a few questions

CFA Level I
#41

When a CFA Institute member suspects a client or a colleague of planning or engaging in ongoing illegal activities, which of the statements about the actions that the member should take is most correct? According to the CFA Institute Standards of Professional Conduct, the CFA Institute member should: A) consult counsel to determine the legality of the activity. B) ignore the suspected illegal activity unless the suspected party is a CFA Institute member. C) consult counsel to determine the legality of the activity and disassociate from any illegal or unethical activity if the member has reasonable grounds to believe that the activity is illegal or unethical. D) disassociate from any illegal or unethical activity if the member has reasonable grounds to believe that the activity is illegal or unethical.

#42

Sorry, did not realize you were posting. My choices: C D D D D D

#43

here are my choices: 1) C 2) B 3) D 4) A 5) B 6) C

#44

answers from Schweser are: C D D B C C

#45

Question 6 From CFAI: “If a member or candidate has reasonable grounds to believe that imminent or ongoing client or employee activities are illegal or unethical, the member or candidate must dissociate, or separate, from the activity” So, how choosing D (disassociate from any illegal or unethical activity if the member has reasonable grounds to believe that the activity is illegal or unethical) is wrong My point was that the m/c does not need to consult counsel if he has “reasonable grounds to believe…” Maratikus, can you provide the explanation on this one please

#46

alpenchev, i picked the same answer you did. However, Schweser has a different opinion: “Your answer: D was incorrect. The correct answer was C) consult counsel to determine the legality of the activity and disassociate from any illegal or unethical activity if the member has reasonable grounds to believe that the activity is illegal or unethical. According to the procedures for compliance involving Standard I(A), CFA Institute members should determine legality and disassociate from any illegal or unethical activity.” However, I think having reasonable grounds should be sufficient. I wonder if hiredguns1 has an opinion on this one.