A different standard of loyalty for CFA Standard III is owed by investment managers of a mutual fund regarding the investors of that fund, in comparison to financial advisers dealing with individual advisory clients. True False

Any form of communication that can be retrieved and documented is suitable as a form of written notification for the purposes of CFA Standard IV.

True False

In circumstances where the CFA member has limited time to prepare complete financial recommendations for a client, it is acceptable for the advice to be based on incomplete research when a discount of at least 20% is offered to the client. True False

Some CFA members have employment positions where they are responsible for managing a specific investment fund which is designed to track the investment performance of an index or sector of the investment market in accordance with its mandate.

In these situations the responsibilities of the member:

include being personally responsible for any losses generated by the funds investments as this is consistent with the role of the member as a fiduciary.

should be focused on investing the fund assets in a manner consistent with the stated mandate

extend to being responsible for determining the investment suitability of the fund for those investors who may be purchasing shares in the fund

include being personally responsible for the first 10% any losses generated by the funds investments as this is the maximum that elderly investors could afford to lose without adversely affecting their lifestyle