Fiduciary

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Related to fiduciary duty: Fiduciary Responsibility

Fiduciary

One who must act for the benefit of another party.

Fiduciary

1. A person appointed to handle another person's finances. A fiduciary holds the assets of another person and is required to act in the best interests of that person; he/she is not allowed to invest for personal profit. See also: Prudent person rule.

2. Describing a duty or obligation to act in the best interest of another person or institution. For example, an elected government might state that it has a fiduciary duty to wisely use the taxes it collects.

3. An unsecured loan.

fiduciary

A person, such as an investment manager or the executor of an estate, or an organization, such as a bank, entrusted with the property of another party and in whose best interests the fiduciary is expected to act when holding, investing, or otherwise using that party's property.

Fiduciary.

A fiduciary is an individual or organization legally responsible for managing assets on behalf of someone else, usually called the beneficiary. The assets must be managed in the best interests of the beneficiary, not for the personal gain of the fiduciary.

However, the concept of acting responsibly can be broadly interpreted, and may mean preserving principal to some fiduciaries and producing reasonable growth to others.

Executors, trustees, guardians, and agents with powers of attorney are examples of individuals with fiduciary responsibility. Firms known as registered investment advisers (RIAs) are also fiduciaries.

fiduciary

A person who enjoys a relationship of trust or confidence with respect to another such that the law will impose greater than normal responsibilities on the fiduciary for honesty, integrity,candor,and scrupulous good faith even if it means sacrificing the interests of the fiduciary. Typical fiduciaries include attorneys, real estate agents representing principals, trustees, and guardians. Because of the fiduciary relationship between an agent and principal, it is difficult to understand the concept of dual agency, in which the broker may represent both the buyer and seller.A seller's fiduciary must keep all the client's information confidential,not volunteer anything unless absolutely required by law, and attempt to gain the highest possible price for the property. A buyer's fiduciary must ferret out all secrets, volunteer all information regarding anything at all that might affect property values, recommend the most thorough home inspectors, and attempt to obtain the lowest possible price for a property. These positions are extremely difficult to reconcile in one person.

Fiduciary

One who acts for an estate or trust to manage the property of the estate or trust.
References in periodicals archive ?
A duty is a fiduciary duty if it is owed exactly because the person who owes it is in a fiduciary relationship.
Corporate decisional law on breaches of fiduciary duty arising from improper information sharing spans many topics--among them, trade secrets, noncompetition, other conflicting interests, and even state law claims regarding insider trading.
In fact, the Senate sponsor of Florida's Revised LLC Act (a Florida lawyer with experience litigating LLC fiduciary duty issues), was indeed concerned with the potential for abuse or oppression by parties in control of an LLC, which had members without any participation in or control over the activities and affairs of the LLC.
It seems to me that for this fiduciary duty to be better than the Board's prior fiduciary duty (read: better than no fiduciary duty at all), the Board is going to have to add a meaningful enforcement element so that investors can be reasonably confident that their CFP is truly acting in their best interest -- for instance, a requirement that all CFPs register as RIAs or work full-time for their BDs' RIA...
Additionally, what is the difference between having the no-conflict and no-profit rules facilitate the core fiduciary duty, as he suggests, rather than having the core duty ensure the discharging of the no-conflict and no-profit rules?
Perhaps the leading California case on the issue of stockbrokers' fiduciary duty can be found in Twomey v.
aired an advertisement that said "we will not rest" until "my client knows she comes first," but in arbitration relied on the fact that "a broker does not owe a fiduciary duty to his customer in a nondiscretionary account."
is not a fiduciary duty. The arguments have varying degrees of merit,
Hub International Insurance Services, decided on March 10, slams the door on the presumption of a fiduciary duty in a normal broker/policyholder relationship.
And how should I begin?" (58) Courts usually start by distinguishing between formal relationships that "give rise to a fiduciary duty as a matter of law," and informal fiduciary relationships, which exist "as a result of the special circumstances of the parties' relationship." (59) Generally speaking, the common law of the several states has settled upon a list of traditional, formal fiduciary relationships that includes agents and their principals, trustees and beneficiaries, business partners, corporate managers and shareholders, guardians and their wards, and attorneys and their clients.
A detailed examination of the Court's language reveals that the duty of directors in Canada to "act honestly and in good faith with a view to the best interests of the corporation" (22) is an implied three-part fiduciary duty (collectively, the tripartite fiduciary duty), which operationalizes the principle of fair treatment.
So, whether or not a broker or advisor would be deemed to have a fiduciary duty to a client would depend on a complexity of circumstances that the client is supposed to be able to sort out on his or her own?