Statute Details
- Title: Trustees (Authorised Unit Trust Scheme) (No. 2) Order 1998
- Act Code: TA1967-S233-1998
- Legislation Type: Subsidiary legislation (Order)
- Authorising Act: Trustees Act (Cap. 337)
- Key Enabling Provision: Section 86 of the Trustees Act
- Enacting Formula: Made by the Minister for Law in exercise of powers under section 86
- Primary Operative Provision: Declaration of an authorised unit trust scheme
- Commencement: Not stated in the extract (Order dated 3 April 1998; published as SL 233/1998)
- Citation Provision: Section 1 (Citation)
- Authorisation Provision: Section 2 (Authorised unit trust scheme)
- Declared Scheme: Schroder International Balanced Growth Fund
- Publication / Instrument Number: SL 233/1998
- Status: Current version as at 27 Mar 2026 (per provided extract)
What Is This Legislation About?
The Trustees (Authorised Unit Trust Scheme) (No. 2) Order 1998 is a short Singapore legislative instrument that performs a single, targeted function: it declares a particular collective investment product—Schroder International Balanced Growth Fund—to be an “authorised unit trust scheme” for the purposes of the Trustees Act.
In practical terms, the Order is part of the regulatory framework governing unit trust schemes and the trustees who administer them. The Trustees Act contains provisions that apply to unit trust schemes that are “authorised” under the Act. Once a scheme is declared authorised, it becomes eligible for the legal treatment and protections (and obligations) that the Trustees Act attaches to authorised schemes.
Although the Order itself is brief, it matters because the designation of a scheme as “authorised” can affect how trustees may act, what regulatory permissions are required, and how the scheme is supervised within Singapore’s legal environment. For practitioners, the key is to understand that this Order is not a standalone regulatory regime; it is a gateway instrument that activates the Trustees Act’s provisions for the named fund.
What Are the Key Provisions?
Section 1 (Citation) provides the formal title by which the Order may be cited. This is standard legislative drafting and is mainly relevant for legal referencing, pleadings, and compliance documentation. It does not create substantive obligations.
Section 2 (Authorised unit trust scheme) is the operative provision. It states that Schroder International Balanced Growth Fund is hereby declared an authorised unit trust scheme for the purposes of the Act. This declaration is the legal mechanism by which the scheme is brought within the scope of the Trustees Act’s authorisation framework.
From a practitioner’s perspective, the phrase “for the purposes of the Act” is crucial. It indicates that the authorisation is not merely descriptive; it is intended to trigger the legal consequences of the Trustees Act. Those consequences typically relate to the ability of trustees to administer the scheme under the Act, the regulatory status of the scheme, and the compliance expectations imposed by the Act on trustees and related parties.
Enacting formula and enabling power (section 86 of the Trustees Act) provide the legal authority for the Minister for Law to make the Order. The Order is made “in exercise of the powers conferred by section 86 of the Trustees Act.” This means the Minister’s power is statutory and must be exercised within the boundaries set by section 86. While the extract does not reproduce section 86, the structure indicates that the authorisation is an administrative/ministerial act grounded in legislative delegation.
Making date and signatory (“Made this 3rd day of April 1998” and signed by GOH KIM LEONG, Permanent Secretary, Ministry of Finance) establish the instrument’s formal validity. For legal work—such as due diligence, historical compliance checks, or verifying the effective date—these details can be important, especially where multiple versions or amendments exist.
How Is This Legislation Structured?
The Order is extremely concise and is structured around two provisions:
(1) Section 1: Citation. This identifies the instrument for referencing purposes.
(2) Section 2: Authorised unit trust scheme. This is the only substantive clause and it names the fund that is declared authorised.
There are no schedules, definitions, or detailed regulatory conditions in the extract. The Order functions as a declaratory instrument rather than a comprehensive regulatory code. In practice, the substantive compliance and governance requirements for trustees and unit trust schemes will be found in the Trustees Act itself (and any other relevant subsidiary legislation or regulatory instruments), with this Order serving as the authorisation trigger for the named scheme.
Who Does This Legislation Apply To?
The direct legal effect of the Order is directed at the unit trust scheme it names—Schroder International Balanced Growth Fund. However, the practical impact extends to the trustees and other parties whose rights and duties are governed by the Trustees Act when a scheme is authorised.
Accordingly, the Order is relevant to:
- Trustees administering or holding property for the unit trust scheme under the Trustees Act framework;
- Fund operators/management entities and their compliance teams, insofar as authorisation affects the scheme’s legal status and the regulatory expectations that follow;
- Legal advisers conducting due diligence on whether the scheme is authorised and therefore subject to (or benefits from) the Trustees Act regime.
Because the Order is a designation instrument, it does not typically impose obligations on investors directly. Instead, it shapes the legal environment in which the scheme is administered and supervised.
Why Is This Legislation Important?
Even though the Order contains only a single substantive declaration, it can be highly significant in legal practice. Authorisation under the Trustees Act can be a foundational fact for assessing the legality of a scheme’s operations, the trustee’s authority, and the regulatory status of the fund. In due diligence and transaction contexts—such as fund launches, restructurings, trustee appointments, or cross-border distribution—confirming whether a scheme is “authorised” can be essential.
From an enforcement and compliance standpoint, the Order’s importance lies in its role as a formal legal gateway. If a scheme is not authorised, the Trustees Act’s provisions that apply to authorised schemes may not be available, and trustees may face limitations or additional requirements. Conversely, once authorised, the scheme is positioned within the statutory framework that the Act contemplates.
For practitioners, the key practical takeaway is to treat this Order as a “status document.” When advising clients, lawyers should verify:
- that the fund named in the Order is the correct legal entity/product (including whether the fund’s name has changed over time);
- the current version status and whether any subsequent amendments or replacement orders exist;
- how the authorisation interacts with the Trustees Act provisions on trusteeship, administration, and any related regulatory requirements.
Finally, the instrument’s brevity underscores a common feature of Singapore subsidiary legislation: ministerial orders often do not restate the regulatory requirements. Instead, they activate or designate schemes under a broader enabling statute. Effective legal analysis therefore requires reading the Order together with the Trustees Act and any other applicable legislation governing unit trust schemes and trustees.
Related Legislation
- Trustees Act (Chapter 337) — in particular, section 86 (the enabling provision referenced in the enacting formula)
Source Documents
This article provides an overview of the Trustees (Authorised Unit Trust Scheme) (No. 2) Order 1998 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the official text for authoritative provisions.