The following terms or comparable language in the provisions of a trust, unless otherwise limited or modified, authorizes any investment or strategy permitted under this article: "investments permissible by law for investment of trust funds," "legal investments," "authorized investments," "using the judgment and care under the circumstances then prevailing that persons of prudence, discretion, and intelligence exercise in the management of their own affairs, not in regard to speculation but in regard to the permanent disposition of their funds, considering the probable income as well as the probable safety of their capital," "prudent man rule," "prudent trustee rule," "prudent person rule," and "prudent investor rule."
Source: L. 95: Entire article added, p. 311, § 1, effective July 1.
This provision is taken from the Illinois act, 760 ILCS § 5/5(d) (1992), and is meant to facilitate incorporation of the Act by means of the formulaic language commonly used in trust instruments.
Structure Colorado Code
Title 15 - Probate, Trusts, and Fiduciaries
Article 1.1 - Uniform Prudent Investor Act
§ 15-1.1-101. Prudent Investor Rule
§ 15-1.1-102. Standard of Care - Portfolio Strategy - Risk and Return Objectives
§ 15-1.1-104. Duties at Inception of Trusteeship
§ 15-1.1-107. Investment Costs
§ 15-1.1-108. Reviewing Compliance
§ 15-1.1-109. Delegation of Investment and Management Functions
§ 15-1.1-110. Language Invoking Standard of Article
§ 15-1.1-111. Application to Existing Trusts
§ 15-1.1-112. Uniformity of Application and Construction
§ 15-1.1-115. Colorado Changes to Uniform Act - Specific Statutes Control - Use of Term "Trustee"