A "prudent person" is also known as

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A "prudent person" is synonymous with the "reasonable standard" in legal and financial contexts. It refers to the level of care, attention, and expertise that a hypothetical reasonable person with similar skills, knowledge, and experience would exercise in similar circumstances. The concept helps determine whether an individual or entity acted negligently, recklessly, or in good faith when making decisions, managing assets, or providing advice. It serves as a benchmark for fiduciaries, such as trustees, investment advisors, and corporate officers, who owe a duty of loyalty, prudence, and impartiality to their clients or beneficiaries.

A "Prudent Person" Is Also Known as