Which of the following is a legal requirement for a fiduciary?

A fiduciary is legally bound to act with the utmost good faith and loyalty towards the beneficiaries of a trust or estate. This means that they must prioritize the interests of the beneficiaries above their own personal interests and avoid any conflicts of interest. This duty ensures that the fiduciary manages the assets with care and adheres to the principles of transparency and accountability, thereby fostering trust between them and the beneficiaries.

The requirement to act with utmost good faith and loyalty is central to the fiduciary relationship and is a critical component of fiduciary law. Fiduciaries are held to a high standard of conduct, which includes making informed decisions that benefit the beneficiaries, disclosing any potential conflicts of interest, and acting in the best interest of those they serve.

In contrast, the focus on maximizing personal benefits from trust management undermines the fiduciary's duty and can lead to breaches of trust. The promise to guarantee profits on investments is unrealistic and does not reflect the inherent risks involved in investment activities. Moreover, following instructions solely from a single beneficiary may not align with the fiduciary's duty to act in the best interests of all beneficiaries, especially in cases where different beneficiaries have competing interests.