关于题目

问题如下：

If Mehta proposes Risner’s and his services to his client (Montfill), which component of the CFA Institute Standards of Professional Conduct will least likely be violated?

选项：

A.Misconduct B.Referral fees C.Misrepresentation

解释：

Solution

1. Incorrect. If Mehta states to the client he has direct experience in all the countries where Montfill operates, he is being dishonest. Mehta has not undertaken related assignments in India prior to this client, and he would thus be violating Standard I(C): Misrepresentation and Standard I(D): Misconduct.

2. Correct. Mehta would least likely violate Standard VI(C): Referral Fees as he noted he will include any referral fee arrangements in the proposal to Montfill. Standard VI(C): Referral Fees requires Members and Candidates to disclose to their employer, clients, and prospective clients, as appropriate, any compensation, consideration, or benefit received from or paid to others for the recommendation of products or services. By disclosing the proposed referral fees, Mehta allows the client to determine for themselves if Risner is recommended solely for Mehta’s potential benefit. If Mehta states to the client he has direct experience in all the countries where Montfill operates, he would be dishonest. Mehta has not undertaken related assignments in India prior to this assignment and would thus be violating Standard I(C): Misrepresentation and Standard I(D): Misconduct. Standard I(C): Misrepresentation requires Members and Candidates to not knowingly make any misrepresentations relating to investment analysis, recommendations, actions, or other professional activities. Investment professionals who make false or misleading statements not only harm investors but also reduce the level of investor confidence in the investment profession, which threatens the integrity of capital markets as a whole. Standard I(D): Misconduct states Members and Candidates must not engage in any professional conduct involving dishonesty, fraud, or deceit or commit any act that reflects adversely on their professional reputation, integrity, or competence.

3. Incorrect. If Mehta states to the client he has direct experience in all the countries where Montfill operates, he is being dishonest. Mehta has not undertaken related assignments in India prior to this client, and he would thus be violating Standard I(C): Misrepresentation and Standard I(D): Misconduct.

Guidance for Standards I–VII

• demonstrate a thorough knowledge of the CFA Institute Code of Ethics and Standards of Professional Conduct by applying the Code and Standards to specific situations