Statute Details
- Title: Trustees (Authorised Unit Trust Scheme) (No. 36) Order 2002
- Act Code: TA1967-S610-2002
- Type: Subsidiary Legislation (SL)
- Authorising Act: Trustees Act (Cap. 337)
- Enacting Power: Section 83 of the Trustees Act
- Enacting Formula: Minister for Law makes the Order in exercise of powers under section 83
- Commencement Date: Not stated in the extract (Order made on 29 November 2002; published as SL 610/2002)
- Key Provisions (from extract): Section 1 (Citation); Section 2 (Declaration of authorised unit trust scheme)
- Authorised Scheme (Section 2): “StreetTRACKS Straits Times Index Fund”
- SL Number: SL 610/2002
- Made Date: 29 November 2002
- Status: Current version as at 27 March 2026
What Is This Legislation About?
The Trustees (Authorised Unit Trust Scheme) (No. 36) Order 2002 is a short but legally significant piece of subsidiary legislation. In plain terms, it is an official “authorisation” instrument: it declares a specific investment product—the StreetTRACKS Straits Times Index Fund—to be an “authorised unit trust scheme” for the purposes of the Trustees Act.
In Singapore’s regulatory framework, the Trustees Act governs, among other things, the circumstances under which trustees may invest in certain collective investment schemes. The authorisation mechanism is designed to provide a legal basis for trustees to hold units in specified funds, subject to the conditions and protections embedded in the broader statutory scheme.
This Order does not itself set out detailed investment rules. Instead, it performs a gatekeeping function: once a scheme is declared “authorised” under the Trustees Act, it can fall within the category of schemes that trustees are permitted to consider (and, depending on the relevant provisions of the Act and any related regulations, may be able to invest in) without needing to rely on ad hoc approvals.
What Are the Key Provisions?
Section 1 (Citation) provides the formal name by which the Order may be cited. While this appears procedural, citation provisions matter in practice because they allow lawyers and compliance teams to accurately reference the instrument when advising trustees, fund managers, custodians, and auditors.
Section 2 (Authorised unit trust scheme) is the substantive provision. It states that the StreetTRACKS Straits Times Index Fund is “hereby declared as an authorised unit trust scheme for the purposes of the Act.” This declaration is the legal trigger that brings the named fund within the scope of the authorisation framework under section 83 of the Trustees Act.
From a practitioner’s perspective, the key practical effect of Section 2 is that it identifies a specific fund by name as meeting the statutory threshold for “authorised” status. That status is typically relevant when trustees are determining whether a proposed investment is permissible under the Trustees Act’s investment regime. Even where trustees have broader fiduciary duties and must still consider suitability, risk, and the terms of the trust, the authorisation helps address the threshold question: whether the scheme is within the class of schemes recognised by law for trustee investment purposes.
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” by the Minister for Law. This confirms that the authorisation is not merely administrative; it is a statutory exercise of delegated legislative power. For legal analysis, this matters when assessing validity, scope, and interpretive weight. It also signals that the authorisation is intended to be legally durable and capable of being relied upon by trustees and other market participants.
Finally, the Order includes the formal “Made this 29th day of November 2002” statement and is signed by the Permanent Secretary, Ministry of Law. While these are standard legislative formalities, they provide evidence of proper execution and the identity of the decision-maker. For compliance documentation, such details can be relevant in due diligence files and regulatory audits.
How Is This Legislation Structured?
This Order is extremely concise and consists of two operative provisions:
- Section 1: Citation (how the Order is referred to).
- Section 2: Declaration of the authorised unit trust scheme (the named fund).
There are no schedules, no conditions, and no additional procedural steps in the extract provided. The structure reflects the nature of an authorisation order: its function is to identify and declare a particular scheme as authorised, rather than to regulate the scheme’s ongoing conduct. The detailed regulatory obligations (if any) for the fund and its operators would generally be found in the primary legislation (the Trustees Act) and other financial services regulatory instruments, rather than in this short authorisation order.
Who Does This Legislation Apply To?
The Order applies to the extent that it affects the legal position of trustees and other persons who rely on the Trustees Act’s investment framework. In practice, the immediate beneficiaries of the authorisation are trustees who may be considering whether they can invest trust assets in the StreetTRACKS Straits Times Index Fund as an authorised unit trust scheme.
It also indirectly applies to fund operators and market participants associated with the named scheme, because authorisation status can influence distribution, trustee eligibility, and how the fund is marketed to institutional investors. However, the Order itself is not a licensing instrument for the fund’s operations; it is a declaration for the purposes of the Trustees Act. Therefore, the fund’s broader regulatory compliance obligations would typically arise under other legislation governing collective investment schemes and financial products.
Why Is This Legislation Important?
Although the Order is short, it can be highly consequential in trustee investment practice. Trustees operate under fiduciary duties and statutory constraints. When trustees are managing portfolios—especially for trusts that require conservative or legally bounded investment choices—authorised status provides a clear legal pathway for considering particular collective investment schemes.
From a legal risk perspective, the authorisation reduces uncertainty. Without an authorisation order, trustees may need to rely on more complex reasoning about permissibility, potentially involving legal advice, approvals, or reliance on general investment powers. By contrast, where a scheme is declared authorised, trustees can more confidently align their investment decisions with the statutory framework.
For practitioners, this Order is also important because it is a named declaration. The precise identification of the fund means that advice must be careful: trustees should verify that the product they intend to hold is indeed the StreetTRACKS Straits Times Index Fund as described in the Order. If the fund’s name changes, if there are reorganisations, or if the product is replaced by a successor fund, the question becomes whether the authorisation still maps onto the intended investment. In such scenarios, counsel may need to check the legislation timeline and any subsequent authorisation orders or amendments.
Finally, the Order’s status as “current version as at 27 March 2026” indicates that it remains in force in its declared form. For compliance and audit purposes, practitioners should treat the authorisation as still operative unless and until it is revoked, replaced, or superseded by later instruments.
Related Legislation
- Trustees Act (Chapter 337) — in particular, section 83 (authorising the Minister for Law to make orders declaring authorised unit trust schemes)
Source Documents
This article provides an overview of the Trustees (Authorised Unit Trust Scheme) (No. 36) Order 2002 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the official text for authoritative provisions.