brain_wash_your

If there’s no need to take gains, the sensible thing to do is not take any. But are you allowed to? Yes, if you can come up with some other reason that is justified for the client’s interest. Like your tactical allocation is out of wack, but remember that it can be out of line at an acceptable range. Also if it’s a huge gain, better check the tax consequences to your client b/c s/he calls you very upset.
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Violating Duty to Employers from depriving them of your talent, skill & energy if you’re performance at work is suffering from your second “job”

OmarAdnan

Duties to employers, disclosure is neccessary if it can be reasonablity expected to interfere with your current job potentially depriving your employer of your skills/abilities…

smuggycfa

What’s with the notion that you are suppose to try your best to disseminate material nonpublic information??? What the heck? “Unless you are bound by duty or loyalty to preserve confidentiality…”
Thought you’re suppose to NOT spread it around? Q 44. p.125 CFAI Ethics

transferpricing

Lets see if you get this one…
In selecting a broker for client trades where soft dollars are involved, CFA Institute members are
A) required to consider trade execution capabilities well as an evaluation of the broker’s financial responsibility and the range of services provided.
B) prohibited from using soft dollars from client brokerage to purchase goods and services that do not benefit the client.
C) required to disclose soft dollar arrangements to the client prior to entering into any such arrangements.

cjs238

What does B have to do with selecting a broker? I’m going with A.

Iginla2010

A: process in selecting broker
b is to comply with the standard but is not the question

John10

Good one…was that a real q you saw somewhere?

noel

B is the correct answer.
RTFQ. You are just a member who may or may not be claiming compliance with soft dollars rules. You’ve got to comply with B regardless but A and C are mandatory only if you claim compliance with SD.

cfa10yrplan

B is the correct answer.
RTFQ. You are just a member who may or may not be claiming compliance with soft dollars rules. You’ve got to comply with B regardless but A and C are mandatory only if you claim compliance with SD.
This was on the first Schweser live mock in the am.

tango_gs

I think you will see this “CFAI trick” on listing types of questions, like they could do one in corporate governance, where they are asking for an “Objective” and you get tricked if you select the distractor under the “Core Attributes”