A)   Resign from the position because the relationship is a conflict with the Standards.

B)   Nothing since he is not an employee of the charitable organization.

C)   Must treat the charitable organization as his employer.

Q2. Which of the following statements is most correct under the Code and Standards?

A)   CFA Institute members are prohibited from undertaking independent practice in competition with their employer.

B)   Consent from the employer is necessary to permit independent practice that could result in compensation or other benefits in competition with the member's employer.

C)   Members are prohibited from making arrangements or preparations to go into competitive business before terminating their relationship with their employer.

Q3. Janet Thompson, CFA, is employed as an analyst by Nationwide Securities. According to CFA Institute Standards of Professional Conduct, which of the following statements about Thompson's duty to Nationwide is FALSE? Thompson must refrain from:

A)   engaging in any conduct that would injure Nationwide.

B)   engaging in independent competitive activity that could conflict with the business of Nationwide unless she receives written consent.

C)   making arrangements to go into a competitive business before terminating her relationship with Nationwide.

Q4. Nick O'Donnell, CFA, unsuspectingly joins the research team at Wickett & Co., an investment banking firm controlled by organized crime. None of the managers at Wickett are CFA Institute members. Because of his tenuous situation at Wickett, O'Donnell begins making preparations for independent practice. He knows he will be terminated if he informs management at Wickett that he is preparing to leave. Consequently, he determines that "if he can just hang on for one year, he will likely have a client base sufficient for him to strike out on his own." This action is:

A)   a violation of his fiduciary duties.

B)   a violation of his duty to disclose conflicts to his employer.

C)   not a violation of his duty to employer.

答案和详解如下：

Q1. An analyst belongs to a nationally recognized charitable organization, which requires dues for membership. The analyst has worked out a deal where he provides money management advice in lieu of paying dues. Which of the following must the analyst do?

A)   Resign from the position because the relationship is a conflict with the Standards.

B)   Nothing since he is not an employee of the charitable organization.

C)   Must treat the charitable organization as his employer.

Correct answer is C)

An employee/employer relationship does not necessarily mean monetary compensation for services. If the analyst is performing services for the organization, then the analyst must treat the position as if he were an employee.

Q2. Which of the following statements is most correct under the Code and Standards?

A)   CFA Institute members are prohibited from undertaking independent practice in competition with their employer.

B)   Consent from the employer is necessary to permit independent practice that could result in compensation or other benefits in competition with the member's employer.

C)   Members are prohibited from making arrangements or preparations to go into competitive business before terminating their relationship with their employer.

Correct answer is B)

Members are not prohibited from making arrangements or preparations to go into competitive business before terminating their relationship with their employer. CFA Institute members are not prohibited from undertaking independent practice in competition with their employer provided they have consent from their employer. Members must provide notification to their employer describing the types of services to be rendered, the expected duration, and compensation for the services.

Q3. Janet Thompson, CFA, is employed as an analyst by Nationwide Securities. According to CFA Institute Standards of Professional Conduct, which of the following statements about Thompson's duty to Nationwide is FALSE? Thompson must refrain from:

A)   engaging in any conduct that would injure Nationwide.

B)   engaging in independent competitive activity that could conflict with the business of Nationwide unless she receives written consent.

C)   making arrangements to go into a competitive business before terminating her relationship with Nationwide.

Correct answer is C)

Standard IV(A) permits Thompson to make preparations to go into a competitive business before terminating her relationship with Nationwide provided that such preparations do not breach her duty of loyalty.

Q4. Nick O'Donnell, CFA, unsuspectingly joins the research team at Wickett & Co., an investment banking firm controlled by organized crime. None of the managers at Wickett are CFA Institute members. Because of his tenuous situation at Wickett, O'Donnell begins making preparations for independent practice. He knows he will be terminated if he informs management at Wickett that he is preparing to leave. Consequently, he determines that "if he can just hang on for one year, he will likely have a client base sufficient for him to strike out on his own." This action is:

A)   a violation of his fiduciary duties.

B)   a violation of his duty to disclose conflicts to his employer.

C)   not a violation of his duty to employer.

Correct answer is C)

O’Donnell is required to obtain consent from his employer if he is attempting to practice in competition with his employer. Merely undertaking preparations to leave, which do not violate a duty, is not a violation of the Code and Standards.

thanks