Advertising with us can place you in front of thousands of visitors a day. Learn more!
- Alaska Statutes.
- Title 13. Decedents' Estates, Guardianships, Transfers, and Trusts.
- Chapter 36. Trust Administration
- Section 230. Standard of Care; Portfolio Strategy; Risk and Return Objectives.
previous: Section 225
. Prudent Investor Rule.
next: Section 235
AS 13.36.230. Standard of Care; Portfolio Strategy; Risk and Return Objectives.
- (a) A trustee shall invest and manage trust assets as a prudent investor would by considering the purposes, terms,
distribution requirements, and other circumstances of the trust. In satisfying this standard, the trustee shall
exercise reasonable care, skill, and caution.
- (b) A trustee's investment and management decisions respecting individual assets shall be evaluated not in isolation but
in the context of the trust portfolio as a whole and as a part of an overall investment strategy having risk and return
objectives reasonably suited to the trust.
- (c) Among circumstances that a trustee shall consider in investing and managing trust assets are those of the following
that are relevant to the trust or its beneficiaries:
- (1) general economic conditions;
- (2) the possible effect of inflation or deflation;
- (3) the expected tax consequences of investment decisions or strategies;
- (4) the role that each investment or course of action plays within the overall trust portfolio, which may include
financial assets, interests in closely held enterprises, tangible and intangible personal property, and real property;
- (5) the expected total return from income and the appreciation of capital;
- (6) other resources of the beneficiaries;
- (7) needs for liquidity, regularity of income, and preservation or appreciation of capital; and
- (8) an asset's special relationship or special value, if any, to the purposes of the trust or to one or more of the
- (d) A trustee shall make a reasonable effort to verify facts relevant to the investment and management of trust assets.
- (e) A trustee may invest in any kind of property or type of investment consistent with the standards of AS 13.36.225
- (f) A trustee who has special skills or expertise, or is named trustee in reliance on the trustee's representation that
the trustee has special skills or expertise, has a duty to use those special skills or expertise.
All content © 2008 by Touch
N' Go/Bright Solutions, Inc.
Note to HTML Version:
This version of the Alaska Statutes is current through December, 2007. The Alaska Statutes were automatically converted to HTML from a plain text format. Every effort has been made to ensure their accuracy, but this can not be guaranteed. If it is critical that the precise terms of the Alaska Statutes be known, it is recommended that more formal sources be consulted. For statutes adopted after the effective date of these statutes, see, Alaska State Legislature
If any errors are found, please e-mail Touch N' Go systems at E-mail. We
hope you find this information useful.