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

Free Financial CFA Level 1 Dumps Questions (page: 82)

Under ERISA, fiduciaries must:

-act solely in the interest of and for the exclusive purpose of benefiting, the plan participants and beneficiaries; -act with the care, skill, prudence and diligence of a prudent person acting in like capacity; -diversify the plan's investments to protect it from the risk of substantial loss; -act in accordance with the provisions of the plan documents to the extent that the documents comply with ________;
-refrain from engaging in prohibited transactions.

  1. AIMR regulations
  2. AIMR code of ethics
  3. None of these answers
  4. ERISA

Answer(s): D

Explanation:

ERISA establishes several guidelines for fiduciary conduct with respect to employee benefit plans. These principles evolved from the common law of trusts, as interpreted by state courts and pre-ERISA requirements for the tax qualification of plans. Fiduciaries must observe these guidelines in all aspects of their dealings with a plan or its assets.



Standard III (C) is ________.

  1. Responsibilities of Supervisors
  2. None of these answers
  3. Duty to Employer
  4. Disclosure of Conflicts to Employer
  5. Disclosure of Additional Compensation Arrangements
  6. Obligation to Inform Employer of Code and Standards

Answer(s): D

Explanation:

Standard III (A) deals with the Obligation to Inform Employer of Code and Standards. Standard III (B) deals with the Duty to Employer. Standard III (C) deals with Disclosure of Conflicts to Employer. Standard III (D) deals with Disclosure of Additional Compensation Arrangements. Standard III (E) deals with Responsibilities of Supervisors.



Jurgens is a portfolio manager with an investment firm based in New York. One of her firm's clients has told Jurgens that he will compensate her beyond that provided by her firm on the basis of the capital appreciation of his portfolio each year. Jurgens should:

  1. Turn down the additional compensations because it will result in conflicts with the interest of other client's accounts.
  2. Turn down the additional compensation because it will create undue pressure on her to achieve strong short-term performance.
  3. Obtain permission from her employer prior to accepting the compensation arrangement.
  4. Receive permission from AIMR for the compensation arrangement.

Answer(s): C

Explanation:

This question pertains to Standard III (D), Disclosure of Additional Compensation Arrangements. If Jurgens were to be compensated, based on the account's performance, beyond that provided by her firm, such a practice is not a violation of the Standards, so long as Jurgens discloses the arrangement inwriting to her employer and obtains permission from the employer before entering the agreement. Members are not required to receive permission from AIMR for such arrangements.



Members can comply with Standard IV (A.1) by undertaking the following:

  1. Analyzing basic investment characteristics
    II. Analyzing portfolio needs of the client
    III. Establishing compliance procedures to prevent violations of Code and Standards IV. Maintaining files to support investment recommendations
  2. I, II & IV
  3. II & IV
  4. I & IV
  5. I & II
  6. II, III & IV
  7. III & IV
  8. I, II, III & IV
  9. II & III

Answer(s): A

Explanation:

Condition III applies to compliance with Standard III (E). For Standard IV (A.1), which deals with the Investment Process, members should investigate the investment's basic characteristics by looking at research reports.
Also, a member has a continuing responsibility to review a client's needs and circumstances to determine whether or not the risk exposure of the total portfolio serves the client's needs. Finally, a member must maintain research files to justify investment decisions later under scrutiny.



Standard V of the Standards of Professional Conduct deals with Relationships with and Responsibilities to ________.

  1. Supervisors
  2. Employers
  3. Employees
  4. the Investing Public
  5. None of these answers

Answer(s): D

Explanation:

Standard V of the Standards of Professional Conduct deals with Relationships with and Responsibilities to the Investing Public.



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

U
User
8/3/2023 3:32:00 AM

quesion 178 about "a banking system that predicts whether a loan will be repaid is an example of the" the answer is classification. not regresion, you should fix it.

Q
quen
7/26/2023 10:39:00 AM

please upload apache spark dumps

E
Erineo
11/2/2023 5:34:00 PM

q14 is b&c to reduce you will switch off mail for every single alert and you will switch on daily digest to get a mail once per day, you might even skip the empty digest mail but i see this as a part of the daily digest adjustment

P
Paul
10/21/2023 8:25:00 AM

i think it is good question

U
Unknown
8/15/2023 5:09:00 AM

good for students who wish to give certification.

C
Ch
11/20/2023 10:56:00 PM

is there a google drive link to the images? the links in questions are not working.

J
Joey
5/16/2023 5:25:00 AM

very promising, looks great, so much wow!

A
alaska
10/24/2023 5:48:00 AM

i scored 87% on the az-204 exam. thanks! i always trust

N
nnn
7/9/2023 11:09:00 PM

good need more

U
User-sfdc
12/29/2023 7:21:00 AM

sample questions seems good

T
Tamer dam
8/4/2023 10:21:00 AM

huawei is ok

Y
YK
12/11/2023 1:10:00 AM

good one nice

D
de
8/28/2023 2:38:00 AM

please continue

D
DMZ
6/25/2023 11:56:00 PM

this exam dumps just did the job. i donot want to ruffle your feathers but your exam dumps and mock test engine is amazing.

J
Jose
8/30/2023 6:14:00 AM

nice questions

T
Tar01
7/24/2023 7:07:00 PM

the explanation are really helpful

D
DaveG
12/15/2023 4:50:00 PM

just passed my exam yesterday on my first attempt. these dumps were extremely helpful in passing first time. the questions were very, very similar to these questions!

A
A.K.
6/30/2023 6:34:00 AM

cosmos db is paas not saas

S
S Roychowdhury
6/26/2023 5:27:00 PM

what is the percentage of common questions in gcp exam compared to 197 dump questions? are they 100% matching with real gcp exam?

B
Bella
7/22/2023 2:05:00 AM

not able to see questions

S
Scott
9/8/2023 7:19:00 AM

by far one of the best sites for free questions. i have pass 2 exams with the help of this website.

D
donald
8/19/2023 11:05:00 AM

excellent question bank.

A
Ashwini
8/22/2023 5:13:00 AM

it really helped

S
sk
5/13/2023 2:07:00 AM

excelent material

C
Christopher
9/5/2022 10:54:00 PM

the new versoin of this exam which i downloaded has all the latest questions from the exam. i only saw 3 new questions in the exam which was not in this dump.

S
Sam
9/7/2023 6:51:00 AM

question 8 - can cloudtrail be used for storing jobs? based on aws - aws cloudtrail is used for governance, compliance and investigating api usage across all of our aws accounts. every action that is taken by a user or script is an api call so this is logged to [aws] cloudtrail. something seems incorrect here.

T
Tanvi Rajput
8/14/2023 10:55:00 AM

question 13 tda - c01 answer : quick table calculation -> percentage of total , compute using table down

P
PMSAGAR
9/19/2023 2:48:00 AM

pls share teh dump

Z
zazza
6/16/2023 10:47:00 AM

question 44 answer is user risk

P
Prasana
6/23/2023 1:59:00 AM

please post the questions for preparation

T
test user
9/24/2023 3:15:00 AM

thanks for the questions

D
Draco
7/19/2023 5:34:00 AM

please reopen it now ..its really urgent

M
Megan
4/14/2023 5:08:00 PM

these practice exam questions were exactly what i needed. the variety of questions and the realistic exam-like environment they created helped me assess my strengths and weaknesses. i felt more confident and well-prepared on exam day, and i owe it to this exam dumps!

A
abdo casa
8/9/2023 6:10:00 PM

thank u it very instructuf

AI Tutor 👋 I’m here to help!