"Legal guardianship" is a court granted authority in which a responsible person (a "fiduciary") is appointed to manage the financial affairs and property interests of a third party (a "ward"). A guardianship bond is often required to protect the ward's assets from gross mismanagement or fraudulent conversion by the guardian. A ward can be a minor, having not reached the age of majority and legally unable to handle his or her funds. A ward can also be an elderly person who may no longer be competent to handle his or her finances or where the possibility of exploitation of the senior exists. Because of a guardian's strict duty to act only in the best interests of the ward, avoiding any possible conflicts of interest and exercising the utmost diligence in the management of the ward's affairs, a fiduciary bond is the best form of financial assurance to protect the ward.