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Roles and Responsibilities of Trustees
from AC 23 Concurrent Session 3
by NCEO
• ESOP Trustee is the legal shareholder of the shares held in an ESOP Trust
• Trustee holds a fiduciary responsibility for the ESOP and its participants
• With regards to valuation the Trustee is:
• Responsible for the annual valuation of the ESOP shares
• Required to vet and retain an independent valuation expert
• Play an active role in the valuation process
• Establish the annual ESOP stock price, but does not perform the valuation
• Bears the responsibility of the valuation conclusion
• Is liable for any claims of undervalue or overvalue stock that are brought against the ESOP
