ABSTRACT
Throughout the administration of the trust, the trustees are required to exhibit an objective standard of skill such as would be expected from an ordinary prudent man of business. In the case of a power of investment, the duty would be exercised so as to yield the best return for all the beneficiaries, judged in relation to the risks inherent in the investments and the prospects of the yield of income and capital appreciation. The classical statement of the rule was laid down by Lord Watson in Learoyd v Whiteley.
