Is approval from employer required for a client who offers a gift based on future performance or just disclosure? I can’t seem to find anywhere in the text that states approval is required…
CFAI VOL 1 page 35 you are only required to disclose not obtain permission after which supervisor is obliged to monitor for possible favoritism
approval is required
goodman i disagree about approval i say only disclosure is required…the context here is a portfolio managment co.
based on future performance should regard as other compensation conflict with employer
aaaaah yes for future benefits related performance approval is required for “suprise” benefit performance only disclosure is required. im curious as to how this works in the real world
goodman is correct. In the case of rewarding future performance , it is like working for someone else in addition to your main employer, plus it is ethically hairy since you may divide your time unequally to the disadvantage of other clients. If you are rewarded for past performance ( i.e. no problem if never repeated again ,wink wink ) its ok , because presumably you had no intention of shortchanging other clients of your time
Is written approval required or verbal ok?
written not verbal
Written approval from employer because it’s like an additional compensation agreement.