Two ethics questions: these relate to a client directing the manager to use a broker who does not provide best execution
Vol 1 Page
50 - Standard III A
“manager should disclose to the client that they may
not be getting best execution”
— does manager also require acknowledgment from client, and if so is this written or verbal?
Vol 1 Page 230 - Asset
Manager Code C4
“managers should alert the client that by limiting the
manager’s ability to select the broker, the client may not be receiving
best execution, and the manger should seek written acknowledgment of such
from the client.”
— is the written acknowledgment a Requirement or a Recommendation?作者: Nishant1 时间: 2013-4-8 10:34
1) Good question. Not sure. I would go for written because then it would come under record retention.
2) I will say requirement. You want to make sure every party knows the terms of the deal.
Would be good to confirm the above anyway.
