Friday, December 9, 2016

Interesting Fact About Trustee Act - Authorised Investments

#UBBCashTrust

Section 4 of the Trustee Act 1949

Authorized investments

4. (1) A trustee may invest any trust funds in his hands, whether at the time in a state of investment or not, in manner following: 
(a) in any of the securities of the Federal Government or the Government of the State of Sabah or the State of Sarawak or of the Republic of Singapore;
(b) in any securities the interest on which is or shall be guaranteed by Parliament or by the Federal Government; *NOTE--All references to "West Malaysia" shall be construed as references to "Peninsular Malaysia"­ see Interpretation (Amendment) Act 1997 [Act A996], subsection 5(2). Laws of Malaysia ACT 20812
(c) in or upon titles to immovable property in Malaysia, such titles being freehold titles or grants in perpetuity or leases (other than mining leases) for a term thereof sixty years at least is unexpired at the time of such investment: Provided that--
(i) the land to which any such title relates shall be situate within the limits of any City, Municipality, Town Council or Town Board area; and
(ii) there be erected on the land to which such title relates houses or other buildings the gross rental whereof, together with the land appurtenant thereto, is at the time of such investment not less than seven per centum of the purchase price of the land, in the case of the purchase price, or of the value of such land, as ascertained under paragraph 12(1)(a), in the case of a charge.
View The Trustee Act 1949 here.