What is PRUDENT MAN RULE?

American Rule originating in 1830 by Samuel Putnum. Investors and money managers should act in the interest of the investor and not themselves when investing money for other people. Money should be invested with consideration of rthe capital’s safety as well as any interest.

More On This Topic



Link to This Definition
Did you find this definition of PRUDENT MAN RULE helpful? You can share it by copying the code below and adding it to your blog or web page.
Written and fact checked by The Law Dictionary