|
“Total Return” Trusts: Prudent Investing And The Impartiality Issues Edward C. Halbach May 7, 2005 TABLE OF CONTENTS
|
|||
|
Part 1. PRINCIPLES OF PRUDENCE UNDER THE “PRUDENT INVESTOR RULE” (An Overview of the Uniform Prudent Investor Act: Content and Implications) |
2 | ||
| I. | Historical Background and Objectives | 2 | |
| II. | Understanding the Prudent Investor Rule | 4 | |
| III. | The Prudent Investor Act: Key Provisions | 9 | |
| IV. | Principles of Prudence and Associated Fiduciary Duties | 10 | |
| V. | Some Concluding Observations | 13 | |
| Part II. IMPARTIALITY AND “TOTAL RETURN” INVESTING | 14 | ||
| I. |
Background: Introduction to the Problem and the Principles |
14 | |
| II. | Understanding the Duty of Impartiality: a Closer Look | 15 | |
| III. |
Understanding the Associated Duty of (Income) Productivity |
17 | |
| IV. |
Solutions: Methods of Coping with Underproductive or Overproductive Portfolios |
22 | |
| V. |
The Recent Widespread Legislation (with Unitrust Conversion in Some States) |
24 | |
| VI. | Treasury and IRS Approval | 26 | |
|
Appendix. MODERNIZED TRUST INVESTMENT LAW IN THE NEW RESTATEMENT |
A1 | ||