Ethics question - Material Nonpublic information

CFA Level I Ethics
#1

Hi guys,

Quick question.

If A (an employee of the firm) has material nonpublic info and tells B, who tells C, who tells D and D trades on the information.

Is it only D that has violated the Standard II(A)? Because that’s what the textbook example is suggesting.

Many thanks.

#2

Hi taintmeblue, I guess your are talking about example 1. In the comment of this example it is stated that both C and D violated the standard. Good luck

#3

Hey there, thanks!