What is custodian definition?

A custodian can be defined as an individual or institution that is responsible for safeguarding and managing assets on behalf of another individual or organization. The assets can include financial securities, physical assets, property, or any other valuables. A custodian has a legal responsibility to protect and preserve the assets, including executing transactions, managing risk, and maintaining accurate records. Custodians may be employed by financial institutions such as banks, investment firms, or brokerage houses, or may also be individuals appointed by a court to manage assets in the case of a minor or incapacitated individual. The role of a custodian is critical in ensuring the safety and integrity of entrusted assets.