Statute Details
- Title: Trustees (Authorised Unit Trust Scheme) (No. 23) Order 2001
- Act Code: TA1967-S324-2001
- Type: Subsidiary Legislation (SL)
- Enacting Formula / Authority: Made in exercise of powers conferred by section 83 of the Trustees Act
- Legislative Citation: SL 324/2001
- Commencement: Not stated in the extract (order made on 26 June 2001; published/dated 28 June 2001)
- Status: Current version as at 27 Mar 2026
- Key Provisions (from extract): Section 1 (Citation); Section 2 (Authorised unit trust scheme)
- Authorised Scheme (Section 2): Optimix SGD Fund
What Is This Legislation About?
The Trustees (Authorised Unit Trust Scheme) (No. 23) Order 2001 is a short piece of subsidiary legislation that performs a specific regulatory function: it formally designates a particular collective investment vehicle—an “authorised unit trust scheme”—for the purposes of the Trustees Act.
In plain terms, the Order answers a practical question that trustees, fund managers, and compliance teams often face: is a named unit trust scheme recognised by the law as an “authorised unit trust scheme”? If it is, then the scheme can benefit from the legal framework that applies to authorised schemes under the Trustees Act.
Although the extract contains only two operative provisions, the legal effect can be significant. Authorisation typically matters for how trustees may invest, how certain fiduciary duties are discharged, and how regulatory expectations are met when trustees consider unit trust investments. This Order therefore operates as a targeted designation instrument rather than a comprehensive regulatory code.
What Are the Key Provisions?
Section 1 (Citation) provides the formal name by which the instrument may be cited: “Trustees (Authorised Unit Trust Scheme) (No. 23) Order 2001.” While this may appear purely administrative, citation provisions are important for legal clarity, especially when multiple “(No. X)” orders exist that authorise different schemes.
Section 2 (Authorised unit trust scheme) is the core operative provision. It states that the Optimix SGD Fund is hereby declared as an authorised unit trust scheme for the purpose of the Act. This is the legal “trigger” that brings the Optimix SGD Fund within the scope of the authorisation regime under the Trustees Act.
From a practitioner’s perspective, the key interpretive points are straightforward but must be handled carefully in advice and compliance documentation:
- Named scheme only: The authorisation is tied to the specific fund named in the Order—Optimix SGD Fund. If the fund’s legal name changes, if there are restructuring events, or if there are multiple share classes or sub-funds, counsel should confirm whether the authorisation continues to map to the same legal scheme.
- Purpose is “for the Act”: The Order does not create authorisation in a vacuum; it is explicitly “for the purpose of the Act” (the Trustees Act). This means the authorisation’s legal consequences are those contemplated by the Trustees Act’s investment and trustee-related provisions.
- Ministerial designation: The Order is made by the Minister for Law, reflecting that authorisation is not automatic. It is a deliberate designation under statutory power.
Enacting formula and statutory power (section 83 of the Trustees Act) indicate that the Minister’s authority to make such orders is grounded in the Trustees Act. Practitioners should therefore treat the Order as an exercise of delegated legislative power. In practice, this matters for statutory interpretation: the authorisation is valid only within the scope of the power conferred by section 83.
Notably, the extract does not show additional conditions, reporting requirements, or ongoing compliance obligations within this Order itself. That is typical for designation orders: the “what” (the scheme is authorised) is stated, while the “how” (the substantive trustee investment rules and any related regulatory requirements) is governed by the Trustees Act and any other applicable financial or trust-related legislation.
How Is This Legislation Structured?
This instrument is structured as a short order with a conventional layout:
- Enacting formula: States that the Minister for Law makes the Order under the powers conferred by section 83 of the Trustees Act.
- Section 1 (Citation): Provides the short title.
- Section 2 (Authorised unit trust scheme): Declares the specific unit trust scheme—Optimix SGD Fund—to be authorised for the purposes of the Act.
There are no schedules or detailed provisions in the extract. The “structure” is therefore minimal: it is essentially a legal designation instrument. In legal work, this means the Order is often used as a reference point or exhibit in compliance files, investment policies, trustee resolutions, and due diligence checklists.
Who Does This Legislation Apply To?
The Order is directed at the operation of the Trustees Act. While the Order itself does not list categories of persons, its practical effect is felt by parties who interact with trustee investment frameworks—particularly trustees (including professional trustees), trust administrators, and fund managers marketing unit trust products to trustee investors.
In addition, the authorisation may be relevant to advisers and compliance officers who must determine whether a particular unit trust is eligible for consideration under trustee investment rules. For example, where a trustee’s investment policy or fiduciary duties require investments to fall within certain authorised categories, the existence of this Order can be decisive.
Why Is This Legislation Important?
Even though the Order is brief, it can be highly consequential in practice. Authorised unit trust status can affect whether a trustee may treat a fund as falling within a legally recognised category for investment purposes. This can reduce uncertainty and support defensible decision-making when trustees allocate assets to unit trust schemes.
From an enforcement and risk-management perspective, the importance lies in compliance certainty. Trustees are expected to act prudently and in accordance with applicable legal requirements. If a trustee invests in a unit trust scheme that is not authorised (or if the authorisation does not cover the relevant legal scheme), the trustee may face heightened legal risk—ranging from challenges to investment decisions to regulatory scrutiny depending on the broader statutory context.
For fund managers and distributors, the Order can also be commercially significant. Authorisation under the Trustees Act can make a fund more attractive to trustee investors who are constrained by statutory or policy requirements. In due diligence and sales processes, the Order serves as a primary legal document evidencing authorisation.
Finally, the Order’s “current version as at 27 Mar 2026” status signals that the designation remains in force as of that date (subject to any later amendments or revocations not shown in the extract). Practitioners should still verify the latest version and check the legislation timeline when relying on the authorisation in advice, because authorisation status can change over time.
Related Legislation
- Trustees Act (Chapter 337) — in particular section 83 (power to make orders declaring authorised unit trust schemes)
Source Documents
This article provides an overview of the Trustees (Authorised Unit Trust Scheme) (No. 23) Order 2001 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the official text for authoritative provisions.