§554-6  Investments.  Every trustee,
other than a trust company acting as such, except insofar as the terms of the
instrument or words creating or defining the trust specifically provide
otherwise, or unless it is otherwise ordered by the court, which order may be
made on an ex parte hearing, shall invest the funds of the trust only in the
investments authorized in the cases of trust companies acting as trustees under
article 8 of chapter 412, and with respect to all investments and the security
for the same every such trustee shall have and be subject to the same rights,
powers, privileges, duties, obligations, and responsibilities as would apply to
trust companies acting as trustees as to similar investments and the security
for the same under article 8 of chapter 412.  Nothing in this section shall be
deemed to authorize any trustee other than a trust company to issue
participation certificates or notes.  Any investment made by any such trustee
under order by the court made on an ex parte hearing or otherwise may be held
during the life of the trust or lesser period unless the terms of the
instrument or words creating or defining the trust or the terms of the order of
the court or of any subsequent order of the court specifically provide
otherwise. [L Sp 1933, c 47, §1; RL 1935, §4715; am L 1941, c 154, §1; RL 1945,
§12576; RL 1955, §340-6; HRS §554-6; am L 1976, c 200, pt of §1; am L 1993, c
350, §33]



 



Case Notes



 



  This section applicable only when trust instrument does not
otherwise provide.  35 H. 1, 8.



  Duty to diversify investments, to exercise reasonable
judgment.  47 H. 548, 393 P.2d 96; 47 H. 577, 393 P.2d 89.



  Cited:  43 H. 37, 41; 47 H. 629, 638, note 6, 394 P.2d 432.