Question #56
Reading: Reading 42.5 Standards of Professional Conduct Guidance for Standards V
PDF File: Reading 42.5 Standards of Professional Conduct Guidance for Standards V.pdf
Page: 28
Status: Correct
Correct Answer: A
Question
In the process of recommending an investment, in order to comply with Standard V(A), Diligence and Reasonable Basis, a CFA Institute member must:
Answer Choices:
A. do both of these
B. have a reasonable and adequate basis for the recommendation
C. support a recommendation with appropriate research and investigation
Explanation
Both of these are explicitly required by Standard V(A).
(Module 42.8, LOS 42: V(A))