Prudent Person Rule

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A standard that requires that a fiduciary entrusted with funds for investment may invest such funds only in Securities that any reasonable individual interested in receiving a good return of income while preserving his or her capital would purchase.

Historically known as the prudent or reasonable man rule, this standard does not mandate an individual to possess exceptional or uncanny investment skill. It requires only that a fiduciary exercise discretion and average intelligence in making investments that would be generally acceptable as sound.

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No references found			However, other strategies such as appropriately applying the prudent person rule could still be used, though taxpayers should note the increasing difficulty of challenging the proposed regulations when they are finalized. Prop. Regs. address deductibility of trust and estate costs by Englebrecht, Ted D.; Chiang, Wei-Chih / The Tax Adviser Although the law was changed to increase the legal limit for equity holdings to 65 percent, the prudent person rule was not adopted. Pension investment policies: why, how, and to what effect? Pension ... by Fink, Kim / Government Finance Review [3] Under the Prudent Person Rule the trustee had a duty "to make such investments and only such investments as a prudent man would make of his own property having in view the preservation of the estate and the amount and regularity of the income to be derived. Total return trusts: why didn't we think of that? by Begley, Thomas D., Jr. / Florida Bar Journal			provoke ire provoked provoker provoking provost prowess prowl prowl after prowler Proxenetae proxies proximal proximate proximate cause proximate to proximity proximity of blood Proximus est cui nemo antecedit; supremus est quem nemo sequitur proxy proxyship prudence prudens prudent prudent conduct prudent man rule Prudent Person Rule prudentia prudential prudently contrived Prudentur agit qui praecepto legis obtemperat prune prurience prurient Prussian pry pry into prying pseudo pseudonym pseudonymous psyche psychiatric hospital psychiatric ward psychological habits psychologically abnormal psychopathic psychotic puberty pubes pubescence public			Prudence Crandall Day prudences prudences prudences prudences Prudency prudens Prudenskii, German Prudenskii, German Aleksandrovich prudent prudent prudent prudent Prudent buyer Prudent buyer Prudent buyer Prudent buyer prudent conduct Prudent Global Income Fund prudent layperson standard prudent limit of endurance prudent limit of endurance prudent limit of endurance prudent limit of patrol Prudent Man Principle Prudent Man Principle Prudent man rule Prudent man rule Prudent Person Principle Prudent Person Principle Prudent Person Rule Prudent-Man Principle Prudent-Man Principle Prudent-man rule Prudent-man rule Prudent-Person Principle Prudent-Person Principle Prudent-Person Rule Prudent-Person Rule prudentia prudential prudential Prudential Asset Management Co., Ltd. Prudential Assurance Malaysia Berhad Prudential BSN Prudential Building Maintenance Corporation Prudential Corporation Asia Prudential Employee Savings Plan Prudential Financial Prudential Financial Regulatory Agency Prudential Fund Management Berhad Prudential ICICI Prudential ICICI Asset Management Company Prudential ICICI Equity and Derivatives Fund Prudential Insurance Company of America Prudential Investment Management Services LLC Prudential Liquidity Assessment Review Prudential Montana Real Estate Prudential Mutual Fund Service

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