Trustee Act 2000

4 Standard investment criteria. E+W

(1) In exercising any power of investment, whether arising under this Part or otherwise, a trustee must have regard to the standard investment criteria.

(2) A trustee must from time to time review the investments of the trust and consider whether, having regard to the standard investment criteria, they should be varied.

(3) The standard investment criteria, in relation to a trust, are—

(a) the suitability to the trust of investments of the same kind as any particular investment proposed to be made or retained and of that particular investment as an investment of that kind, and

(b) the need for diversification of investments of the trust, in so far as is appropriate to the circumstances of the trust.

[F1 (4) This section has effect subject to section 292C(6) of the Charities Act 2011 (which disapplies the duties under this section in cases where they would otherwise apply in relation to a social investment within the meaning of Part 14A of that Act).]

Textual Amendments

F1 S. 4(4) inserted (31.7.2016) by Charities (Protection and Social Investment) Act 2016 (c. 4), ss. 15(3), 17(4); S.I. 2016/815, reg. 2(k)

Modifications etc. (not altering text)

C1 Ss. 4, 5 applied by 1956 c. lxvii s. 5(1A) (as substituted (10.3.2015) by The Charities (People's Dispensary for Sick Animals) Order 2015 (S.I. 2015/198), art. 1, Sch. Scheme para. 4)

C2 S. 4 excluded by 2011 c. 25, s. 292C(6) (as inserted (31.7.2016) by Charities (Protection and Social Investment) Act 2016 (c. 4), ss. 15(1), 17(4); S.I. 2016/815, reg. 2(k))

C3 S. 4 applied (with modifications) by 1961 c. xxxviii, s. 9(1) (as substituted (1.9.2017) by The Charities (Shakespeare Birthplace Trust) Order 2017 (S.I. 2017/783), art. 1, Sch. Scheme para. 5)