The Trustee Act 2000 introduced a statutory duty of care which applies when trustees exercise their powers of investment. In particular, trustees need to seek special knowledge and experience.  We can help trustees fulfil their obligation under the act with confidence and peace of mind using a range of appropriate investment solutions.

Trustees of charities, family settlements and pension schemes face a real need for advice on investment strategies, taxation, risk and reward, and ongoing duties and responsibilities.

Recent changes in taxation may mean that current investment portfolios are working against you rather than for you.

The Act states Trustees must:

Exercise a ‘Duty of Care’

• Invest as if they are absolutely entitled to the asset
• Ensure the suitability of the investment vehicle(s):

Consider the tax efficiency

Ensure investments sufficiently diversified

Consider size and risk profile of trust

• Obtain appropriate investment advice
• Regularly review the trust investments.

It is a requirement for Trustees to:

• Document all decisions
• Have a clean audit trail
• Diversification of the trust’s assets by asset class and management group
• Maximise tax efficiency by using product wrappers
• Regular low maintenance reviews  - are the investments still suitable?
• Reduce Investment Risk
• Act with diligence and integrity
• Avoid conflicts of interest
• Consider expenses.