What is a universal assumption held by fiduciaries about clients?

The assumption that clients are competent unless proven otherwise is a fundamental principle within the realm of fiduciary duties. This perspective underscores the importance of respecting a client's autonomy and decision-making abilities. In practice, fiduciaries operate under the belief that clients possess the capacity to understand their circumstances and make informed choices about their own affairs.

This universal assumption serves several critical functions. It fosters a trusting relationship between fiduciaries and clients, as it empowers clients to take an active role in their decision-making processes. It also upholds the legal and ethical standards of professional conduct, ensuring that fiduciaries do not unjustly limit the agency of their clients without substantive evidence of incapacity or incompetence.

The other options do not align with the core principles governing fiduciary relationships. For instance, the idea that all clients require constant guidance undermines the autonomy and capabilities of clients who can make their own informed decisions. Similarly, suggesting that only clients with legal incapacity need assistance does not account for the diverse range of needs and preferences of clients who may require different types of support. Finally, the notion that all clients clearly understand their own needs overlooks the complexities of individual situations and the possibility that clients may benefit from guidance in navigating their affairs.