11、An analyst notices that for most years that a given class of assets has an abnormally high rate of return, the asset class often has an abnormally low rate of return the next year. Based upon this information, according to Standard V(A), Diligence and Reasonable Basis, the analyst can recommend:

A)   none of these choices.

B)   short selling assets that have had a good previous year to all clients.

C)   short selling assets that have had a good previous year to clients with a low tolerance for risk.

D)   an increased allocation of Treasury bills (T-bills) for all portfolios of assets that have increased dramatically in the previous year.

12、A financial analyst and CFA Institute member sends a preliminary research report on a company to his supervisor. The supervisor approves the report, but then the analyst receives news that causes him to revise downward the earnings estimate of the company. The analyst resubmits the report to the supervisor with the new earnings estimate. The analyst soon finds out that the supervisor plans to release the first version of the report with the first earnings estimate without a reasonable and adequate basis. In response to this the analyst must:

A)   only insist that the first report be followed up by a revision.

B)   only take the issue up with regulatory authorities.

C)   both insist that a follow up report be issued and take up the issue with regulatory authorities.

D)   insist that the supervisor change the earnings forecast or remove his (the analyst's) name from the report.

13、The following scenarios refer to recommendations made by two analysts.

§ Jean King, CFA, is a quantitative analyst at Quantlogic, Inc. King uses computer-generated screens to differentiate value and growth stocks based on accounting numbers such as sales, cash flow, earnings, and book value. Based on her analysis of all domestically traded stocks in the U.S. over the past year, King concludes that value stocks as a class have underperformed growth stocks over that period. Using only this analysis, she recommends that account executives at Quantlogic sell all value stocks from the portfolios for which they have discretionary authority to trade and replace these stocks with growth stocks.

§ James Capelli, CFA, is a fundamental analyst at Wheaton Capital Management, which focuses on regional stocks. His analysis of Branson Wireless includes the investment's basic characteristics such as information about historical earnings, ownership of assets, outstanding contracts, and other business factors. In addition to conducting both a general industry analysis and a company financial analysis, Capelli interviews key executives at Branson. Based on his analysis, he concludes that the company's future prospects are strong and issues a "buy" recommendation.

According to CFA Institute Standards of Professional Conduct, did King and Capelli have a reasonable and adequate basis for making their recommendations?

A)   Both King and Capelli have a reasonable basis for their recommendations.

B)   Neither King nor Capelli has a reasonable basis for their recommendations.

C)   Capelli has a reasonable basis for his recommendation, but King does not.

D)   King has a reasonable basis for his recommendation, but Capelli does not.

14、Wes Smith, CFA, works for Advisors, Inc. In order to remain in compliance with Standard V(A), Diligence and Reasonable Basis, Smith may recommend a security in which of the following situations?

A)   Smith overhears a highly-regarded analyst from a rival firm recommend that the security is a good investment.

B)   Smith reads a favorable review of the security in a widely read periodical.

C)   For any of the reasons listed here.

D)   Advisors' research department recommends a stock.

15、An analyst receives a research report from a colleague. The colleague’s report has an elaborate table with performance data on publicly traded stocks. The colleague says the data in the table consists of measures provided by Standard & Poor’s. The analyst finds the table a useful reference for a report she is writing. She uses several pieces of data from the table. The analyst is potentially in violation of:

A)   Standard V(A) if she does not first verify the data in the table is accurate.

B)   no particular standard because this is appropriate activity.

C)   Standard II concerning the obligations to the capital markets.

D)   Standard I(C) concerning the use of the work of others.

答案和详解如下：

11、An analyst notices that for most years that a given class of assets has an abnormally high rate of return, the asset class often has an abnormally low rate of return the next year. Based upon this information, according to Standard V(A), Diligence and Reasonable Basis, the analyst can recommend:

A)   none of these choices.

B)   short selling assets that have had a good previous year to all clients.

C)   short selling assets that have had a good previous year to clients with a low tolerance for risk.

D)   an increased allocation of Treasury bills (T-bills) for all portfolios of assets that have increased dramatically in the previous year.

The correct answer was A)    

An analyst should not make a recommendation based only upon a statistical anomaly. Furthermore, none of the other choices would be appropriate. Clients with low risk tolerance should not short sell assets. The analyst cannot make a recommendation to all clients because each client has different characteristics and portfolios. The one answer that may have some merit is to increase the allocation of T-bills in portfolios that have had recent, dramatic increases. This would be for the purposes of maintaining a balanced portfolio. But the decision to rebalance must be made on a case-by-case basis and not for all portfolios.

12、A financial analyst and CFA Institute member sends a preliminary research report on a company to his supervisor. The supervisor approves the report, but then the analyst receives news that causes him to revise downward the earnings estimate of the company. The analyst resubmits the report to the supervisor with the new earnings estimate. The analyst soon finds out that the supervisor plans to release the first version of the report with the first earnings estimate without a reasonable and adequate basis. In response to this the analyst must:

A)   only insist that the first report be followed up by a revision.

B)   only take the issue up with regulatory authorities.

C)   both insist that a follow up report be issued and take up the issue with regulatory authorities.

D)   insist that the supervisor change the earnings forecast or remove his (the analyst's) name from the report.

The correct answer was D)

According to Standard V(A), Diligence and Reasonable Basis, the analyst must exercise diligence, independence, and thoroughness when performing investment analysis, making a recommendation, or taking investment action. The analyst should document the difference in opinion including any request to remove his or her name from the report.

13、The following scenarios refer to recommendations made by two analysts.

§ Jean King, CFA, is a quantitative analyst at Quantlogic, Inc. King uses computer-generated screens to differentiate value and growth stocks based on accounting numbers such as sales, cash flow, earnings, and book value. Based on her analysis of all domestically traded stocks in the U.S. over the past year, King concludes that value stocks as a class have underperformed growth stocks over that period. Using only this analysis, she recommends that account executives at Quantlogic sell all value stocks from the portfolios for which they have discretionary authority to trade and replace these stocks with growth stocks.

§ James Capelli, CFA, is a fundamental analyst at Wheaton Capital Management, which focuses on regional stocks. His analysis of Branson Wireless includes the investment's basic characteristics such as information about historical earnings, ownership of assets, outstanding contracts, and other business factors. In addition to conducting both a general industry analysis and a company financial analysis, Capelli interviews key executives at Branson. Based on his analysis, he concludes that the company's future prospects are strong and issues a "buy" recommendation.

According to CFA Institute Standards of Professional Conduct, did King and Capelli have a reasonable and adequate basis for making their recommendations?

A)   Both King and Capelli have a reasonable basis for their recommendations.

B)   Neither King nor Capelli has a reasonable basis for their recommendations.

C)   Capelli has a reasonable basis for his recommendation, but King does not.

D)   King has a reasonable basis for his recommendation, but Capelli does not.

The correct answer was C)

Capelli appears to have exercised diligence and thoroughness in making his recommendation. King's recommendation is not based on thorough quantitative work because the period used in her study is only one year. Also, her recommendation does not consider the client's specific needs and circumstances.

14、Wes Smith, CFA, works for Advisors, Inc. In order to remain in compliance with Standard V(A), Diligence and Reasonable Basis, Smith may recommend a security in which of the following situations?

A)   Smith overhears a highly-regarded analyst from a rival firm recommend that the security is a good investment.

B)   Smith reads a favorable review of the security in a widely read periodical.

C)   For any of the reasons listed here.

D)   Advisors' research department recommends a stock.

The correct answer was D)

Smith will be in violation if he acts solely on the basis of an opinion of an employee of another firm, since he does not know (or has not confirmed) the factual information that underlies the recommendation. The same can be said about what he read in the periodical. Use of information within the firm can be relied upon unless the Smith has reason to believe the source lacks a sound basis.

15、An analyst receives a research report from a colleague. The colleague’s report has an elaborate table with performance data on publicly traded stocks. The colleague says the data in the table consists of measures provided by Standard & Poor’s. The analyst finds the table a useful reference for a report she is writing. She uses several pieces of data from the table. The analyst is potentially in violation of:

A)   Standard V(A) if she does not first verify the data in the table is accurate.

B)   no particular standard because this is appropriate activity.

C)   Standard II concerning the obligations to the capital markets.

D)   Standard I(C) concerning the use of the work of others.

The correct answer was A)    

Since the data in the table supposedly comes from Standard & Poor’s, a recognized data source, the analyst does not have to cite the source of the data. However, the analyst needs to use reasonable care and verify that the data is accurate by going back to the source. Had the analyst printed the table prepared by her colleague without acknowledgement, the analyst would have violated Standard I(C), Misrepresentation.