hahahahah
bump
I’ve just run into Q about duties to clients. A manager said that particular trust in no longer managed by his company and this trust is conservatively managed. According to the answer this represents breach of confidentiality (EOC Q53). What’s so confidential in this information? We can’t state who are our current clients or what?
And again from EOC- ROS state that report updates should be made on a timely basis. According to one of the answers annual update does not conform with ROS. So if the Q ask whether smth conform with Standards do you consider only requirements or recommendations too?
Here’s my take on it
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You cannot disclose any client specific information. The standard is that whenever asked abotu your client accounts, who you’re managing, etc - simply state, all our client info is confidential. I’d be surprised if it was allowed to discuss current/ex clients names. Why that is, I don’t know - but just from the feel of it, it doesnt seem right
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Can you give more info abt the second case? Coz the way I read it is tht restricting yourself to only an annual update is where the problem lies…the standard states whenever there is a change of circumstances in the company (earnings, divs, etc), you must issue a revision. Most companies submit quarterly earnings, so I believe, it could be read as a violation.
The first case is what interests me more - what are the confidentiality requirements for an ex-client? I’m revising something else right now so leme know if you can or I’ll check the book later.
You’re right actually- in my work I don’t disclose the names of our clients even to the national authorities without written order from them. The idea is that somebody can try to steal them (I work in a bank). I just haven’t realized that the Standards prohibit names’ disclosure too, especially when in the EOC Q the other person already knew that this company is a former client.
The confidentiality requirements are same for current, prospective and former clients according to the Standards.
As to the second case- a company has a policy to update reports annually or more frequently if rhere is substantive new information. The question asks whether this policy conforms ROS and the answer is no (ROS EOC Q3). Since the quarterly update is only recommendation my only guess is that the key word is “conform”.
Hmmm - but conform generally implies meeting minimum standards. I’m really surprised
ROS EOC Q3 has the following things to worry about:
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“Firm … has recently adopted … both the required and recommended policies”
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On their policy: “CVG requires that reports be updated annually, or more frequently if substantive …”
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Recommended policy: “It is recommended that reports … be issued at least quarterly”
Argh, I haven’t consider this moment. Thank you!