1．The corporate finance department of an investment-banking firm decides to compete for the business of ETV Corporation. Knowing that the firm's brokerage department has a "sell" recommendation on ETV common stock, the director of the corporate finance department writes a letter to the director of the brokerage department, who is a CFA Institute member, asking that the recommendation be changed to "buy." According to the Standards of Practice Handbook, the best action for the director of the brokerage department to take is to:
Select exactly 1 answers from the following:
A. assign a new analyst to decide if the stock should receive a "buy" recommendation.
B. have the director of the corporate finance department review the recommendation for the stock rating to ensure its accuracy.
C. change the recommendation to "buy" only after receiving written direction from the director of the corporate finance department.
D. remove ETV Corporation from the research universe and put it on a restricted list giving only factual information about the company.
答案和详解如下！
Feedback: Correct answer: D
Standards of Practice Handbook, 9th edition (CFA Institute, 2005), pp. 16, 19 2006 Level I Program Readings, 揋uidance?for Standards I-VII, Standards of Practice Handbook, 9th edition (CFA Institute, 2005), pp. 14, 17 2006 Modular Level I, Vol. I, pp. 20, 23 Study Session 1?朼 demonstrate a thorough knowledge of the Standards of Professional Conduct by recognizing and applying the standards to specific situations
The director of the brokerage department would be in violation of the Standard relating to independence and objectivity if the recommendation was changed to 揵uy.?The firm should remove the company in question from the research universe and give only factual information about the company.
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发表于 2006-11-22 10:27
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