P.R. Laws tit. 7, § 3041
(a) The Administrator of a fund shall act in a fiduciary capacity for the good of the fund and its beneficiaries. The Administrator of the fund shall also be responsible for maximizing profits and minimizing any investment loss, without considering the tax credits available. For such reason, he/she shall take the necessary measures, diligently and honestly, and shall not violate nor allow the violation of the laws and regulations in effect, nor assume positions or make decisions that contravene the best interest of the fund or its investors.
(b) It shall be deemed that the Administrator of the fund has exercised due diligence if he/she can show through proper documentation that prior to making the investment he/she conducted a reasonable investigation which, in view of all the facts and circumstances, provided reasonable grounds to believe that upon disbursing the funds they would be used for a business venture. The standard to determine what constitutes a reasonable investigation and reasonable grounds would be that required by a prudent man in a position as trustee.
History —Jan. 28, 2000, No. 46, § 22.