Trustee

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.

BREAKING DOWN 'Trustee'

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.

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