National Trust Fund Act 2026

This Act comes into operation on a date to be appointed by the Minister by notification in the Gazette.

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Interpretation

a minimum of zero point one per centum of the projected annual revenue of the Federal Government as set out in the annual financial statement for that financial year laid before the House of Representatives pursuant to

Article 99 of the Federal Constitution;

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a minimum of two per centum of dividend received from Petroliam Nasional Berhad (PETRONAS) for that financial year; and

a minimum of two per centum from export duty received by the Federal Government for that financial year on depleting resources under any written law, after deducting any assignment to any State in Malaysia in relation to the export duty.

The amounts to be contributed under subsection (1) for a financial year shall be included in the annual financial statement laid before the House of Representatives pursuant to Article 99

of the Federal Constitution.

The Federal Government shall transfer the amounts to be contributed into the Fund by the end of the relevant financial year.

Contributions to Fund by other sources

such contributions as may be made by any State Government in Malaysia which derives any form of royalty from the exploitation of petroleum or other depleting resources;

all moneys from any investments of the Fund;

all grants, donations, endowments, gifts, contributions and bequests that may be made to or in favour of the Fund;

and

such contributions as may be made by any person or authority whose business includes the research or development of a depleting resource.

investments under Part IV of this Act;

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paying the remuneration, reimbursement and other expenses of the members of the Board, officers and servants of the National Trust Fund (Incorporated);

paying the charges and expenses lawfully incurred or accepted by the National Trust Fund (Incorporated)

in the performance of its duties or the exercise of its powers under this Act;

paying or expending any costs, expenses or other payments directly attributable to the administration, management and investment of the Fund.

The National Trust Fund (Incorporated) shall have perpetual succession and a common seal.

The National Trust Fund (Incorporated) may sue and be sued in its corporate name.

Subject to and for the purposes of this Act, the National

Trust Fund (Incorporated) may, upon such terms as it thinks fit—

The National Trust Fund (Incorporated) shall have the power to perform any or all of its functions, wholly or partly, in or outside Malaysia.

The National Trust Fund (Incorporated) may, with the approval of the Minister, establish a company for investment purposes as the Board thinks fit.

The common seal of the National Trust Fund (Incorporated)

shall be kept in the custody of the Chairperson and shall be authenticated by either the Chairperson or by such other person authorized by the Board in writing.

All deeds, documents and other instruments purporting to be sealed with the common seal of the National Trust Fund

(Incorporated) and authenticated in accordance with subsection (2)

shall, until the contrary is proved, be deemed to have been validly executed.

Any deed, document or other instrument which is not required to be executed under seal may be executed by a member of the Board or any officer or servant of the National Trust Fund

(Incorporated) authorized on that behalf.

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The common seal of the National Trust Fund (Incorporated)

shall be officially and judicially noticed.

a Chairperson;

a Deputy Chairperson who shall be an officer of the

Ministry of Finance;

an officer from the Prime Minister’s Department; and

not less than two but not more than four members who have knowledge, experience and expertise in business, investment, banking or finance.

to be responsible for the administration and management of the National Trust Fund (Incorporated) and investment of the Fund;

to invest moneys in the Fund to maximise long-term risk-adjusted returns on a prudent and commercial basis and in a manner not adverse to the global reputation of

Malaysia;

to formulate and submit a Strategic Asset Allocation to the Minister for approval;

to formulate investment policies including the benchmarks and standards to assess performance and risk management of investments, and to monitor compliance of such policies; and

to carry out all such activities and do all such things as are necessary or advantageous and proper for the administration of this Act, or for such other purpose consistent with this Act as may be directed by the

Minister.

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The Board may, in writing, delegate its powers which relate to the administration and management of the National Trust Fund

(Incorporated) to any person approved by the Minister.

A delegation of powers under subsection (2) shall not preclude the Board itself from exercising at any time any of the powers so delegated.

The Board may—

The Board may establish such committees as it considers necessary or expedient to assist it in the performance of its duties and exercise of its powers under this Act.

The Board shall, at all times, perform its duties and exercise its powers in good faith in the best interests of the Fund.

The Board may issue any guidelines which are not inconsistent with the provisions of this Act for carrying out its duties and powers or for giving full effect to any provision of this Act.

Notwithstanding subsection (1), no person shall hold office for more than nine years in total.

The Minister may at any time revoke the appointment of any member of the Board.

if he dies; or

upon his failure to attend three meetings of the Board consecutively without the permission of the Chairperson.

he is of unsound mind or is otherwise incapable of discharging his duties;

he has been convicted of an offence and sentenced to imprisonment for a term of not less than one year;

he has been convicted of an offence involving bribery, fraud or dishonesty; or

he is a bankrupt.

Notwithstanding subsection (1), in the absence of the

Chairperson at any meeting of the Board, a member elected by the members present shall preside over the meeting, and may exercise the powers of the Chairperson.

A decision of the Board shall be made by a simple majority of votes of the members present and voting in the meeting.

If on any question to be determined by the Board there is an equality of votes, the Chairperson shall have a casting vote in addition to his deliberative vote.

Subject to this Act, the Board may regulate its own procedure at meetings.

A disclosure under subsection (1) shall be recorded in the minutes of the meeting of the Board or committee, as the case may be, in which the matter is discussed and, after the disclosure, the member—

Any member of the Board or committee who fails to disclose his interest as required under subsection (1) commits an offence and shall, on conviction, be liable to a fine not exceeding two hundred and fifty thousand ringgit or to imprisonment for a term not exceeding five years or to both.

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No decision, act or proceedings of the Board or committee shall be invalidated on the ground that any member of the Board or committee has contravened this section.

The Chief Executive Officer—

The Chief Executive Officer shall be accountable to the

Board for the performance of his duties and the exercise of his powers.

The Chief Executive Officer shall be paid such remuneration as the Board may determine, with the approval of the Minister.

The officers and servants of the National Trust Fund

(Incorporated) shall hold office for such period, receive such remuneration and shall be subject to such regulations on conduct and discipline and other terms and conditions of service as may be determined by the Board.

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education;

healthcare;

climate change mitigation and adaptation.

If in any financial year the Minister thinks that it is necessary to authorize a withdrawal exceeding the maximum amount set in accordance with subsection (1), the Minister shall, by motion, obtain the approval of the House of Representatives.

The House of Representatives may, by resolution, approve the motion referred to in subsection (2).

Any amount available to be withdrawn in a financial year which has not been withdrawn shall not be carried forward to the following financial year.

In this section, “long-term expected real rate of return”

means the rate of return per annum, adjusted for inflation or deflation, that can be expected to be earned from investments of the Fund over a period of twenty years.

The Minister shall not approve any withdrawal from the Fund in a financial year if—

The person whose application for a withdrawal has been approved under this section shall submit a report to the Minister on the utilisation of funds and the extent to which the intended results or deliverables have been achieved.

The report referred to in subsection (3) shall be submitted by the end of the financial year of the Fund and the subsequent financial years until the funds have been fully utilised for the approved purpose.

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The annual report prepared by the National Trust Fund

(Incorporated) shall disclose the approved withdrawals from the Fund for that financial year and the actual amount utilised.

in deposit of money or gold in any bank or, central bank or other monetary authority;

in money market instruments, including treasury bills, bankers’ acceptances and certificates of deposit, with maturity periods not exceeding one year;

in securities issued or guaranteed by any sovereign government, agencies of such government, central bank or other monetary authority, or supranational or multilateral organisation, including securities where the sovereign government, agencies of such government, central bank or other monetary authority, or supranational or multilateral organisation is the obligor;

in securities issued by any company or corporation;

in shares in any public company which are listed on any stock exchange;

in real estate investment trusts;

in funds, including unit trusts and exchange traded funds;

in precious metals, including gold, silver, platinum and palladium;

in private equity, real estate and infrastructure, through funds managed by any fund management company;

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in derivatives; and

in any other investments with the approval of the Minister, denominated in any currency, whether in or outside Malaysia.

For the purposes of investments under this section, the

Board shall formulate a Strategic Asset Allocation specifying the long-term investment strategy, which includes the expected return, the asset classes permitted for investment and the risk tolerance of the asset classes.

The Board shall submit the Strategic Asset Allocation prepared under subsection (2) to the Minister for approval.

The Strategic Asset Allocation approved by the Minister shall serve as a guidance for the making of an investment under this section.

In this section, “securities” means—

Without prejudice to the generality of subsection (1), regulations may be made in relation to all or any of the following matters:

Subsection (1) shall apply to the following persons:

Any person who contravenes subsection (1) commits an offence and shall, on conviction, be liable to a fine not exceeding one hundred thousand ringgit or to imprisonment for a term not exceeding three years or to both.

the National Trust Fund Act 1988 [Act 339], which is referred to as the “repealed Act” in this Act, is repealed;

and

the National Trust Fund and the National Trust Fund

Panel established under the repealed Act shall cease to exist.

Any reference to the National Trust Fund Panel in any written law including subsidiary legislation or administrative document shall be construed as a reference to the National Trust

Fund (Incorporated).

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Any period during which a person served as a member of the National Trust Fund Panel shall be taken into account in determining his period of service as a member of the Board under this Act.

Every chose in action vested in the National Trust Fund

(Incorporated) by virtue of subsection (1) may, on and after the date of the coming into operation of this Act, be sued on, recovered or enforced by the National Trust Fund (Incorporated)

in its own name and it shall not be necessary for the National

Trust Fund (Incorporated) to give notice to the person bound by the chose in action of the vesting effected by that subsection.

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Every right and liability vested in the National Trust Fund

(Incorporated) by virtue of subsection (1) may, on and after the date of the coming into operation of this Act, be sued on, recovered or enforced by or against the National Trust Fund (Incorporated) in its own name and it shall not be necessary for the National Trust

Fund (Incorporated) to give notice to the person whose right or liability is affected by the vesting effected by that subsection.

Any delegation of powers or duties to Bank Negara

Malaysia under the repealed Act shall, on the date of the coming into operation of this Act, continue to be valid until revoked by the Minister, on the recommendation of the Board.

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