Financial Institute CFA Level I Chartered Analyst® CFA Level 1 Exam Questions in PDF

Free Financial CFA Level 1 Dumps Questions (page: 61)

Which of the following is NOT true about the responsibilities of a member with supervisory duties, as specified by Standard III (E) - Responsibilities of Supervisors?

  1. Compliance activities must be designed to anticipate the activities most likely to result in misconduct.
  2. Compliance procedures must meet industry and regulatory standards.
  3. The supervisor is always accountable for the violations committed by those who report to him.
  4. If a member cannot discharge supervisory responsibilities due to an absence of compliance system, he or she should decline to accept the duties in writing till such a system is put into effect.

Answer(s): C

Explanation:

Under Standard III (E) - Responsibilities of Supervisors, members must take reasonable care to ensure that their subordinates do not violate any laws or the code of conduct. This includes designing effective procedures to deter fraudulent activity. If such procedures are reasonable, meet industry and regulatory standards, are compatible with the AIMR code and are suitable for the firm in question, then the member cannot be held responsible for criminal activity clever enough to bypass the compliance system. Occurrence of such activity does indicate a need for a revamping of the system, though.



Edwin Hubble, who works for a respectable investment advisory firm, recently found out that his supervisor has been engaging in "front-running," i.e., executing transactions for personal accounts before client accounts. As an AIMR member, he is required to do all of the following EXCEPT?

  1. Report the illegal activity to the appropriate regulatory authorities.
  2. Dissociate himself from the activity.
  3. Consult with the legal department on the matter.
  4. Inform senior management about the activity with a view of stopping it.

Answer(s): A

Explanation:

Standard I does not require a member to report the illegal activity to the appropriate regulatory authorities, though it may be prudent to do so in many cases if it is evident that the activity is illegal.



Complete the following: According to The Code of Ethics, members of AIMR shall: "Act with integrity, competence, ________ and in an ethical manner when dealing with the public, clients, prospects, employers, employees and fellow members."

  1. honorability
  2. dignity
  3. morality
  4. none of these answers
  5. virtue

Answer(s): B

Explanation:

According to The Code of Ethics, members of AIMR shall: "Act with integrity, competence, dignity and in an ethical manner when dealing with the public, clients, prospects, employers, employees and fellow members."



If AIMR Members, CFA Charterholders and Candidates do not follow the AIMR Performance Presentation Standards and they make material misrepresentations, they will be in violation of what Standard of Professional Conduct?

  1. Standard V (A)
  2. None of these answers. The PPS are voluntary, thus failure to follow them will result in no violation of the Standards of Professional Conduct.
  3. Standard I
  4. Standard V (B)

Answer(s): D

Explanation:

Although the AIMR-PPS are not explicitly incorporated in the AIMR Standards of Professional Conduct, they should be relied on to help ensure no misrepresentation of performance occurs. Misrepresentation results in violation of Standard V (B) - Performance Presentation.



With regard to international portfolios, if net performance is indicated, managers are required to disclose the assumed ________ for the benchmark.

  1. hedge
  2. disclosure
  3. tax rate
  4. differentials
  5. currency effects

Answer(s): C

Explanation:

To be in compliance with the AIMR-PPS, the performance presentation for international portfolios must disclose whether composites and benchmarks are presented gross or net of withholding taxes on dividends, interest and capital gains; if net, the assumed tax rate for both the composite and the benchmark.



Share your comments for Financial CFA Level 1 exam with other users:

B
Bilal
8/22/2023 6:33:00 AM

i did attend the required cources and i need to be sure that i am ready to take the exam, i would ask you please to share the questions, to be sure that i am fit to proceed with taking the exam.

J
John
11/12/2023 8:48:00 PM

why only give explanations on some, and not all questions and their respective answers?

B
Biswa
11/20/2023 8:50:00 AM

refresh db knowledge

S
Shalini Sharma
10/17/2023 8:29:00 AM

interested for sap certification

E
ethan
9/24/2023 12:38:00 PM

could you please upload practice questions for scr exam ?

V
vijay joshi
8/19/2023 3:15:00 AM

please upload free oracle cloud infrastructure 2023 foundations associate exam braindumps

A
Ayodele Talabi
8/25/2023 9:25:00 PM

sweating! they are tricky

R
Romero
3/23/2022 4:20:00 PM

i never use these dumps sites but i had to do it for this exam as it is impossible to pass without using these question dumps.

J
John Kennedy
9/20/2023 3:33:00 AM

good practice and well sites.

N
Nenad
7/12/2022 11:05:00 PM

passed my first exam last week and pass the second exam this morning. thank you sir for all the help and these brian dumps.

L
Lucky
10/31/2023 2:01:00 PM

does anyone who attended exam csa 8.8, can confirm these questions are really coming ? or these are just for practicing?

P
Prateek
9/18/2023 11:13:00 AM

kindly share the dumps

I
Irfan
11/25/2023 1:26:00 AM

very nice content

P
php
6/16/2023 12:49:00 AM

passed today

D
Durga
6/23/2023 1:22:00 AM

hi can you please upload questions

J
JJ
5/28/2023 4:32:00 AM

please upload quetions

N
Norris
1/3/2023 8:06:00 PM

i passed my exam thanks to this braindumps questions. these questions are valid in us and i highly recommend it!

A
abuti
7/21/2023 6:10:00 PM

are they truely latest

C
Curtis Nakawaki
7/5/2023 8:46:00 PM

questions appear contemporary.

V
Vv
12/2/2023 6:31:00 AM

good to prepare in this site

P
praveenkumar
11/20/2023 11:57:00 AM

very helpful to crack first attempt

A
asad Raza
5/15/2023 5:38:00 AM

please upload this exam

R
Reeta
7/17/2023 5:22:00 PM

please upload the c_activate22 dump questions with answer

W
Wong
12/20/2023 11:34:00 AM

q10 - the answer should be a. if its c, the criteria will meet if either the prospect is not part of the suppression lists or if the job title contains vice president

D
david
12/12/2023 12:38:00 PM

this was on the exam as of 1211/2023

T
Tink
7/24/2023 9:23:00 AM

great for prep

J
Jaro
12/18/2023 3:12:00 PM

i think in question 7 the first answer should be power bi portal (not power bi)

9
9eagles
4/7/2023 10:04:00 AM

on question 10 and so far 2 wrong answers as evident in the included reference link.

T
Tai
8/28/2023 5:28:00 AM

wonderful material

V
VoiceofMidnight
12/29/2023 4:48:00 PM

i passed!! ...but barely! got 728, but needed 720 to pass. the exam hit me with labs right out of the gate! then it went to multiple choice. protip: study the labs!

A
A K
8/3/2023 11:56:00 AM

correct answer for question 92 is c -aws shield

N
Nitin Mindhe
11/27/2023 6:12:00 AM

great !! it is really good

B
BailleyOne
11/22/2023 1:45:00 AM

explanations for the answers are to the point.

P
patel
10/25/2023 8:17:00 AM

how can rea next

AI Tutor 👋 I’m here to help!