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Section 601 0 (1994)

handle is hein.nccusl/nccpub01194 and id is 1 raw text is: [ALTERNATIVE A]
[ARTICLE] 6
EQUITABLE ADJUSTMENTS
SECTION 601. TRUSTEE'S POWER TO REALLOCATE
(a) If after applying thle fo.. ,1 F.v-lu1. [Articles] 1 through 5 of this
[Act], the trustee determines that to comply with § 102(a) it is necessary to reallocate
between income and principal, the trustee may reallocate in whole or in part in such
manner and in such proportions as the trustee determines.
(b) In exercising the power of reallocation, a trustee shall consider, in
addition to other relevant factors, such of the following factors, among others, as the
trustee deems considers relevant to the trust or its beneficiaries:
(1) the nature, purpose and expected duration of the trust;
(2) the express intent of the settlor;
(3) the identity and circumstances of the beneficiaries;
(4) the actual and expected effect of economic conditions on
principal and income and the possible effect of inflation and deflation;
(5) the expected tax consequences of a reallocation;
(6) the total return from investments;
(7) needs for liquidity, regularity of income, and preservation or
appreciation of capital;
(8) the presence or absence of a power to invade principal or other
I

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