Prudent Investor Rule - Mich. Comp. Laws Section 700.1502
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Michigan Laws > Estates And Protected Individuals Code > Prudent Investor Rule - Mich. Comp. Laws Section 700.1502
700.1502 Prudent investor rule.
Sec. 1502.
(1) A fiduciary shall invest and manage assets held in a fiduciary capacity as a prudent investor would, taking into account the purposes, terms, distribution requirements expressed in the governing instrument, and other circumstances of the fiduciary estate. To satisfy this standard, the fiduciary must exercise reasonable care, skill, and caution.
(2) The Michigan prudent investor rule is a default rule that may be expanded, restricted, eliminated, or otherwise altered by the provisions of the governing instrument. A fiduciary is not liable to a beneficiary to the extent that the fiduciary acted in reasonable reliance on the provisions of the governing instrument.
History: 1998, Act 386, Eff. Apr. 1, 2000
Popular Name: EPIC
Section: 700.1307 700.1308 700.1309 700.1401 700.1402 700.1403 700.1501 700.1502 700.1503 700.1504 700.1505 700.1506 700.1507 700.1508 700.1509
Last modified: March 17, 2013
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