guyz do i need to make a separate login account for this quiz? I tried to register but the password has not been yet send to me.
It should go to whatever email you specify. I got an 82, not bad, a few tricky ones though.
kh.asif: yes. I got my email conf straight away…
Yeah, there were a few tricky ones on there. I remember last Dec. when I took the exam, the questions on ethics were more or less exactly like what’s on the CFAI website.
kh.asif…try to play around with it…go the main page and back in and click on forgot your password…same thing happened to me then the forgot your password worked for me
I’ve been searching around and can’t find the answers to the questions I got wrong… Any help would be appreciated. Question 10 of 49 Which of the following statements regarding research reports is/are CORRECT according to the Standards of Practice Handbook? I. Members should outline known limitations of their analysis. II. Reports should be supported by background and supporting information, and this information should be available to interested parties. III. Members must include all relevant factors in research reports. A) II + III B) I + III C) I + II + III —> wrong D) I + II _____________ Question 42 of 49 Gaines, a financial analyst for Skinner Investment Counseling, is told by the investor relations representative for Firebird Avionics, a major aircraft parts manufacturer, that the firm is in the final stages of building a new fuel efficient jet engine. This information is divulged by Firebird at the most recent quarterly conference call for analysts. Gaines uses this information along with other information he obtained from the company and distributed to the public in a research report that includes a “buy” recommendation for Firebird stock. Which of the following statements is CORRECT: A) Gaines violated the Code and Standards because he used material nonpublic information. B) Gaines violated the Code and Standards because he failed to separate opinion from fact. C) Gaines’ actions did not violate the Code and Standards. D) Gaines violated the Code and Standards because he has a material misrepresentation in his report. I thought this was ‘A’ as information divulged to a group of analysts is not considered “public” information. Therefore he used material nonpublic info. _____________ Question 31 This question has been discussed at some length already, although I’m still somewhat confused. I answered D (may attend dinner & golf tournament but not accept reimbursement for travel & hotel) which was incorrect. It seems that the correct answer is B (Should not accept reimbursement for his travel and accommodation expenses and should not attend the dinner or participate in the golf tournament as doing so may impinge on Gonzalez’s independence and objectivity.) However from doing other questions it has seemed that the pattern is that you can accept normal entertainment but not travel / hotel expenses. Any help would be appreciated.
D - This has been discussed here at length. Reports do not have to include ALL relevant factors. C - He used mosaic theory. B - If they ask a question like this, I’m erring on the side of never accept anything from anyone, yo. But I’m drunk, so don’t take my word for it.
Sheramy, a portfolio manager for Woodbridge Investment handles the account of Zamborino, a client of the firm. Zamborino offers to pay Sheramy a $100,000 bonus over and above her compensation from Woodbridge Investments if Sheramy achieves an 18 percent annual return for Zamborino’s account. Sheramy: A- Cannot accept this offer because it will interfere with her independence and ability to be objective regarding investment decisions and recommendations. B- Can accept this offer and disclose the bonus to her employer only if she actually achieves the performance target and receives the gift. C- Cannot accept this offer because it is outside of her primary employment relationship with Woodbridge Investments. D- Can accept this offer as long as she discloses the arrangement to her employer. I put A…isn’t true that he will probably apply more time to this new portfolio with a bonus inside? any help brave ones? many thanks
Tigas… D is correct. Sounds like a lot of money, but as long as it’s not an issuer-relationship, and she discloses and receives approval, she is good to go. A manager at my firm recently went on an all-expense paid trip on a client’s (PWM) yacht in the carribean. Airfare, everything… but she disclosed. So she came back tan. No Violation
Hey guys, mind helping me out a bit? Which of the following statements clearly CONFLICTS with the recommended procedures for compliance presented in the Standards of Practice Handbook? (a) Investment recommendations may be changed by an analyst without prior approval of a supervisory analyst. (b) For confidentiality reasons, personal transactions should not be compared to those of clients or the employer unless requested by regulatory organizations. © Personal transactions include transactions in securities owned by the employee and members of his or her immediate family and transactions involving securities in which the employee has a beneficial interest. (d) Prior approval must be obtained for the personal investment trans¬actions of all employees. ________________________ Youn is a successful money manager who is confident of her investment management ability and claims in her marketing brochures that her clients “will obtain a significant return on principle” by following her advice. Youn’s statement: (a) Improperly implies a guaranteed investment return. (b) States an opinion and therefore cannot be a misrepresentation. © Is not a misrepresentation if all her past clients made money on their investments with her. (d) Misrepresents her ability as an investment manager. ________________________ Powell is a research analyst with Rossington & Collins a brokerage and investment banking firm. R&C’s mergers and acquisitions department has represented Wilkenson Company in all its investment banking deals. Two of R&C’s senior officers are directors of several Wilkenson subsidiaries. Powell has been asked to write a research report on Wilkenson. What is Powell’s BEST course of action? (a) Powell may write the report and ask the officers to review it. (b) Powell may write the report if she discloses in the report the officer’s special relationships with the company and the fact that Rossington & Collins has served as Wilkinson’s investment banker. © Powell may write a factual report but must refrain from expressing any opinions because of the special relationship between the two companies. (d) Powell should not write the report because the officers are insiders of the company. _________________________ Which of the following statements is a recommendation of the Standards of Practice Handbook with regard to personal investing? (a) Restrictions on participation in an IPO of equity or equity-related securities. (b) Pre-clearance of all trades. © All of the above. (d) Disclosure of all holdings in which the employee has a beneficial interest. Thanks
billy22g Wrote: ------------------------------------------------------- > D - This has been discussed here at length. > Reports do not have to include ALL relevant > factors. > > C - He used mosaic theory. > > B - If they ask a question like this, I’m erring > on the side of never accept anything from anyone, > yo. But I’m drunk, so don’t take my word for it. C - He used mosaic theory. I’m confused about this one. It specifically states that the company divulged the information in a recent conference call for analysts. The ethics book clearly states (somewhere, anyways) that divulging information to a group of analysts does not make the information “public”. Given that the company nearing completion of the new jet engine could have an impact on the stock price, that makes the information material. So we have material, non-public information. How does mosaic theory come into this?
calgaryeng123 Wrote: ------------------------------------------------------- > billy22g Wrote: > -------------------------------------------------- > ----- > > D - This has been discussed here at length. > > Reports do not have to include ALL relevant > > factors. > > > > C - He used mosaic theory. > > > > B - If they ask a question like this, I’m > erring > > on the side of never accept anything from > anyone, > > yo. But I’m drunk, so don’t take my word for > it. > > C - He used mosaic theory. I’m confused about > this one. It specifically states that the company > divulged the information in a recent conference > call for analysts. The ethics book clearly states > (somewhere, anyways) that divulging information to > a group of analysts does not make the information > “public”. Given that the company nearing > completion of the new jet engine could have an > impact on the stock price, that makes the > information material. So we have material, > non-public information. How does mosaic theory > come into this? At company conference calls, this information is public. Only analysts can ask questions at the company’s conference call. But anyone can listen to it. In addition, you can usually find a text print out of the conference calls. it is public
This doesn’t seem to be working now. Tried to register, form said a password was sent to my email, but I haven’t seen anything. Argh…want to take this before D-Day!
calgary, it’s definitely a gray area, but conference calls are public especially after a bit of time passes.
I have gotten no email???/
me neither…still waiting for the email
I just registered and took the exam. I missed 5 of them, 90%. It looks good, but I guess I could have done better, I hope the real exam is going to be just as difficult as this. Thank you so much for sharing this information, I wouldn’t have known that such thing even existed without you.
Question 33 of 49 Which of the following is LEAST LIKELY to be an example of misrepresentation: a) Guaranteeing a specific rate of return on the equity securities of a public company. b) Omitting relevant facts from a research report. c) Claiming to have earned an academic degree or professional designation that has not yet been awarded. d) Plagiarizing the work of another analyst in writing a research report. I put a, as it seemed the best option among. I understand now why it isn’t the correct answer…but what is? Clearly c and d are misrepresentation…so b?
Zeller and Toffler have both passed Level II of the CFA Exam Program. Zeller circulates a resume stating that he is a candidate for the CFA designation and has passed Level II of the CFA Program. Toffler circulates a resume stating that he is a “CFA, Level II.” Which of the following statements are CORRECT: a) Only Toffler has violated the Code and Standards. b) Neither Zeller nor Toffler has violated the Code and Standards. c) Both Zeller and Toffler have violated the Code and Standards. d) Only Zeller has violated the Code and Standards. My answer was c, as claiming CFA candidacy requires enrollment in the next level test, and ‘CFA, Level II’ is clearly a violation. Where did I go wrong in my reasoning?
Sorry for double post, forum said there was an error in my post the first time.