The Uniform Prudent Investor Act

The Uniform Prudent Investor Act guides how trustees should manage and invest trust assets responsibly. It emphasizes that investments should be diversified and made with care, skill, and judgment to balance risk and return. The goal is to grow the trust’s assets while safeguarding them for the beneficiaries’ future needs. Trustees are expected to follow modern investment principles, considering economic factors, and to act in the best interests of the beneficiaries, rather than focusing solely on traditional or conservative investments. Overall, it promotes prudent, well-informed investing to ensure the trust's long-term stability and effectiveness.