What is one required action of a guardian when dealing with the ward's investments?

A guardian's primary responsibility when managing a ward's investments is to ensure diversified investments. Diversification is a fundamental principle in investment management that seeks to minimize risk by spreading investments across various asset classes and sectors, rather than concentrating them in a single investment. This strategy helps protect the ward's assets from market volatility and performance downturns related to specific companies or industries.

Guardians must act prudently and in the best interests of their wards, which includes making decisions that support long-term financial health and stability. By ensuring a diversified investment portfolio, guardians can safeguard the ward's financial resources against potential losses, enhancing the overall chances of achieving positive returns over time. This approach aligns with the fiduciary duty a guardian holds, necessitating careful consideration of the best investment strategies for the ward's needs and circumstances.