What is a primary duty of trustees in managing trust assets?

Trustees have a fiduciary duty to act in the best interests of the beneficiaries when managing trust assets. This obligation often requires trustees to make decisions that will benefit the beneficiaries financially and ensure that the assets are managed prudently and according to the terms of the trust. This involves not only careful management and investment of the trust assets but also making decisions that align with the beneficiaries' needs and expectations.

Fiduciary duties require trustees to avoid conflicts of interest and self-dealing, which is why seeking personal benefits, investing in high-risk stocks without consideration of the beneficiaries' interests, or managing assets for personal gain would violate their responsibilities. Instead, trustees must prioritize the welfare of the beneficiaries, ensuring that the trust is administered in compliance with applicable laws and the specific terms set forth in the trust document. This protective role ensures that beneficiaries can trust that their interests are being safeguarded and promoted effectively.