DEFINITION of 'Trustee'

A person or firm that holds or administers property or assets for the benefit of a third party. A trustee may be appointed for a wide variety of purposes, such as in the case of bankruptcy, for a charity, a trust fund or for certain types of retirement plans or pensions. They are trusted to make decisions in the beneficiary's best interests.


A trustee is required to uphold a strong level of integrity and impartiality in conducting its duties. Typically, a trustee is not permitted to benefit or profit from its position unless the trust document specifically allows for payments to the trustee for providing services. Often, a trustee may have a fiduciary responsibility to the trust beneficiaries.

  1. Indenture

    A legal and binding contract between a bond issuer and the bondholders. ...
  2. Bare Trust

    A basic trust in which the beneficiary has the absolute right ...
  3. Bond Trustee

    A financial institution with trust powers, such as a commercial ...
  4. Employee Trust

    A trust fund established by an employer on behalf of its employees ...
  5. Exemption Trust

    A trust whose purpose is to drastically reduce or eliminate federal ...
  6. Irrevocable Trust

    A trust that can't be modified or terminated without the permission ...
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  1. Who can make catch-up contributions to a Health Savings Account (HSA)?

    An eligible individual who is 55 years or older at the end of his tax year can make additional catch-up contributions to ... Read Full Answer >>
  2. What are some examples of fiduciary duty?

    Under the U.S. legal system, a fiduciary duty is the legal term describing the relationship between two parties that obligates ... Read Full Answer >>
  3. What is a good book on creating a trust that would qualify as the beneficiary for ...

    "Life And Death Planning For Retirement Benefits" has all you need and more. If you read this book, you won't need any luck.To ... Read Full Answer >>
  4. If a trust is named as the beneficiary of an IRA, can the trustee of that trust become ...

    While the IRA owner is alive, only the IRA owner can change the designated beneficiary of the IRA. Exceptions may apply ... Read Full Answer >>
  5. Can personal loans be included in bankruptcy?

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