The AIMR-PPS recommend that both ________ and ________ risks be presented in conjunction with composite returns.
Answer(s): B
Total risk relates to the variability of actual (absolute) returns not relative to the market. Market (systematic) risk relates to the volatility of returns relative to the market or some other benchmark.
Dayon Grimley has been working as a Tech Sector analyst with an advisory firm for the past 3 years. Recently, he read an analytical report by Sam Swetson about the trends and research developments in the computer chips industry. The report was an in-depth analysis of how the industry had developed, where it seemed to be headed and what impact the developments could have on the growth of the entire industry. In a footnote, Sam had speculated about a secret, ultra-fast chip rumored to be under development by Chipcorn, Inc. Dayon decided to pursue this line of research and called up a highly placed official at Chipcorn. While the official did not confirm or deny the existence of the ultra-fast chip, he did reveal enough for Dayon to conclude that the development was, in fact, in the final stages and the chip could be out in the market in as little as 3 months. He quickly modified Sam's report, with a separate section on the super-chip and recommended that his clients increase the weighting on tech stocks by 20%. The report made no mention about his interview with Chipcorn official nor Sam Swetson's report. Dayon has:
Answer(s): C
By not properly acknowledging Sam's report, Dayon violated Standard II (C) - Prohibition against Plagiarism.Also, since the information about the super-chip was non-public and obviously material, Dayon violated Standard V (A) - Prohibition against Use of Material Nonpublic Information.
Standard V (B) deals with ________.
Answer(s): D
Standard V (B) - Performance Presentation - states that members shall not make any statements that misrepresent the investment performance that they or their firm have accomplished or can expect to achieve.
Standard III (E) - Responsibilities of Supervisors points out that when violations do occur, ________ procedures may be inadequate.
Answer(s): A
If a member has adopted reasonable procedures and taken steps to institute an effective compliance program, then the member may not be in violation of Standard III (E). The fact that violations do occur may indicate, however, that the compliance procedures are inadequate. Furthermore, a member may be in violation of Standard III (E) if he or she knows that the procedures designed to detect and prevent violations are not being followed.
In a pension plan, the duty of a fiduciary is to the ________.
Answer(s): E
In a pension plan, the duty of the fiduciary is to the plan participants and their beneficiaries rather than to the plan sponsor that has the power to hire and fire the investment manager. If urged to make investments that might be of direct benefit to a sponsoring community or to the community at large, the manager must ensure that such investments are legal and do not impair the integrity of the funds in question or the financial security of the participants/beneficiaries.
Share your comments for Test Prep CFA® LEVEL 1 exam with other users:
thank you for making the questions and answers intractive and selectable.
answers are correct?
can i belive this dump
great site to practice for sitecore exam
good for students
nice practice dumps
nokia 4a0-114 dumps
great content and wonderful to have the answers with explanation
for question #118, the answer is option c. the screen shot is showing the drop down, but the answer is marked incorrectly please update . thanks for sharing such nice questions.
the correct answer for the question 29 is d.
question no 22: correct answers: bc, 1 per session 1 per page 1 per component always
these are pretty useful
awesome
yes please upload
great job whoever put this together, for the greater good! thanks!
just started to view all questions for the exam
helpful material
hope for the best
will post exam has finished
really correct and good analyze!
excellent thanks a lot
will post once pass the cka exam
good content
q:32 answer has to be option c
nice questions
i really like the support team in this website. they are fast in communication and very helpful.
a good contemporary exam review
q23, its an array, isnt it? starts with [ and end with ]. its an array of objects, not object.
cool very helpfull
i just passed. this exam dumps is the same one from prepaway and examcollection. it has all the real test questions.
is this a valid prince2 practitioner dumps?
all are relatable questions
might help me to prepare for the exam
just paid and downlaod the 2 exams using the 50% sale discount. so far i was able to download the pdf and the test engine. all looks good.