{"data":{"id":"us-nc/n.c.-gen.-stat.-36c-9-902","jurisdiction":"us-nc","citation":"N.C. Gen. Stat. § 36C-9-902","heading":"Standard of care; portfolio strategy; risk and return objectives.","body":"(a)\tA trustee shall invest and manage trust assets as a prudent investor would, by considering the purposes, terms, distribution requirements, and other circumstances of the trust. In satisfying this standard, the trustee shall exercise reasonable care, skill, and caution.\n(b)\tA trustee's investment and management decisions respecting individual assets must be evaluated not in isolation but in the context of the trust portfolio as a whole and as a part of an overall investment strategy having risk and return objectives reasonably suited to the trust.\n(c)\tAmong circumstances that a trustee shall consider in investing and managing trust assets are any of the following that are relevant to the trust or its beneficiaries:\n(1)\tGeneral economic conditions;\n(2)\tThe possible effect of inflation or deflation;\n(3)\tThe expected tax consequences of investment decisions or strategies;\n(4)\tThe role that each investment or course of action plays within the overall trust portfolio, which may include financial assets, interests in closely held enterprises, tangible and intangible personal property, and real property;\n(5)\tThe expected total return from income and the appreciation of capital;\n(6)\tOther resources of the beneficiaries known to the trustee;\n(7)\tNeeds for liquidity, regularity of income, and preservation or appreciation of capital; and\n(8)\tAn asset's special relationship or special value, if any, to the purposes of the trust or to one or more of the beneficiaries.\n(d)\tA trustee shall make a reasonable effort to verify facts relevant to the investment and management of trust assets.\n(e)\tA trustee may invest in any kind of property or type of investment consistent with the standards of this Article. (1999-215, s. 1; 2005-192, s. 2.)","path":["Chapter 36C. North Carolina Uniform Trust Code.","Article 9. Uniform Prudent Investor Act."],"source_url":"https://www.ncleg.gov/EnactedLegislation/Statutes/HTML/BySection/Chapter_36C/GS_36C-9-902.html","current_through":"S.L. 2026-30","vintage":"","retrieved_at":"2026-08-27T18:01:17Z","sha256":"0af3034fbf9f09a005237eede8e31d13430d9d6efa25d7e9bddabc5f33d764cc","source_id":"us-nc","stale":false,"prev":"us-nc/n.c.-gen.-stat.-36c-9-901","next":"us-nc/n.c.-gen.-stat.-36c-9-903"},"notice":"GroundRules: Original legal text. Not legal advice."}