(a) In this section, "fiduciary" means: (1) The State Treasurer; (2) An employee of the Program or the Trust who exercises any discretionary authority or control over: (i) The management or administration of the Trust; or (ii) The management or disposition of the assets of the Trust; or (3) An individual to whom the State Treasurer has delegated fiduciary duties in accordance with § 18-1905 of this subtitle. (b) A fiduciary shall discharge the fiduciary's duties with respect to the Trust: (1) Solely in the interest of the participants; (2) For the exclusive purposes of providing benefits to the participants and providing reasonable expenses of administering the Trust; (3) With the care, skill, prudence, and diligence under the circumstances then prevailing, that a prudent person acting in a like capacity and familiar with such matters would use in the conduct of an enterprise of a like character with like aims; (4) By diversifying the investments of the Trust so as to minimize the risk of large losses, unless under the circumstances it is clearly prudent not to do so; (5) In accordance with the laws governing the Trust; and (6) In accordance with the documents and instruments governing the Trust to the extent that the documents and instruments are consistent with this subtitle. (c) In exercising authority, control, or discretion with respect to the Trust, a fiduciary may not: (1) Use the assets of the Trust for the fiduciary's own interest or account; (2) Act in a transaction involving the Trust on behalf of a person, or represent a person, if the interests of the person are adverse to the interests of the Trust or the interests of participants; (3) Receive any consideration for the fiduciary's own account from a person dealing with the Trust in connection with a transaction involving the assets of the Trust; or (4) Become an endorser or surety or, in any manner, an obligor, for money lent to or borrowed from the State Treasurer.
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