CPG Property and Asset Management Flashcards

What is the primary fiduciary duty of a CPG when managing a ward's property and assets?

Answer: Manage assets prudently and solely in the ward's best interest

A CPG's primary duty is to act as a prudent fiduciary, managing the ward's property and assets solely in the ward's best interest.

Which investment standard typically governs decisions made by a professional guardian regarding a ward's assets?

Answer: The prudent investor standard requiring care, skill, and caution

The prudent investor standard requires guardians to make investment decisions with the care, skill, and caution that a reasonable, prudent person would exercise.

Why must a CPG maintain separate accounts for each ward's funds?

Answer: It prevents commingling and protects each ward's assets from being mixed with others

Maintaining separate accounts prevents commingling, which protects each ward's assets and preserves clear financial accountability for every individual ward.

What is the purpose of completing an inventory at the commencement of a guardianship?

Answer: To document all of the ward's assets and liabilities at the time guardianship begins

An inventory documents all of the ward's assets and liabilities at the inception of guardianship, establishing a critical baseline for fiduciary management.

When should a CPG obtain an independent appraisal of a ward's real property?

Answer: Before selling, transferring, or making significant decisions about the property

An independent appraisal should be obtained before selling, transferring, or making significant decisions about real property to verify fair market value.

A CPG discovers a ward owns real property that is vacant, generating no income, and incurring high maintenance costs. What should the guardian do?

Answer: Evaluate all available options and seek court authorization before making major decisions

The CPG should evaluate all options—including sale or rental—and seek court authorization before making any major decision regarding the property.