fiduciary

1 of 2

adjective

fi·​du·​cia·​ry fə-ˈdü-shē-ˌer-ē How to pronounce fiduciary (audio)
-shə-rē,
-ˈdyü-,
fī-
: of, relating to, or involving a confidence or trust: such as
a
: held or founded in trust or confidence
a fiduciary relationship
a bank's fiduciary obligations
b
: holding in trust
c
: depending on public confidence for value or currency
fiduciary fiat money

fiduciary

2 of 2

noun

plural fiduciaries
: one that holds a fiduciary relation or acts in a fiduciary capacity

Did you know?

Fiduciary relationships are often of the financial variety, but the word fiduciary does not, in and of itself, suggest pecuniary ("money-related") matters. Rather, fiduciary applies to any situation in which one person justifiably places confidence and trust in someone else, and seeks that person's help or advice in some matter. The attorney-client relationship is a fiduciary one, for example, because the client trusts the attorney to act in the best interest of the client at all times. Fiduciary can also be used as a noun referring to the person who acts in a fiduciary capacity, and fiduciarily or fiducially can be called upon if you are in need of an adverb. The words are all faithful to their origin: Latin fīdere, which means "to trust."

Examples of fiduciary in a Sentence

Recent Examples on the Web
Adjective
The Musk lawsuit claims against OpenAI, Altman, and Brockman include breach of contract, breach of fiduciary duty, and unfair business practices. Georg Szalai, The Hollywood Reporter, 1 Mar. 2024 The lawsuit, which seeks a jury trial, accused OpenAI and Mr. Altman of being in breach of contract and violating fiduciary duty, as well as unfair business practices. Tripp Mickle, New York Times, 1 Mar. 2024 Concerns have been raised about potential clauses in the corporate charters of these entities that mandate fiduciary disputes to be resolved in Delaware courts. Nizan Geslevich Packin, Forbes, 1 Mar. 2024 Musk is suing for breach of contract, breach of fiduciary duty and claims of unfair business practices, among other grievances. Rachel Metz, Fortune, 1 Mar. 2024 Activist investors could file shareholder actions to elect new directors and launch litigation for breach of fiduciary duties and securities violations, for instance, the report says. Manuel Roig-Franzia, Washington Post, 28 Feb. 2024 But remember to always consult a tax advisor or fiduciary financial advisor before making any of these decisions. Amy Wagner and Steve Hruby, The Enquirer, 23 Feb. 2024 Late last month, a Delaware court struck down Elon Musk’s $55.8 billion Tesla pay package in response to a shareholder lawsuit that claimed the proposal breached fiduciary duty to investors. Emma Hinchliffe, Fortune, 16 Feb. 2024 Being a Trust Protector carries some risks, even though most trusts explicitly state that the Trust Protector does not have a fiduciary duty to the trust or beneficiaries. Matthew Erskine, Forbes, 16 Feb. 2024
Noun
Calendar-year partnership, corporation, fiduciary and S corporation returns, which were previously due March or April 15 — for federal and state alike. Roxana Popescu, San Diego Union-Tribune, 27 Feb. 2024 Fund managers are fiduciaries who are supposed to work in the best interest of their investors. R. David McLean, National Review, 31 Jan. 2024 The provision lessens the liability of a plan fiduciary when selecting an insurance company to provide an annuity in a 401(k) plan. Susan Tompor, Detroit Free Press, 5 Jan. 2024 Perhaps Nussbaum’s boldest position is that wild animals should also be represented by fiduciaries, and indeed be assured, by humans, the same flourishing as any other creature. Elizabeth Barber, The New Yorker, 16 Dec. 2023 No credible broker acting as fiduciary for its clients, and certainly no asset manager managing pensions funds, is going to want to open an account directly with a crypto exchange and then trade massive volumes of the stuff. Damian Bunce, Forbes, 30 Nov. 2023 Their certifications, fees, minimums and services can vary widely and not all of them act as fiduciaries, putting clients’ needs above their own. Bernice Napach, wsj.com, 24 Oct. 2023 This is about being a fiduciary to all the stakeholders that are important to a company. Fortune Editors, Fortune, 25 Oct. 2023 Another example: The idea of fiduciaries investing in the venture capital industry was once considered heresy. Roy Swan, Fortune, 8 Mar. 2023

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'fiduciary.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Word History

Etymology

Adjective

borrowed from Latin fīdūciārius "holding in trust, of a trustee, (of property) held on trust," from fīdūcia "transference of a property on trust, trust, reliance, confidence" (from *fīdūcus "trusting" —from fīdere "to trust [in], have confidence [in]" + -ūcus, deverbal adjective suffix— + -ia -ia entry 1) + -ārius -ary entry 2 — more at faith entry 1

Noun

borrowed from Medieval Latin fīdūciārius, noun derivative of Latin fīdūciārius, adjective, "holding in trust, of a trustee" — more at fiduciary entry 1

First Known Use

Adjective

circa 1641, in the meaning defined above

Noun

1631, in the meaning defined above

Time Traveler
The first known use of fiduciary was in 1631

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Cite this Entry

“Fiduciary.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/fiduciary. Accessed 18 Mar. 2024.

Legal Definition

fiduciary

1 of 2 noun
plural fiduciaries
: one often in a position of authority who obligates himself or herself to act on behalf of another (as in managing money or property) and assumes a duty to act in good faith and with care, candor, and loyalty in fulfilling the obligation : one (as an agent) having a fiduciary duty to another see also fiduciary duty at duty, fiduciary relationship compare principal

fiduciary

2 of 2 adjective
1
: of, relating to, or involving a confidence or trust
a guardian acting in his fiduciary capacity
2
: of or relating to a fiduciary or the position of a fiduciary
a fiduciary bond
Etymology

Adjective

Latin fiduciarius, from fiducia trust, transfer of a property on trust

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