A CFA Institute member noticed their colleagues were not maintaining records of changes in security regulations as required. Ignoring this would violate Standard I(A)'s requirement to strive to improve competence in the profession.
A CFA Institute member who works for a firm is not required to deliver a copy of the Code and Standards to their employer.
A CFA Institute member providing investment advice across multiple countries must adhere to the Code and Standards in countries with less strict laws, and the local laws in countries where the laws are stricter than the Code and Standards.
Copyright:
Attribution Non-Commercial (BY-NC)
Available Formats
Download as DOC, PDF, TXT or read online from Scribd
A CFA Institute member noticed their colleagues were not maintaining records of changes in security regulations as required. Ignoring this would violate Standard I(A)'s requirement to strive to improve competence in the profession.
A CFA Institute member who works for a firm is not required to deliver a copy of the Code and Standards to their employer.
A CFA Institute member providing investment advice across multiple countries must adhere to the Code and Standards in countries with less strict laws, and the local laws in countries where the laws are stricter than the Code and Standards.
A CFA Institute member noticed their colleagues were not maintaining records of changes in security regulations as required. Ignoring this would violate Standard I(A)'s requirement to strive to improve competence in the profession.
A CFA Institute member who works for a firm is not required to deliver a copy of the Code and Standards to their employer.
A CFA Institute member providing investment advice across multiple countries must adhere to the Code and Standards in countries with less strict laws, and the local laws in countries where the laws are stricter than the Code and Standards.
Copyright:
Attribution Non-Commercial (BY-NC)
Available Formats
Download as DOC, PDF, TXT or read online from Scribd
A CFA Institute member noticed their colleagues were not maintaining records of changes in security regulations as required. Ignoring this would violate Standard I(A)'s requirement to strive to improve competence in the profession.
A CFA Institute member who works for a firm is not required to deliver a copy of the Code and Standards to their employer.
A CFA Institute member providing investment advice across multiple countries must adhere to the Code and Standards in countries with less strict laws, and the local laws in countries where the laws are stricter than the Code and Standards.
Copyright:
Attribution Non-Commercial (BY-NC)
Available Formats
Download as DOC, PDF, TXT or read online from Scribd
Download as doc, pdf, or txt
You are on page 1/ 2
Ethics
Notes
A single misdemeanor conviction for possession of illegal narcotics is not grounds for a summary suspension.
The CFA Institute member may respond in writing to charges from a supervisor, but this is not a requirement, and it is not a basis for suspension without a hearing. All of the others, including being barred by a governmental agency, constitute grounds for suspension without a hearing.
Standard III (A)
Because of the time and expense involved in voting a proxy, Members and Candidates are not required to vote every proxy. A cost benefit analysis can be performed to determine if it is necessary to vote a proxy.
Standard (V) Investment Analysis, Recommendations and Actions, when McCoy returns to his office he should:
document the details of the conversation with the client with regard to his investment recommendation.
Not knowingly violating the law is in the Standards of Professional Conduct, but is not in the Code of Ethics.
A broker and CFA charterholder has been arrested for the crime of murder. Which, if any, of the following could result in the member being summarily suspended from using the CFA designation?
A) If he is convicted of the crime only.
B) All of the results listed here. C) Either being convicted or pleading guilty to the crime. D) He is acquitted of the crime, but he is barred from continuing to work in the investment industry.
WEB, an investment-banking firm, is the principal underwriter for MTEX's upcoming debenture issue. Wendy Berry, CFA, an analyst with WEB, has found out from an employee in MTEX's programming department that a serious glitch was recently discovered in the software program of their major new product line. In fact, the glitch is so bad that most of their orders have been canceled. Berry checked the debenture's prospectus and found no mention of this development. The red herring prospectus has already been distributed. Berry's best course of action is to:
Berry should report this information only to her immediate supervisor. Subsequently, she and her supervisor may consult with legal counsel concerning the competing issues in this situation. For the present, she should avoid disclosure to colleagues who do not need to know the information and she should also avoid disclosure to clients.
Members are not required to report violations of others to regulatory authorities, either verbally or in writing, but such reporting may be prudent.
dissociate herself from the illegal activity by reporting the activity to the appropriate authorities. However, the Code and Standards do not require
Standard I(A) says that when a member feels a law has been broken, the member should seek advice from the firm’s counsel. If the member feels the advice is unbiased and competent, the member should follow it. If the member knows a law has been violated, the member should contact a supervisor.
For an employee with the CFA designation who works for a firm, which of the following is NOT necessary to meet the requirements of the Code and Standards? B) Deliver a copy of the Code and Standards to their employer.
It is no longer required but recommended that CFA members and candidates notify their employer that they are required to follow the Code and Standards.
a fight broke out and the CFA Institute member was the instigator, but no one was seriously hurt. Is this a violation of I(A) concerning maintaining knowledge and complying with laws, rules, and regulations?
Standard I(A) requires that a CFA Institute member obey the Code of Ethics. Among other things, the Code says the member shall act with respect and in an ethical manner with the public and colleagues.
A CFA Institute member conscientiously maintains records of changes in security regulations. The member notices that his colleagues do NOT, and does NOT say anything. Is this a violation of Standard I(A)?
Component three of the Code says that a member shall “Strive to maintain and improve their competence and the competence of others in the profession.” Ignoring the neglect of rule changes of others would clearly be incongruent with this component.
Janet Green, CFA, provides investment advice and other services to clients in several countries. She resides in Country A whose securities laws and regulations are less strict than the Code and Standards. She also conducts business with clients in Country B, which has no securities laws or regulations, and in Country C, which has securities laws and regulations that are stricter than the Code and Standards. Which of the following statements is TRUE? According to CFA Institute Standards of Professional Conduct, Green must adhere to the Code and Standards in:
A) Country A but the law in Country B and Country C.
B) Country B but the law in Country A and Country C. C) Country A, Country B, and Country C. D) Country A and Country B but the law in Country C.
Green needs to follow Standard I(A) -- Knowledge of the law. In Country A, Green must adhere to the Code and Standards because Country A’s laws are less strict. In Country B, Green must also adheres to the Code and Standards because Country B has no securities laws. Because Country C’s applicable law is stricter than the requirements of the Code and Standards, Green must adhere to the laws of Country C.
The Small-Business Guide to Government Contracts: How to Comply with the Key Rules and Regulations . . . and Avoid Terminated Agreements, Fines, or Worse
