What is one of the specific duties of a fiduciary as dictated by ERISA?

A fiduciary's primary responsibility under the Employee Retirement Income Security Act (ERISA) is to act solely in the interest of plan participants and beneficiaries. This duty is fundamental to the fiduciary's role because it ensures that decisions are made with the best interests of the participants at the forefront, emphasizing loyalty and prudence in the management of retirement plans.

This duty encompasses the obligation to provide benefits to participants, manage plan assets wisely, and avoid conflicts of interest. Essentially, fiduciaries must prioritize the financial well-being of those they serve, which is critical for maintaining trust in retirement plan management. By doing so, they help ensure that participants receive the promised benefits without any adverse influence from personal interests or external pressures.

The other choices, while touching on relevant aspects of fiduciary responsibility, do not encapsulate the core duty as comprehensively. For instance, achieving the highest returns regardless of risk undermines the principle of prudence. Avoiding transactions with parties-in-interest is one limited aspect of fiduciary duties, but it does not cover the overall ethical obligation to participants. Keeping plan participants informed of investment options is important, but again, it is part of the broader duty rather than the sole defining role of a fiduciary.