CFA Practice Question

There are 361 practice questions for this study session.

The Standards clearly prohibit trading for yourself in advance of your clients. You are working in a country where this is common practice and is not illegal.

A. The Standards allow you to follow local practices if they are not illegal.
B. The Standards allow this practice only if approved by a supervisor.
C. The Standards take precedence over local practice and prohibit you from such trading.
Correct Answer: C

User Contributed Comments 10

You need to log in first to add your comment.
Haiqing

the standards prohibit, then prohibit....

katybo

rule of thumb

kaliokale

easy one

sarath

Thanks god ...at least one easy one...

ebere

I am satisfied that I located this site.

rufi

this is very good for IBs doing business in low tier nations

TammTamm

Makes sense.

bantoo

It is not that easy as B also seems a good choice. However, if law of nation allows this then there is no need to disclose to supervisor. So C is correct answer

StephanieG

Remember the order of precedence- Client, Employer then you in terms of interests being served.

SAYAN12

AGREE WITH ebere