Jack Oboyo, FRM, is a manager at Somalia's largest investment bank, managing a portfolio that focuses on stocks from Somalia's logistics and transportation sector. Oboyo has some close contacts at the securities exchange commission of Somalia, providing him with non-public sales and profit-related data of firms that file their reports with the commission before being distributed to the general public. Oboyo uses this information to advise his employer on potential investment-grade stocks. It is common and legal in Somalia to obtain material non-public information or insider information related to public limited companies. Jack Oboyo's practice:

Other

Community

TTanishq

Explanation:

According to the code of professional integrity and ethical conduct, GARP members should endeavor to be mindful of cultural differences regarding ethical behavior and customs, and to avoid any actions that are, or may have the appearance of being unethical according to local customs. If there appears to be a conflict or overlap of standards, the GARP member should always seek to apply the higher standard. Even though obtaining material non-public information is legal in Somalia, GARP's Code of Conduct requires members to apply the higher standard of ethical conduct, which prohibits the use of insider information for trading purposes. Therefore, Jack Oboyo's practice violates the Code related to professional integrity and ethical conduct.

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Financial Risk Manager Part 1

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