11、Which of the following statements about soft dollars is TRUE?

A)   Fiduciaries must disclose actual, but not potential, conflicts of interest.

B)   The quality of the transaction is secondary to the level of commissions paid to effect a client trade.

C)   Items purchased with soft dollars must provide a benefit to the firm.

D)   Items purchased with soft dollars must provide a benefit to the client.

12、Which of the following is NOT one of the basic fiduciary duties? To:

A)   act in the clients' best interest.

B)   place their client’s interest before their own.

C)   exercise prudent judgment.

D)   maintain knowledge of and comply with all applicable laws.

13、Steve Bishop is a portfolio manager with Bradshaw Asset Management. He has received a request from the Gail Foundation, one of his clients, to review Bradshaw's soft dollar policy, since Bradshaw claims to comply with the CFA Institute Soft Dollar Standards. Bishop must be prepared to present the client with all of the following EXCEPT:

A)   the total amount of brokerage paid by Bradshaw to each broker.

B)   the aggregate percentage on Bradshaw's brokerage derived through client-directed brokerage.

C)   the total amount of Gail's commissions generated through soft dollar arrangements.

D)   a description of all products and services received through soft dollar arrangements.

14、Liz Davis is a portfolio manager for a firm that claims it is in compliance with CFA Institute Soft Dollar Standards. In purchasing bonds for the account of the pension fund of Richards Company, no commissions were paid but there was a spread charged by the broker between the purchase and sale price of the bonds. The brokerage on the trade is not governed by any securities regulation. The specific brokerage from the trade:

A)   cannot be used to benefit any other client.

B)   can be used to benefit another client as long as Davis receives consent from Richards either before or after the trade.

C)   can be used to benefit another client as long as Richards benefits from other the client’s brokerage in the future.

D)   can be used to benefit another client as long as Davis receives prior consent from Richards.

15、Elaine Black, CFA has recently been hired as the Chief Investment Officer at a money management company that does not claim it is in compliance with CFA Institute Soft Dollar Standards. Her former company was in compliance. Which of the following statements concerning CFA Institute Soft Dollar Standards is TRUE? Black:

A)   must ignore all provisions set forth in the CFA Institute Soft Dollar Standards except when they are consistent with the Standards of Professional Conduct.

B)   must ignore all provisions set forth in the CFA Institute Soft Dollar Standards even when they are consistent with the Standards of Professional Conduct.

C)   must abide by the conditions set forth in the Standards of Professional Conduct concerning soft dollars and can chose to accept some of the CFA Institute Soft Dollar Standards.

D)   cannot use soft dollars to pay for research services except when the commissions originate from principle trades.

答案和详解如下：

11、Which of the following statements about soft dollars is TRUE?

A)   Fiduciaries must disclose actual, but not potential, conflicts of interest.

B)   The quality of the transaction is secondary to the level of commissions paid to effect a client trade.

C)   Items purchased with soft dollars must provide a benefit to the firm.

D)   Items purchased with soft dollars must provide a benefit to the client.

The correct answer was D)

Items purchased with soft dollars must provide a benefit to the client. If this benefit is less than 100 percent to the client, soft dollars can only be used to purchase the item in proportion to the benefit derived by the client.

12、Which of the following is NOT one of the basic fiduciary duties? To:

A)   act in the clients' best interest.

B)   place their client’s interest before their own.

C)   exercise prudent judgment.

D)   maintain knowledge of and comply with all applicable laws.

The correct answer was D)

CFA Institute members have a duty to maintain knowledge and to comply with all applicable laws, but this is Standard I(A), Knowledge of the Law, not a fiduciary duty.

13、Steve Bishop is a portfolio manager with Bradshaw Asset Management. He has received a request from the Gail Foundation, one of his clients, to review Bradshaw's soft dollar policy, since Bradshaw claims to comply with the CFA Institute Soft Dollar Standards. Bishop must be prepared to present the client with all of the following EXCEPT:

A)   the total amount of brokerage paid by Bradshaw to each broker.

B)   the aggregate percentage on Bradshaw's brokerage derived through client-directed brokerage.

C)   the total amount of Gail's commissions generated through soft dollar arrangements.

D)   a description of all products and services received through soft dollar arrangements.

The correct answer was A)

The disclosure of the total amount of brokerage paid by Bradshaw is recommended but not required, and there is no mention of disclosure of brokerage paid to each broker.

14、Liz Davis is a portfolio manager for a firm that claims it is in compliance with CFA Institute Soft Dollar Standards. In purchasing bonds for the account of the pension fund of Richards Company, no commissions were paid but there was a spread charged by the broker between the purchase and sale price of the bonds. The brokerage on the trade is not governed by any securities regulation. The specific brokerage from the trade:

A)   cannot be used to benefit any other client.

B)   can be used to benefit another client as long as Davis receives consent from Richards either before or after the trade.

C)   can be used to benefit another client as long as Richards benefits from other the client’s brokerage in the future.

D)   can be used to benefit another client as long as Davis receives prior consent from Richards.

The correct answer was D)

Prior consent must be given in the case of a principal trade.

15、Elaine Black, CFA has recently been hired as the Chief Investment Officer at a money management company that does not claim it is in compliance with CFA Institute Soft Dollar Standards. Her former company was in compliance. Which of the following statements concerning CFA Institute Soft Dollar Standards is TRUE? Black:

A)   must ignore all provisions set forth in the CFA Institute Soft Dollar Standards except when they are consistent with the Standards of Professional Conduct.

B)   must ignore all provisions set forth in the CFA Institute Soft Dollar Standards even when they are consistent with the Standards of Professional Conduct.

C)   must abide by the conditions set forth in the Standards of Professional Conduct concerning soft dollars and can chose to accept some of the CFA Institute Soft Dollar Standards.

D)   cannot use soft dollars to pay for research services except when the commissions originate from principle trades.

The correct answer was C)

Black must abide by the Standards of Professional Conduct, but can still follow any of the Soft Dollar Standards that she desires.