Statute Details
- Title: Trustees (Authorised Unit Trust Scheme) (No. 21) Order 2002
- Act Code: TA1967-S303-2002
- Legislation Type: Subsidiary Legislation (SL)
- Authorising Act: Trustees Act (Cap. 337)
- Enacting Power: Minister for Law acting under section 83 of the Trustees Act
- Legislative Citation: SL 303/2002
- Date Made: 25 June 2002
- Date of Citation/Commencement (as shown in the extract): 26 June 2002
- Status: Current version as at 27 March 2026
- Key Provisions (from extract): Section 1 (Citation); Section 2 (Authorised unit trust scheme)
- Scheme Designation: “Schroder S$ Enhanced Return Fund” declared an authorised unit trust scheme
What Is This Legislation About?
The Trustees (Authorised Unit Trust Scheme) (No. 21) Order 2002 is a short but legally significant instrument. In essence, it is an administrative designation: it declares a specific collective investment product—namely, the Schroder S$ Enhanced Return Fund—to be an “authorised unit trust scheme” for the purposes of the Trustees Act.
Under Singapore’s regulatory framework, the Trustees Act governs, among other things, the circumstances in which trustees may invest in certain financial products. The concept of an “authorised unit trust scheme” is therefore not merely descriptive; it is a legal status that can affect whether trustees are permitted (or how they may be permitted) to hold units in that scheme as part of trust investments.
This Order does not itself set out investment rules, disclosure requirements, or operational conduct for the fund manager. Instead, it performs a gatekeeping function: it confers the statutory label of “authorised” on a named scheme, enabling the scheme to fall within the relevant legal category under the Trustees Act.
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 for practitioners who need to identify the exact instrument that confers the authorised status.
Section 2 (Authorised unit trust scheme) is the operative provision. It states that the Schroder S$ Enhanced Return Fund is hereby declared to be an authorised unit trust scheme for the purposes of the Trustees Act. This is the core legal effect of the Order: the named fund receives the statutory designation.
From a practitioner’s perspective, the practical consequence is that trustees (and those advising trustees) can treat the scheme as falling within the class of investments contemplated by the Trustees Act. In many trust administration contexts, whether an investment is “authorised” can determine the legality of the investment, the trustee’s duties, and the risk profile of the investment decision.
Enacting formula and ministerial authority are also important. The Order is made “in exercise of the powers conferred by section 83 of the Trustees Act.” This indicates that the Minister for Law has a specific statutory mandate to declare particular unit trust schemes as authorised. For lawyers, this is relevant when assessing the validity of the designation, the scope of the Minister’s discretion, and the administrative nature of the instrument.
Finally, the Order includes the “Made” date and signature—Liew Heng San, Permanent Secretary, Ministry of Law—which confirms the formal completion of the legislative process for subsidiary legislation. Although the extract is brief, the formalities are part of the legal record and can be relevant in disputes about whether the designation was properly made.
How Is This Legislation Structured?
This Order is structured in a very streamlined way, consistent with many “authorisation” orders. It contains:
(1) An enacting formula that identifies the legal power under the Trustees Act (section 83) and the Minister’s authority to make the Order.
(2) Section 1 on citation.
(3) Section 2 on the substantive declaration of the authorised unit trust scheme.
There are no parts, schedules, or detailed regulatory conditions in the text extract provided. The instrument’s function is therefore primarily declaratory: it identifies a named scheme and confers a statutory status.
Who Does This Legislation Apply To?
The Order applies to the extent that the Trustees Act uses the concept of an “authorised unit trust scheme.” The direct beneficiaries of the designation are typically trustees who administer trusts and must comply with statutory investment rules. Lawyers advising trustees will rely on the authorised status when assessing whether a particular unit trust investment is permissible under the Trustees Act framework.
In addition, the fund itself—through its operators and investors—benefits from the legal recognition. While the Order does not regulate the fund’s conduct in detail, the “authorised” label can influence investor eligibility, trustee acceptance, and the ease with which trustees can include the scheme in portfolios.
Why Is This Legislation Important?
Although the Order is short, it can be highly consequential in trust administration. Trustees often face strict duties regarding investments, including duties to act prudently and to comply with the trust instrument and applicable law. Where the Trustees Act provides a mechanism for certain investments to be treated as authorised, the designation of a specific scheme can materially affect the trustee’s investment options and compliance posture.
From an enforcement and risk standpoint, the authorised status can reduce uncertainty. If a trustee invests in a unit trust scheme that is not authorised (or is not properly designated), the trustee may face challenges regarding the legality of the investment, potential breach of duty claims, or the need to unwind or regularise the position. Conversely, where the scheme is authorised by a valid order, the trustee has a stronger basis to justify the investment under the statutory framework.
For practitioners, the Order is also important as a matter of legal research and version control. The extract indicates that the “current version” is as at 27 March 2026, and it references a timeline showing the original enactment date (26 June 2002). In practice, lawyers should confirm whether the authorised status remains current, whether there have been amendments, and whether any subsequent orders have replaced or revoked the designation. Even where the text appears unchanged, the legal relevance of the designation depends on the current status of the scheme and the continuing applicability of the authorisation.
Related Legislation
- Trustees Act (Chapter 337) — in particular, section 83 (the enabling provision for making authorisation orders)
Source Documents
This article provides an overview of the Trustees (Authorised Unit Trust Scheme) (No. 21) Order 2002 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the official text for authoritative provisions.