Kaplan also uses the phrase “new or acquiring firm”. There is no discrepancy regarding this between CFA and Kaplan text.
However Kaplan Schweser in its first condition states this:
1. Substantially all the investment decision makers are employed by the new firm (e.g., research department, portfolio managers, and other relevant staff);
Now there is nothing in the original question to suggest that Firm U acquired Firm T’s research department and trading staff. So I want to understand how is the performance portable? I know the question mentions that Manger D takes all of the investment decisions but it’s also mentioned that he is supported by the research and trading staff. So I’m assuming that in order for Manager D to take his investment decision, the research dept. and trading staff are highly important to his cause. Without them his investment decisions may not have been correct.
So if the research dept and trading staff are not acquired by Firm U, shouldn’t the performance of Manager D not be portable?