Explanation:
CFA Standard I(D) - Misconduct Analysis:
Option A: Personal bankruptcy due to medical expenses - Does NOT violate misconduct standard as this is typically considered a personal financial matter, not professional misconduct
Option B: Trespassing and arrest - VIOLATES misconduct standard. Any act involving dishonesty, fraud, or deceit that reflects adversely on professional reputation constitutes misconduct
Option C: Relying solely on another's due diligence - VIOLATES Standard V(A) - Diligence and Reasonable Basis. Investment professionals must exercise diligence and have reasonable basis for recommendations
Key Violations:
Ultimate access to all questions.
37 Which of the following actions violates the Standard relating to misconduct? A portfolio manager who is a member:
A
declares personal bankruptcy due to medical expenses.
B
trespasses while protesting a company accused of environmental damage and is arrested.
C
relies solely on another member's due diligence to understand risks of an investment before making an investment recommendation.
No comments yet.