CFA Practice Question

There are 291 practice questions for this study session.

CFA Practice Question

Melanie Jones, a money manager, received a gift of significant value from a client as a reward for her performance in the prior period. Melanie does keep the gift, but notifies her employer. Is this an ethical violation?

A. No. As long as Melanie notifies her employer, she can receive gifts for any reason.
B. No. As long as Melanie notifies her employer and the gifts are for the prior period and not contingent on future performance or client benefit, this is not an ethical violation.
C. Yes. Melanie should not be receiving gifts of significant value from clients.
Correct Answer: B

No that's not ethical violation. As long as Melanie notifies her employer and the gifts are for the prior period and not contingent on future performance or client benefit, this is not an ethical violation.

User Contributed Comments 0

You need to log in first to add your comment.