Explanatory note

This Order amends Schedule 1 to the Trustee Investments Act 1961. It adds units of a gilt unit trust scheme to the list of investments in Part II of Schedule 1 to the Act. In order to comply with Article 73b of the Treaty establishing the European Community, the Order also adds certain investments to Parts II and III of Schedule 1. Part II sets out the narrower-range, and Part III sets out the wider-range, of investments that may be made by trustees. Before exercising any power to invest in a manner specified in either Part, a trustee must obtain and consider proper advice on the question whether the investment is satisfactory having regard to the trustee’s duties under the Act. The Order makes minor and consequential amendments to the supplemental provisions in Part IV of Schedule 1.