in the declaration of trust regarding investments?
What will professional trustees, such as solicitors, be entitled to when acting in a professional capacity?
What will professional trustees, such as solicitors, be entitled to when acting in a professional capacity?
What happens if a trust instrument is silent on investment?
What happens if a trust instrument is silent on investment?
Are trustees generally justified in avoiding certain investments based on social, moral, or political views?
Are trustees generally justified in avoiding certain investments based on social, moral, or political views?
What type of documents are beneficiaries entitled to see under trustee powers?
What type of documents are beneficiaries entitled to see under trustee powers?
What does 'trust documents' not include, as per trustee powers?
What does 'trust documents' not include, as per trustee powers?
What are common examples of income returns under trustee powers?
What are common examples of income returns under trustee powers?
When are adult contingent beneficiaries entitled to trust income under trustee powers?
When are adult contingent beneficiaries entitled to trust income under trustee powers?
What can beneficiaries do if they are not entitled to confidential documents under trustee powers?
What can beneficiaries do if they are not entitled to confidential documents under trustee powers?
What is the trustees' power under s 31 of the TA 1925 in relation to a minor beneficiary's income?
What is the trustees' power under s 31 of the TA 1925 in relation to a minor beneficiary's income?
In what scenario can trustees use s 31 of the TA 1925 to apply income for a minor beneficiary's maintenance, education, or benefit?
In what scenario can trustees use s 31 of the TA 1925 to apply income for a minor beneficiary's maintenance, education, or benefit?
What happens if an adult contingent beneficiary dies before the specified condition is satisfied?
What happens if an adult contingent beneficiary dies before the specified condition is satisfied?
When can trustees apply trust capital for a beneficiary who is under 18 years old?
When can trustees apply trust capital for a beneficiary who is under 18 years old?
What kind of expenditure will not be considered as an advancement when it comes to using trust capital for a minor beneficiary?
What kind of expenditure will not be considered as an advancement when it comes to using trust capital for a minor beneficiary?
