2446
NEW ZEALAND GAZETTE
No. 85

Napier Development Syndicate, care of Sir Peter Tait, 1 Avon Terrace, Taradale, Napier
$16.50
Mrs Linda Mary Newland, 35 Wade Street, Wellington
$37.81
Mrs Margaret Anne Owen, 9 Dinwiddle Avenue, Napier
$1.79
Petone Apostolic Fellowship, care of Pastor Ray Pasene, 13 Edelweiss Grove, Upper Hutt
$16.50
Lawrence Roy and E. May Pickering, 184 Charles Street, Napier
$16.23
M. D. and D. A. Robinson, 11 Greenwood road, Havelock Horth
$54.72

Mr Nicholas Andrew Schofield, 27A Selwyn Road, Napier
$1.38
Miss Rebecca Susan Schofield, 27A Selwyn Road, Napier
$1.38
Mr Jonathon P. Simes, 51 Great South Road, Manurewa
$0.28
Mr Paul Goold Spackman, 35 Wade Street, Wellington
$37.80
Mr B. H. Weaver, 16 Beverley Avenue, Hamilton
$3.55

Dated at Wellington this 22nd day of August 1995.
R. W. SHAW, Assistant Public Trustee.
gn5619

Trust Bank Otago Community Trust Inc.

Trustee Banks Restructuring Act 1988

Trust Bank Otago Community Trust Inc.
Annual Report for the Year Ended 31 March 1995

Trust Particulars
The Trust Bank Otago Community Trust Inc. was incorporated as a charitable trust in accordance with the provisions of the Trustee Banks Restructuring Act 1988. The purpose of the trust is to provide charitable, cultural, philanthropic and recreational benefits to the community.

Trustees
Trustees are appointed by the Minister of Finance. While the initial term of appointment varies, replacement appointments are for a standard term of 4 years. The present trustees are:

Mrs C. A. Melville, Chairperson, Mr R. R. Allan, Mrs N. Bamford, Mr G. R. Bell, Mr P. C. L. Gibson, Sir Robin Gray, Mr R. S. McKnight, Mr C. D. Matthewson, Dr J. Ng, Mr D. Pasley, Mr J. D. Polson and Mr R. F. Walls.

Executive Director:
Mr K. G. Ellwood, 60–66 Tennyson Street, P.O. Box 5751, Dunedin.

Bankers:
Trust Bank Otago Limited.

Solicitors:
Anderson Lloyd.

Auditors:
Taylor McLachlan.

Chairperson’s Report
It is with much pleasure that I submit the seventh annual report of the trust. It has been another year of considerable development as results of investment diversification begin to have significant impact on the income of the trust. This in turn will have a direct beneficial effect on the level of funds available for donations.

Investment Policies
Trustees have always been very conscious of their requirement to act prudently, not just conservatively, in respect of investment policy. This is well defined by the Trustee Amendment Act 1988. For some years trustees have felt a duty to diversify and not to have all investments in a single asset, in this case trust bank shares. Accordingly, following the sale of 30 million shares in March 1994, the proceeds, some $63 million, were placed with professional fund managers. In conjunction with appropriate professional advice the funds have been diversified across cash, bond and investments both in New Zealand and globally. Current policy is two fold. First, it is important to minimise the risk of loss of capital. Second, there is a need to build up reserves to a comfortable level to ensure that longer term, a stable level of donations may be paid notwithstanding fluctuating investment returns.

Trustees continue to be extremely satisfied with the performance of Trust Bank New Zealand Limited, in which the trust holds 24 million shares or just over 5 percent of the issued capital of the bank. Notwithstanding that the trust now has less than half of the shares it owned prior to the float, it has still received a similar dividend amount as it did pre-float. This income, plus the returns from its managed funds has enabled income growth for the trust.

Donations Policy
Investment policy is linked to donations policy. Our policy is to donate as much to the community of Otago as possible bearing in mind the need to avoid losing capital and indeed to protect its real value. Donations policy aims to pay steady amounts each year, notwithstanding the volatility of investment returns. This should be achievable following a reserving period of about 5 years during which time a larger proportion of surplus income will be retained at the expense of donations. Therefore while donations are expected to increase over the next 5 years, because of the need to establish reserves during that