The Foundation for Fiduciary Studies (Foundation) is a not-for-profit organization established in September of 2000 to develop and advance practice standards of care (Practices) for investment fiduciaries, which includes trustees, investment committee members, brokers, bankers, investment advisors, money managers, etc. It is independent of any ties to the investment community and therefore positioned to be a crucible for advancing the Practices throughout the industry.

There are an estimated five million people who have the legal responsibility for managing someone else's money, yet there is a surprising lack of detailed information that defines the investment management process they should follow. Legislation, case law and regulatory opinion letters provide the skeleton of that process - the role of the Foundation is to add muscle, skin and hair and to help bring the body to life. For example, fiduciary legislation clearly requires that a due diligence process be followed in selecting an investment option, yet the industry had never defined what constitutes a minimum due diligence process.

The tangible result of the Foundation’s mission is the Prudent Practices for Investment Fiduciaries handbook series. The Investment Stewards (blue) handbook highlights the 22 Practices that form the process a trustee or investment committee member should follow in managing their investment decisions. The Investment Advisors (red) handbook features 23 Practices that mirror the Stewards process, yet are specifically tuned to an advisor’s unique role in the investment process. Finally, there are an additional 24 Practices written specifically for an Investment Manager (green), covering their responsibilities of buying and selling the individual securities for an investment portfolio.

The handbooks represent the best the industry has to offer in terms of defining fiduciary excellence. Combining the minimum requirements of pertinent legislation with industry best practices, any person in the position of having fiduciary responsibility can be certain their obligations are being met when they follow the process defined in the handbook that is written for their role in the investment process.

In addition to the handbooks, the Foundation also produces a series of Self-Assessments of Fiduciary Excellence (SAFE). The SAFE series allows fiduciaries to do a quick test of how their practices conform to the Practices defined by the Foundation. PDF versions of the SAFEs are available for download (Stewards, Advisors, or Managers), or try the free online SAFE.

The Foundation is dedicated to continuing to provide the most complete and up-to-date information regarding fiduciary responsibility. While the position of the Foundation is that the Practices define a complete process for investment fiduciaries, it will monitor the latest developments in the industry. New legislation, legal decisions and interpretations, and other current events have the ability to change roles and responsibilities of investment fiduciaries, and the Foundation is committed to advancing that knowledge to the public.