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Question 1 of 10Ethics

According to the CFA Institute Code of Ethics, members and candidates must place the integrity of the investment profession and the interests of clients above their own personal interests. Which of the following actions would most likely violate this principle?

A
A portfolio manager who discloses potential conflicts of interest to clients
B
An analyst who recommends a security in which she owns shares, without disclosure
C
A financial advisor who refers clients to other professionals when appropriate
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ETHICSQuestion 14 of 90
01:45

According to the Standard regarding referral fees, a member must disclose any benefit received for the recommendation of services to:

Only potential clients
Employers, clients, and prospective clients
Employers and clients only

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Level II Mock
Case: Global Equity Partners
1
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3
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5
6

Scenario Vignette

Global Equity Partners (GEP) is evaluating an investment in a small-cap technology firm. The lead analyst, Sarah Chen, is reviewing the target's financial statements...

Financial Metric2024 (Projected)
Revenue Growth14.5%
Operating Margin22.0%

"The target's capitalize vs expense policy seems conservative relative to industry peers," Chen notes in her preliminary report...

Q3 of 6

Based on Chen's notes, which adjustment to the target's financial statements is most likely required to compare it with industry peers?

Capitalize Research & Development
Increase Depreciation Expense
Decrease Goodwill Amortization
Question 4

Evaluating the impact of the capitalization policy on the cash flow...

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FRA
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Fri
Equity

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Can you explain convexity?
Convexity measures the curvature in the relationship between bond prices and yields...

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Level I

CFA Level I

Ethics, Quant, Economics, FRA, Corporate, Equity, Fixed Income, Derivatives, Alts, PM

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