2010 Pennsylvania Code
Title 20 - DECEDENTS, ESTATES AND FIDUCIARIES
Chapter 72 - Prudent Investor Rule
7204 - Diversification.

     § 7204.  Diversification.
        (a)  Requirement.--Except as provided in section 7205
     (relating to retention of inception assets), a fiduciary shall
     reasonably diversify investments, unless the fiduciary
     reasonably determines that it is in the interests of the
     beneficiaries not to diversify, taking into account the
     purposes, terms and other circumstances of the trust and the
     requirements of this chapter.
        (b)  Applicability.--Subsection (a) does not apply to any of
     the following:
            (1)  A trust which became irrevocable prior to December
        25, 1999. This paragraph applies even if the action of the
        trustee occurs after December 25, 1999.
            (2)  A trust created by a revocable instrument executed
        prior to December 25, 1999, if such instrument is not amended
        after December 24, 1999. This paragraph applies even if the
        action of the trustee occurs after December 25, 1999.
     (Nov. 6, 2002, P.L.1101, No.133, eff. imd.)

        2002 Amendment.  Act 133 reenacted and amended the entire
     section. Section 5 of Act 133 provided that the General Assembly
     finds and declares that the amendment of section 7204 is
     intended to clarify existing law and shall not be construed to
     change existing law.
        Special Provisions in Appendix.  See section 6(b) of Act 28
     of 1999 in the appendix to this title for special provisions
     relating to applicability.