Question #21
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: 10
Status: Unattempted
Question
An analyst, who is a CFA Institute member, manages a high-grade bond mutual fund. This is his only professional responsibility. When the analyst comes across a speculative stock investment that he feels is a good investment for his personal portfolio, the analyst:
Answer Choices:
A. may invest in the stock because the analyst would not purchase the stock for the bond portfolio he manages
B. must notify his supervisor about the stock according to Standard VI(B), Priority of Transactions, to see if it is appropriate for the portfolio that he manages
C. is in violation of Standard IV(A), Loyalty to Employer, by spending time analyzing stocks when he should only analyze bonds
No explanation available for this question.