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Answer: beneficiaries of the pension fund.
According to **Standard III(A): Loyalty, Prudence, and Care**, the primary duty of a fund manager managing a pension plan or trust is owed to the beneficiaries of the plan or trust, not the shareholders or the management of the sponsoring company. The beneficiaries are considered the ultimate clients in such scenarios, and the duty of loyalty is directed toward them. This aligns with the ethical and professional standards of the CFA Institute, emphasizing the importance of acting in the best interests of the beneficiaries.
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Vinod Shah, CFA, serves as a fund manager for the employee pension plan of Jupiter Corporation, a publicly traded company. According to CFA Institute standards, Shah's primary duty of loyalty, prudence, and care is owed to the:
A
shareholders of Jupiter Corporation.
B
management of Jupiter Corporation.
C
beneficiaries of the pension fund.
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