Explanation

Correct Answer: C - Yes, the Standard relating to additional compensation arrangements

Detailed Analysis:

1. Standard IV(B) - Additional Compensation Arrangements: This Standard requires members and candidates to obtain written consent from their employer before accepting compensation, gifts, or benefits that could reasonably be expected to create a conflict of interest with their employer.

2. Key Points in this Scenario:

   • Mehta received free tickets to a sold-out opera opening night from a large investor in her fund
   • The tickets have significant value (sold-out event, opening night)
   • The gift was offered as a reward for the fund's excellent performance
   • Firm policy requires disclosure of monetary compensation from clients
   • Mehta only accepted the tickets, not the cash

3. Why Mehta Violated the Standard:

   • The opera tickets constitute a "benefit" under Standard IV(B)
   • The benefit could reasonably create a conflict of interest (the investor might expect preferential treatment)
   • Mehta should have obtained written consent from her employer before accepting the tickets
   • The fact that she didn't accept the cash compensation is irrelevant - the tickets themselves are valuable compensation
   • Even if firm policy only explicitly mentions monetary compensation, the CFA Standards require disclosure of all compensation arrangements that could create conflicts

4. Why Not the Other Options:

   • Option A (No): Incorrect because Mehta did violate Standard IV(B)
   • Option B (Fair Dealing): Incorrect because Standard III(B) - Fair Dealing relates to treating all clients fairly when making investment recommendations, not compensation arrangements

Conclusion: Mehta violated Standard IV(B) - Additional Compensation Arrangements by accepting valuable opera tickets from an investor without obtaining written consent from her employer, as this could create a conflict of interest.