NZ CFS L5 Trustee Services study materials
NZ CFS L5 Trustee Services study resources

NZ CFS L5 Trustee Services study plan

NZ CFS L5 Trustee Services · Give each week a clear focus.

8 weeks · About 7 hours per week

Week 1

Trustee Services regulatory and legislative framework (Trustee Act, Trusts Act, Financial Markets Conduct Act, AML/CFT obligations) & Trust law fundamentals and the nature of fiduciary relationships

  • Map the Trustee Act and Trusts Act provisions that govern trustee powers, obligations, and court supervision into an annotated outline

  • Distinguish the core fiduciary duties (loyalty, no-profit, no-conflict) from general trustee duties and explain each in writing

  • Identify the Financial Markets Conduct Act provisions relevant to trustee and supervisor roles and note where they intersect with trust law

  • Define the AML/CFT customer due diligence, enhanced due diligence, and suspicious activity reporting steps a trustee service must perform

Your checkpoint

A one-page annotated legislation map linking each key statute to the trustee duty or process it governs

Week 2

Trust law fundamentals and the nature of fiduciary relationships & Trust formation, trust deeds, and types of trusts

  • Explain the elements of a valid express trust (certainties of intention, subject matter, objects) and apply them to two fact patterns

  • Compare fixed, discretionary, bare, and charitable trusts and state the practical consequences of each structure

  • Draft the essential clauses of a trust deed (parties, trust property, powers, distributions, termination) from a supplied fact scenario

  • Identify when a resulting or constructive trust may arise and describe the trustee's resulting obligations

Your checkpoint

A drafted trust deed skeleton with all essential clauses plus a short memo justifying each clause

Week 3

Trustee duties, powers, discretions, and liability & Beneficiary rights, distributions, and management of conflicts of interest

  • Catalogue trustee powers (investment, advancement, appropriation, delegation) and the statutory limits on each

  • Analyse trustee liability for breach of trust, including the honest and reasonable mistake defence and relief by the court

  • Explain beneficiary rights to information and to call trustees to account, and apply the principles to a disclosure request

  • Identify conflict-of-interest scenarios (self-dealing, trustee remuneration, related-party transactions) and specify the correct management steps

Your checkpoint

A case-style analysis of a breach-of-trust and conflict scenario with recommended trustee actions and liability outcomes

Week 4

Trustee investment duties, prudent person standard, and asset management & Trust administration, accounting, and record keeping

  • Apply the prudent person standard and relevant statutory investment rules to a model portfolio decision

  • Explain the duty to diversify and the role of an investment policy statement in documenting trustee decisions

  • Design a trust accounting and record-keeping system covering distributions, resolutions, and beneficiary registers

  • Reconcile a set of trust transactions to produce a distribution record and trustee resolution trail

Your checkpoint

A model investment policy statement plus a reconciled distribution and resolution record for a sample trust

Week 5

Trustee Services regulatory and legislative framework (Trustee Act, Trusts Act, Financial Markets Conduct Act, AML/CFT obligations) & Professional conduct, ethics, and client relationship management in trustee services

  • Walk through the AML/CFT onboarding workflow for a trust client, including source-of-wealth and source-of-funds verification

  • Identify professional conduct obligations and ethical dilemmas specific to trustee services and apply an ethical decision framework

  • Explain how to manage client expectations, capacity issues, and family dynamics in trustee relationships

  • Draft client-facing correspondence explaining a trustee decision in plain language

Your checkpoint

An AML/CFT onboarding checklist and a plain-language client letter explaining a trustee decision

Week 6

Trust formation, trust deeds, and types of trusts & Trustee duties, powers, discretions, and liability & Beneficiary rights, distributions, and management of conflicts of interest

  • Compare trust structures against client objectives and recommend an appropriate structure with reasons

  • Distinguish trustee discretions from duties and explain the standard of review applied to each

  • Explain how to obtain and document informed consent or court directions when a conflict arises

  • Prepare a trustee resolution exercising a discretion, with the reasoning recorded

Your checkpoint

A structure recommendation memo and a documented trustee resolution exercising a discretion

Week 7

Trust administration, accounting, and record keeping & Trustee investment duties, prudent person standard, and asset management & Professional conduct, ethics, and client relationship management in trustee services

  • Integrate accounting, investment, and conduct requirements into a full annual trust review workflow

  • Identify record-keeping failures that create evidentiary and liability risk and propose controls

  • Explain how ethical and conduct obligations shape investment and reporting decisions

  • Produce a trustee annual report summarising performance, distributions, and compliance

Your checkpoint

A complete annual trustee report for a sample trust covering performance, distributions, and compliance

Week 8

Trustee Services regulatory and legislative framework (Trustee Act, Trusts Act, Financial Markets Conduct Act, AML/CFT obligations) & Trust law fundamentals and the nature of fiduciary relationships & Trust formation, trust deeds, and types of trusts & Trustee duties, powers, discretions, and liability & Trust administration, accounting, and record keeping & Trustee investment duties, prudent person standard, and asset management & Beneficiary rights, distributions, and management of conflicts of interest & Professional conduct, ethics, and client relationship management in trustee services

  • Consolidate all eight domains into a single revision matrix with key rules and tests

  • Complete timed practice questions across every domain and log error patterns by domain

  • Revisit the lowest-scoring domains and restate the governing rules from memory

  • Simulate an exam session under time constraints and review the results

Your checkpoint

A full-length timed mock exam with a scored error log and a targeted remediation list

Milestones

Week 2: Can explain the three certainties and draft a valid trust deed skeleton without notes

Week 4: Can apply the prudent person standard and produce a reconciled distribution record unaided

Week 6: Can recommend a trust structure and document a discretionary resolution with reasoning

Week 8: Scores at least 75% on the timed mock exam with no domain below 60%