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An advisor recommends a particular international growth fund to several clients that focuses on several of the larger emerging market countries. The fund has fees

An advisor recommends a particular international growth fund to several clients that focuses on several of the larger emerging market countries. The fund has fees comparable to its peers' fees, has a stable portfolio management team, and has consistently ranked in the top percentile for quarterly and annual returns. Within the first year of having clients invest in this fund, one of the countries experiences a major economic collapse brought on b a change in governmental leaders, which causes the fund to fall by 55%. Which of the following statements is most likely true?

A) The recommendation violated the standard on diligence because it included an investment with potential downside risk.

B)The recommendation complied with the standard on diligence because the change in leaders was not known at the time of the recommendation.

C) The recommendation violated the standard on diligence because the analyst did not anticipate the economic collapse of a new government.

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