ABSTRACT
In most trusts (with the unit trust as an exception), the trustee, as legal interest holder, will naturally be required to manage the trust. This can be an onerous task, particularly where the trust property comprises numerous investments and a large trust fund. In meeting the day to day responsibilities of running the trust, the trustee will inevitably encounter many expenses. Depending upon the character of the trust, the trustee may have a number of alternatives in meeting these expenses: they may be met by the trust fund directly; or the trustee, as legal interest holder, may pay the expenses on behalf of the trust for the ultimate benefit of the beneficiaries.
