- CFA Exams
- CFA Level I Exam
- Topic 10. Ethical and Professional Standards
- Learning Module 4. Introduction to the Global Investment Performance Standards (GIPS)
- Subject 2. The Key Concepts of the GIPS Standards
CFA Practice Question
Select the false statement(s).
II. Firms must provide a compliance presentation for any composite listed on the firm's list, and can choose the optional of providing a composite description to any client who makes such a request.
III. Discontinued composites should be listed by a firm for at least 12 months.
I. Compliance with applicable laws or regulations leads to compliance with the GIPS standards.
II. Firms must provide a compliance presentation for any composite listed on the firm's list, and can choose the optional of providing a composite description to any client who makes such a request.
III. Discontinued composites should be listed by a firm for at least 12 months.
Correct Answer: I, II and III
II: Firms must present the list AND a composite description.
III: The minimum time period is five years.
I: Sometimes local or country-specific laws or regulations conflict with the GIPS standards.
II: Firms must present the list AND a composite description.
III: The minimum time period is five years.
User Contributed Comments 2
| User | Comment |
|---|---|
| johntan1979 | And for I, local law takes precedence over GIPS when in conflict. |
| tybe0012 | discontinued compositeds to remain on list for at least 5 years |