上一主题:Question about bond interest income
下一主题:CFA L2 Hours
返回列表 发帖

Establishing an Information Barrier

This is a question from Examwise Vol.2 Ethical and Professional Standard Q30. The answer is given in the book as B. However, I think this is incorrect. Can someone confirm?

Which one of the following requirements is least likely to help to ensure the establishment of an information barrier (fire wall)?

A: Physically separating departments and their files.
B: Monitor employees working for more than one department at any one time.
C: Limit proprietary trading when a firm has access to material nonpublic information.

Did they give a reason with their answer? Maybe they recommend employees don't work in more than one department at a time to eliminate potential conflicts (although this doesn't seem too practical).

TOP

i have seen something similar where employee monitoring is considered weak relative to physical separation

TOP

This question is pretty easy, not sure what's confusing about it

Choice A is practically word for word in the curriculum, and prevents people from using the same printers and overhearing phone calls/convs etc

Choice C eliminates trading conflicts

Choice B is only says "monitoring" which doesn't do anything by itself.

easy.

TOP

返回列表
上一主题:Question about bond interest income
下一主题:CFA L2 Hours