Question #40 - Reading 42.1 Standards of Professional Conduct Guidance for Standards I

Reading: Reading 42.1 Standards of Professional Conduct Guidance for Standards I

PDF File: Reading 42.1 Standards of Professional Conduct Guidance for Standards I.pdf

Page: 16

Status: Incorrect

Correct Answer: A

Your Answer: B

Question

A CFA Institute member works for Secure Securities, Inc., and plays rugby on the firm's rugby team. Secure Securities' team recently played the team of a rival firm. During the game, a fight broke out and the CFA Institute member was the instigator, but no one was seriously hurt. Is this a violation of I(

Answer Choices:

A. No, because a fight at a rugby game is not a professional activity

B. Yes, because the member could have hurt someone in the fight

C. Yes, because the member is bound by the Code of Ethics

Explanation

Standard I(A) covers members' professional activity only. Violations outside professional activity that involve fraud, theft or deceit would potentially be violations. (Module 42.1, LOS 42: I(A))

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