Is non public information concering a the fund manager’s departure material nonpublic information? Schweser says no because its release would have no effect on individual security prices. But lets a star PM at a fund is to depart soon. Wouldn’t a reasonable investor want to know this info before making an investment decission to invest in the fund. If it is a significant investment mandate, could this have an effect on the underlying securities prices. Just not my day with ethics today…I seem to be questioning everything…
oldmonk: if you are reading ethics from schweser just forget it. I hate schweser ethics, In their attempt to provide us tricky questions, they have erred on the ambiguity more than anything else. I’d read SOPH and do the 25 problems at the end, at this point i mean cut your losses, and focus on possible gains.
this is NOT in the CFAI books so i would not sweat it.