Archive for March 2020

How much is too much for a trustee to be paid? (Part 1 of 3)

Duty: Section 7 of the Uniform Prudent Investor Act directs that “… a trustee may only incur costs that are appropriate and reasonable in relation to the assets, the purposes of the trust, and the skills of the trustee.” This duty to only incur reasonable costs includes the trustee’s duty to pay themselves only reasonable…

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Duty to Monitor the Total Return of a Trust Portfolio

Statutory Considerations: Section 2(c)(5) of the Uniform Prudent Investor Acts directs that “Among that a trustee shall consider in investing and managing trust assets are… the expected total return from income and the appreciation of capital;” In response to this duty, a prudent trustee will adopt a policy in which the total investment return for…

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