This 7 page paper discuses the statement “On the one hand the law gives the trustee the same powers of investment as those of an absolute owner; on the other hand he can not exercise such powers as can an absolute owner”. This is considered by looking at the powers and duties of a trustee paying particular attention to the constraints on the exercise of a trustee's power of investment. The paper is writer with reference to English law. The bibliography cites 7 sources.
Name of Research Paper File: TS14_TEduttrust.rtf
Unformatted Sample Text from the Research Paper:
those of an absolute owner, choosing where to place the investment and how. However at the same time as this they do not have the same ability to exercise the
powers of an absolute owner; they cannot use the funds and dispose of them for their own benefit as they are entrusted with the management of the funds for
the benefit of others. If we are going to consider trusts, then the first step we need to take is to define them and as such the duties
of the trustee. A trust is "1. A confidence reposed by one person in conveying or bequeathing property to another that the latter will apply to a purpose or purposes
desired by the former. These purposes are generally indicated in the instrument, whether deed or will, by which the disposition is made. 2. Hence it signifies the beneficial interest created
by such a transaction. In this sense it may be defined as a beneficial interest in, or ownership of, real or personal property, intended with the legal or possesory ownership
of it" (Ivamy, 2007). Trusts are generally used when there is the desires for someone, either an individual, or an organisations, to
use property, and for one reason, or another, are not able to hold the legal title. This may be due to the fact that the use is intended to pass
on, due to tax planning reasons or many other potential reasons. Many trusts are classed charitable trusts that are left as bequests in a will. It is for this reason
the basis of the trust can be seen as assuming that the trustee will look after the in investment as if it were their own, managing it and protecting it,