I am looking at some mocks and one of the question in the ethics portion of the exam seems to have 2 correct answers. Here is the question:
According to the Standards of Practice Handbook, a member who is an investment manager is least likely to breach his duty to client by:
A) disclosing confidential information client information to the CFA Institute Professional Conduct Program
B) using client brokerage to purchase goods or services that are used in the investment decision-making process
C) consistently supporting management’s recommendation by voting with management on proxies related to non-governance related issues.
Answer is B. I agree B is correct, however, why isn’t A correct? According to the handbook, an investment manager can disclose confidential information to the PCP without violating the preservation of confidentiality sub-standard. I know it says least likely but both answer seem ok to me. Unless the question needs to specify that an investigation is currently taking place? In other words, an investment manager cannot provide confidential information to the PCP for no reason?
Thank you for your help!