Ethics-compensation commitment, permission, performing, his

lunarfollies

Is anyone able to shed some light on Std IVA Loyalty question, which goes like this:
A member is a full time employee of an investment mgmt firm and wants to accept a paid position as town mayor w/o asking his employer's permission

Answer: since the member serving as mayor does not conflict with his employer's biz interests,as long as the time commitment does not preclude performing his expected job functions well, there is NO violation

So essentially, if the moonlighting is not in competition with current employer, it is allright not to seek permission?

stalkey

justinkc Wrote:
-------------------------------------------------------
> Whats if its the E-trade baby and your really
> running his massive portfolio behind the
> scenes.....


You cracked me up man!! That's funny as hell.

jarobi04

Similar question in the CFA Curriculum about an analyst being a partime mayor of his town for which he receives compensation ( Example 9 on page 74 vol 1) . Guidance was to "discuss the outside activities with his employer and come to a mutal agreement regarding how to manage his personal commitments with his responsibilites to his employer"

chandsingh

Whats if its the E-trade baby and your really running his massive portfolio behind the scenes.....

redskins44

This pretty clear actually, you dont need permission to babysit you're sister's kids, but you need permission to sell her financial advice.

Assuming that her kids will not take all you're free time at work and hinder your job performance of course...

Pegasus2008

^^^^"Assuming that her kids will not take all you're free time at work and hinder your job performance of course..."

Seems like an over simplified assumption though, doesnt it?

how many hours a week does it take to be a town mayor? Thats the problematic part of the question requiring some subjectivity. I would argue it takes enough time to detract from your day job.

either way, just johnny blaze and let the good times roll

SeanWest

Hate to break it to you, but the whole ethics vignette will be like this. The rules they are testing are clear and obvious but you spend most your time interpreting what the hell they said. I really think it's more a reading comprehension test then and ethics test.

zephyranalyst

seems like a town mayor position is reasonalby expected to require time resurces that would detract from time required in current job and would require approval from employer in my mind.

ningning1984

Hmm... ok, so no need permission.

Do you have to at least disclose it?

CPATrader

There was 1 question in a Schweser exam that explicitly included a case where a 4 hour a week side job was NOT a violation and a 30 hour a week side job WAS. It all has to do with effect on your duty to your employer.