Jerry Rodgers, CAIA, is an equity analyst for a regional investment firm based in Wyoming. Based on extensive research and his prior tenure on the board of a competitor, Mr. Rodgers has determined that JB Barbeque Restaurants, Inc., is an excellent investment and purchases some of JB’s shares for his personal account. He then recommends JB to his largest clients by phone and to his other clients by e-mail. With respect to the Code and Standards, how would Mr. Rodgers’s actions best be described? Choose one A Mr. Rodgers has violated Standard VI(B): Priority of Transactions B Mr. Rodgers has violated Standard III(B): Fair Dealing C Mr. Rodgers has violated Standard II(A): Material Nonpublic Information D There is no evidence that Mr. Rodgers has violated any standards ---- This one is tough. I want to say A since he is front running by purchasing ahead of his clients. however, the wording seems to suggest that he potentially informed his larger clients BEFORE his other clients, no? I still think it is A. What do you think?
I think that it sounds like a CAIA question, not a CFA question.
Take a pill.
I was joking.
I wouldn’t mess with S2000magician; he knows this stuff cold. He’s been pretty helpful to the folks on the forum and I’ve never see him botch any one of his 16,507 answers.
I think It’s B, cuz he traded before twh clients and he priories his largest clients when letting the clients know, So that’s not fair to all his clients. In order to make sure he’s fairly dealing with the clients, he should inform all of his clients first then target some largest later if needed