Statute Details
- Title: Trustees (Authorised Unit Trust Scheme) (No. 16) Order 2003
- Act Code: TA1967-S473-2003
- Legislation Type: Subsidiary Legislation (SL)
- Enacting Authority: Minister for Law
- Authorising Act: Trustees Act (Cap. 337)
- Key Enabling Provision: Section 83 of the Trustees Act
- Citation: Trustees (Authorised Unit Trust Scheme) (No. 16) Order 2003
- Primary Operative Provision: Section 2 (declaration of authorised unit trust schemes)
- Date Made: 29 September 2003
- Commencement / Version Reference: SL 473/2003; current version indicated as at 27 Mar 2026 (timeline reference shows 1 Oct 2003)
What Is This Legislation About?
The Trustees (Authorised Unit Trust Scheme) (No. 16) Order 2003 is a short but important piece of Singapore subsidiary legislation. Its purpose is to “declare” specific investment funds as authorised unit trust schemes for the purposes of the Trustees Act. In practical terms, the Order identifies particular unit trust funds that are permitted to operate under the regulatory framework established by the Trustees Act.
Unit trust schemes pool investors’ money and invest it according to a stated strategy. However, not every unit trust scheme can be treated the same way under the law. The Trustees Act uses the concept of an “authorised unit trust scheme” to determine which schemes fall within the statutory regime and can benefit from the legal recognition and protections that attach to authorised status.
This Order is therefore not about setting investment rules or portfolio composition directly. Instead, it performs a legal “gateway” function: it designates two named funds as authorised schemes. Once declared, those funds can be administered and marketed in a manner consistent with the Trustees Act’s requirements and the legal consequences of authorised status.
What Are the Key Provisions?
Section 1 (Citation) provides the formal name by which the Order may be cited. While this is standard drafting, it matters for legal referencing, compliance documentation, and regulatory correspondence. Practitioners typically cite the Order when discussing the authorised status of the relevant funds.
Section 2 (Authorised unit trust schemes) is the operative provision. It declares that the following funds are “hereby declared as authorised unit trust schemes for the purposes of the Act”:
(a) United S$ Convertible Bond Fund; and
(b) United US$ Convertible Bond Fund.
In plain language, Section 2 means that these two specific funds are legally recognised as authorised unit trust schemes under the Trustees Act. The declaration is limited to the named funds; it does not automatically extend to other funds managed by the same manager, nor does it cover future or renamed variants unless a separate order (or amendment) is made.
Enabling power and ministerial action: The Order is made “in exercise of the powers conferred by section 83 of the Trustees Act.” This is significant for practitioners because it anchors the legality of the declaration in an express statutory delegation. It also signals that authorised status is not automatic; it depends on ministerial designation under the Trustees Act’s framework.
Made date and formalities: The Order was made on 29 September 2003 by the Permanent Secretary, Ministry of Law (Liew Heng San). While the extract does not show the full commencement clause, the timeline indicates SL 473/2003 and references 1 October 2003 as the relevant date for the version. For compliance work, the effective date can matter when determining whether a scheme was authorised at a particular time (for example, for historical disclosures, investor communications, or regulatory reporting).
How Is This Legislation Structured?
The Order is extremely concise and is structured around two provisions:
(1) Section 1: the citation provision.
(2) Section 2: the declaration of the authorised unit trust schemes (the two named funds).
There are no schedules in the extract and no additional operational requirements within the Order itself. Instead, the substantive regulatory obligations for trustees and unit trust schemes are expected to be found in the Trustees Act and any related subsidiary legislation or regulatory guidance. This Order functions as a designation instrument within that broader legal architecture.
Who Does This Legislation Apply To?
The immediate legal effect of the Order is directed at the two declared funds: United S$ Convertible Bond Fund and United US$ Convertible Bond Fund. In practice, the trustees, managers, and other parties responsible for administering those funds will rely on the authorised status when structuring the scheme’s legal and regulatory posture under the Trustees Act.
More broadly, the Order is relevant to investors, compliance officers, and legal counsel because it clarifies which unit trust schemes are recognised as authorised under the Trustees Act. For investors and intermediaries, authorised status can affect how the scheme is presented, what legal protections or regulatory expectations apply, and how due diligence should be documented. For practitioners, it provides a clear reference point when advising on scheme eligibility and the legal consequences of authorised designation.
Why Is This Legislation Important?
Although the Order is short, its importance lies in the legal consequences of authorised status. In Singapore’s legal framework, being declared an “authorised unit trust scheme” can determine whether the scheme is treated as falling within the statutory regime under the Trustees Act. That can affect how trustees discharge their duties, how the scheme is regulated, and how certain statutory requirements are satisfied.
From a practitioner’s perspective, the Order is useful in at least three common scenarios:
(1) Compliance and eligibility checks: When advising whether a particular unit trust scheme is authorised, counsel can confirm the legal basis by reference to the relevant “Authorised Unit Trust Scheme” order(s). This is especially important where multiple funds exist under a group, and only some have been designated.
(2) Due diligence and disclosure: In investor communications, prospectus-related documentation, and onboarding materials, authorised status may be a key statement. Legal teams must ensure that the correct fund names match the declaration in the Order.
(3) Historical and transitional analysis: Effective dates matter. If a dispute arises about whether a scheme was authorised at a particular time, the date made and the commencement/version reference can be critical for reconstructing the regulatory position.
Finally, the Order illustrates a broader regulatory technique: rather than embedding detailed scheme-by-scheme rules in the Trustees Act itself, the law uses ministerial orders to designate specific schemes. This approach allows the regulatory framework to evolve as new funds are launched or as existing funds are brought within the authorised category through subsequent orders.
Related Legislation
- Trustees Act (Chapter 337) — in particular, section 83 (the enabling provision for ministerial orders declaring authorised unit trust schemes)
- Other “Authorised Unit Trust Scheme” Orders (issued under the same enabling power, for other numbered schemes)
Source Documents
This article provides an overview of the Trustees (Authorised Unit Trust Scheme) (No. 16) Order 2003 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the official text for authoritative provisions.