CFA Institute CFA-Level-I Exam - Topic 2 Question 30 Discussion

Actual exam question for CFA Institute's CFA-Level-I exam

Question #: 30
Topic #: 2

Which of the following statements clearly conflicts with the recommended procedures for compliance presented in AIMR's Standards of Practice Handbook?

AInvestment recommendations may be changed by an analyst without prior approval of a supervisory analyst.

BPrior approval must be obtained for the personal investment transactions of all employees.

CFor confidentiality reasons, personal transactions should not be compared with those of clients or the employer unless requested by regulatory organizations.

DPersonal transactions should be defined as including transactions in securities owned by the employee and member of his or her immediate family and transactions involving securities in which the employee has beneficial interest.

Show Suggested Answer

Suggested Answer: C

by Beckie at May 03, 2026, 06:18 PM

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Tu

14 days ago

I'm a bit confused about option C; it seems like it could be a gray area regarding confidentiality and compliance.

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Evette

19 days ago

I remember a practice question about personal transactions needing prior approval, which makes me lean towards option A as the answer.

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Nakita

24 days ago

I think option A might be the one that conflicts with AIMR's standards, but I'm not entirely sure if there are exceptions for certain situations.

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