Whom do you have to tell about referral fees?
A is a portfolio manager. His old friend B refers to A's firm high-level individuals. In return, A allows B to play golf at A's country club for each new client referred. According to VI (C) Referral Fees, A is required to disclose the arrangment with B to:
a. his employer, all clients and all prospective clients
b. prospective clients referred by B
c. his employer and to prospective clients referred by B.
My take would be (a) since the standard VI (C) says:
Members and Candidates must disclose to their employer, clients, and prospective
clients, as appropriate, any compensation, consideration, or benefit received from,
or paid to, others for the recommendation of products or services.
According to a training material provider, the correct answer is - surprisingly- (c). Explanation says that you need to disclose to employers and to affected clients.
Could someone explain why you should not tell to existing clients? I think the supposedly correct answers contradicts with the standard. |
发表于 2011-7-11 18:43
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