Question #3
Reading: Reading 42.6 Standards of Professional Conduct Guidance for Standards VI
PDF File: Reading 42.6 Standards of Professional Conduct Guidance for Standards VI.pdf
Page: 2
Status: Unattempted
Question
Futura Investments Co. decides to diversify its current portfolio with stocks from three companies in a new segment of the biotechnology industry. William Burgin, CFA, is an analyst at Futura and had previously bought shares of the same three companies for his own portfolio, well before his employer started researching them. Burgin has already disclosed the composition of his personal portfolio to Futura Investments, to be in compliance with the Code & the Standards. Which of the following actions should Burgin take?
Answer Choices:
A. Diversify his personal portfolio so, in this way, these stocks will no longer represent a substantial portion of the portfolio
B. Hire a full discretionary power or blind trust manager for his portfolio
C. Open an account that will be managed by someone else but will allow him to maintain his investment preferences
No explanation available for this question.