文件2015年cfa二级培训项目

TOPICEthicalandProfessionalStandardstativeFinancialStatementCorporate7InvestmentToolsysisofEquityysisof eysisof5ysisofAlternative4AssetValuationPortfolioManagement7TopicWeightingsFALevelEthics&ProfessionalStudySessionStudySession StudySession StudySession FrameworkofCodeofEthicsandStandardsof ResearchObjectivityCaseCase1:TheGlenarmCase2:PrestonCase3:SuperTradeAllocation:FairDealingAndCase4:ChangingInvestment ifairnessoftheprocesstomembersandityoftheCFAInstituteDisciplinaryReviewCommittee(DRC)ofth responsibilityfortheProfessionalConductProgram(PCP)andenmentoftheCodeandStandards.Self‐disclosureonannualProfessionalConductStatementsofinvolvementivillitigationoracriminalinvestigation,orthatthememberorcandidateisthesubjectofawrittencomint.WrittencomintsaboutprofessionalconductreceivedbytheProfessionalConductstaff.EvidenceofmisconductbyamemberorcandidatethattheProfessionalConductstaffreceivedthroughpublicsources,suchasamediaarticleorAreportbyaCFAexamproctorofapossibleviolationduringtheOnceaninquiryisinitiated,ProfessionalConductstaffrequests(inwriting)anexnationfromthesubjectmemberorcandidate:interviewthesubjectmemberorinterviewthecominantorotherthirdcollectsandrecordsrelevanttotheTheDesignatedOfficermaythatnodisciplinarysanctionsaretoissueacautionaryto hememberorSanctionsimposedmay ludeprivatecensure,publiccensure,timedsuspension,timerevocation,suspension,revocation( ThehearingpanelreviewsmaterialsandfromtheDesignatedOfficerandfromthememberorcandidate.Thehearingpanel’staskistodeterminewhetheraviolationoftheCodeandStandardsoccurredand,ifso,whatsanctionshouldbeimposed.

findsaviolation ReferredtoapanelforahearingandCFAInstitutemembervolunteersaffiliatedwiththeDRCThehearingIfthememberorcandidatedoesnotaccepttheproposedsanction,thematterisreferredtoahearingpanelcomposedofDRC(DisciplineReviewCommittee)membersandCFAInstitutemembervolunteersaffiliatedwiththeDRC.ThehearingpanelreviewsmaterialsandpresentationsfromtheDesignatedOfficerandfromthememberorcandidate.Thehearingpanel’staskistodeterminewhetheraviolationoftheCodeandStandardsoccurredand,ifso,whatsanctionshouldbeimposed.ComparisonsofAMCandCodeandTheAssetManagerCodeofProfessionalConductAMC whichisdesinedinpart,tohelpassetmanagerscomplywiththeregulationsmandatingcodesofethicsforinvestmentadvisers.CodeandAimedatindividualinvestmentprofessionalswhoaremembersofCFAInstituteorcandidatesintheCFAProgram.Ethics&ProfessionalActwithintegrity,competence,diligence,respect,andinhicalmannerwiththepublic,s,prospectives,employers,employees,colleaguesintheinvestmentprofession,andotherparticipantsintheglobalcapitalmarkets.cetheintegrityoftheinvestmentprofessionandtheinterestsof abovetheirownalinterests.Usereasonablecareandexercisetprofessionaljudgmentwhenconductinginvestmentysis,makinginvestment takinginvestmentactions,andengaginginotherprofessionalactivities.Practiceandencourageotherstopracticeinaprofessionalandethicalmannerthatwillreflectcreditonthemselvesandtheprofession.Promotetheintegrityandviabilityoftheglobalcapitalmarketsfortheultimatebenefitofsociety.Maintainandimprovetheirprofessionalcompetenceandstrivetomaintainandimprovethecompetenceofotherinvestmentprofessionals.GuidanceforStandards Fairdealing;

DutyTosofinterestResonsibilit

PerformancepresentationPreservato ResponsibilityofsupervisorsCommunicationwiths;RecordretentionDisclosureofs;Priorityoftransaction;ReferralfeesCondumembersandcandidates;StandardI(A):MembersandCandidatesmustunderstandandcoml withallapplicablelaws,rules,andregulations(ludingtheCFAInstituteCodeofEthicsandStandardsofProfessionalConduct)ofany ernment,regulatoryorganization,licensingagency,orprofessionalassociation erningtheirprofessionalactivities.Intheeventof,mustcomplywiththemorestrictlaw,rule,orMustnotknowinglyparticipateorassistinanyviolationofsuchlaws,rules,orregulation.Mustdissociatefromanyviolationofsuchlaws,rules,orStandardI(A):Guidance‐CodeandStandardsvs.localGuidance‐CodeandStandardsvs.localMustknowandshouldknowthelawsandregulationsrelatedtotheirprofessionalactivitiesinallcountriesinwhichtheyconductbusiness.Notexpertonalllawsthatcould ernhisactivities，notexpertoncompliance,however，mustcomplywithlawdirectly Alwaysadheretothemoststrictrulesandrequirements(laworCFAinstituteStandards)thatapply.DonotviolateCodeorStandardseveniftheactivityisotherwiselegalunderlocallaws.Ms→Ls<CodeLs→Ms>CodeStandardI:I(A)Knowledgeoflaw（知法与ApplicableMemberresidesinLScountry,doesbusinessinMScountry;LSlawapplies,butitstatesthatlawoflocalitywherebusinessis MSMemberresidesinMScountry,doesbusinessinLScountry;MSlawapplies,butitstatesthatlawoflocalitywherebusinessis MemberresidesinMScountry,doesbusinessinLScountrywithawhoisacitizenofLScountry;MSlawapplies,butitstatesthatthelawofthe’shome MemberresidesinMScountry,doesbusinessinLScountrywithawhoisacitizenofMScountry;MSlawapplies,butitstatesthatthelawofthe’shome MSStandardI(A):Guidance‐Participationorassociationwith by Know→reportthroughsupervisororcompliancedepartment→considerconfrontingwrongdoers→（ifunsuccessful）→dissociate→ complianceThereisnorequirementunderStandardstoreportviolationstoernmental,butthismaybeadvisableinsomecircumstancesandrequiredbylawinInactioncombinedwithcontinuingassociationwiththoseinvolvedinillegalor hicalconductmaybeconstruedasparticipationorassistanceintheillegalor hicalconduct.（视同继续）StandardI(A):Guidance‐InvestmentProductsandApplicableGuidance‐InvestmentProductsandApplicableTheapplicablelawsandregulationsofthecountriesorregionsoforiginationandexpectedsaleshouldbeunderstoodbythoseresponsibleforthesupervisionoftheservicesorcreationandmaintenanceoftheproductsorShouldmakereasonableeffortstoreviewwhetherassociatedfirmsthataredistributingproductsorservicesalsoabidebythelawsandregulations.Shouldundertakenecessaryduediligencewhentransactingcross‐borderbusinesstounderstandthemultipleapplicablelawsandregulations,inordertoprotectthereputationofthefirmandthemselves.StandardI(A):Procedures‐Formembersandmendedprocedures‐Formembersandstayinformed：鼓励公司更新相关法律的变化，并做成小册子发给员工，使员工随时了解当地法律。也鼓励组织或外部 Case1*.(NotificationofKnownViolations)Allenfoundoverstatementofearningsinfilespreparedforregulators,heseeksadviceoffirm’sgeneralcounsel,whosaysitwouldbedifficultforregulatortoblameAllenforanywrongnginvolved.Comment:Asthecounseldoesnotgiveclearjustificationforthelegitimacyofthesituation,Allenmustreporttohissupervisorandseektlegaladviceanddeterminewhethertheregulatorshouldbenotifiedoftheerror.Cannotbeabsolvedfromrequirementstocomplywithlaw/regulationinspiteofhavingsoughtadviceoflegalcounsel.Case2*.DissociatinfromaViolation)Brownfindshiscustomerconcealedlossesinforeignbranchandthepreliminaryprospectushasbeendistributedfortheunderwriting.’Comment:Itsclearviolation,Brownmustreporttosupervisor.Ifnotremedied,healsomustdissociateandseekfurtherlegaladvicetodetermineappropriateaction.’Case3.(FailuretoMaintainKnowledgeoftheLaw,Newexample8)Whiteusesnewtechnologytocommunicatewithsandpotentials.Sherecentlybeganpostinginvestmentinformationtoherpageandsendsoutbriefannouncements,opinions,andthoughtsviaheraccountPriortoWhite’suseofthesesocialmediatforms,thelocalregulatorhadissuednewrequirementsandguidance erningonlineelectroniccommunication.White’scommunicationsappeartowiththerecentre Comment:WhiteisinviolationofStandardI(A)becausehercommunicationsdonotcomplywiththenewguidanceandregulationerninguseofsocialmedia.Whitemustbeawareoftheevolvinglegalrequirementspertainingtonewanddynamicareasofthefinancialservicesindustrythatareapplicabletoher.Sheshouldseekguidancefromappropriate,knowledgeable,andreliablesources,suchasherfirm’scompliancefunction,serviceproviders,oroutsidecounsel,ifshedoesnotallyfollowlegalandregulatorytrendsaffectingherprofessionalGuidanceforStandards

Knowledgeoftheceandobjectivity; Fairdealing;

DutyTo

PerformancepresentationPreservationofityResponsibilityofsupervisorsDiligenceandreasonablebasis;Communicationwiths;Recordretentionsof Priorityof StandardI(B):MembersandCandidatesmustusereasonablecareandudmenttoachieveandmaintainceandobjectivityintheirprofessionalMustnotoffer,solicit,oracceptanygift,benefit,compensation,orconsiderationthatreasonablycouldbeexpectedtocompromisetheirownoranother’sceandobjectivity.MainlyconcerninghowtodealwithinternalandexternalRejectgiftthatcouldbeexpectedtocompromisetheirownorceandobjectivity.(BestOrdinarily,modestandnormalgiftisOKonlyifitspurposeisnottoinfluencece.Benefitsmayludegifts,invitationstolavishfunctions,tickets,favors,jobreferrals,andsoon.Giftfromcorporate（上市公司）shouldevaluateboththeactualeffectonhisceandobjectivityandintheeyesofs.Giftfroms:Receivingagift,benefit,orconsiderationfromacanbedistinguishedfromgiftsgivenbyentitiesseekingtoinfluencecetothedetrimentofothers.’sgiftshouldbedisclosed,ifnot→violateIB.Whenpossible,priortoaccepting“bonuses”orgiftsfroms,membersandcandidatesshoulddisclosetotheiremployerssuchbenefitsofferedbys.Ifnotificationisnotpossiblepriortoacceptance,membersandcandidatemustdisclosetotheiremployersbenefitspreviouslyacceptedfroms.Disclosureallowstheemployerofamemberorcandidatetomakeantdeterminationabouttheextenttowhichthegiftmayaffectthemember’sorcandidate’sceandobjectivity.StandardI(B):Guidance‐Buy‐Sidesandportfolio Buy‐Sidesmaytrytopressuresell‐sideInstitutionalsaretheprimaryusersofsell‐sideresearch,eitherdirectlyorwithsoftdollarbrokerage.ItisimpropertothreatenorengageinretaliatoryAlthoughmostportfoliomanagersdonotengageinsuchpractices,theperceptionbytheresearchystthatareprisalispossiblemaycauseconcernandmakeitdifficulttomaintaince.StandardI(B):Guidance‐FundmanagerMembersandcandidatesresponsibleforhiringandretainingoutsidemanagersandthird‐partycustodiansshouldnotacceptgifts,entertainment,ortravelfundingthatmaybeperceivedasimpairingtheir ndsecondaryfundmanagersandthird‐partycustodiansoftenarrangeeducationalandmarketingeventstoinformothersabouttheirbusinessstrategiesorinvestmentprocess.MustMustreviewthemeritsofeachofferindividuallyinwhethertheymayattendyet StandardI(B):Guidance‐InvestmentbankingFirewallbetweenresearchandinvestmentbankingshouldbebuilttominimizesofinterest.Separatereportingstructuresfor nelontheresearchsideandnelontheinvestmentbankingside.Compensationarrangementthatminimizesthepressuresonresearchystsandrewardsobjectivityandaccuracy.Compensationshouldnotlinkystremunerationdirectlytoinvestmentbankingassignmentsinwhichystmayparticipateasateammember.Itisappropriatetohaveystsworkwithinvestmentbankersonlywhenthesareadequayandeffectivelymanagedanddisclosed.Firmsshouldalsoregularlyreviewpoliciesandprocedurestodeterminewhetherystsareadequaysafeguardedandtoimprovethetransparencyofdisclosuresrelatingtoofinterests.StandardI(B):Guidance‐PerformanceMeasurementMembersandcandidatesworkingwithinafirm’sinvestmentperformancemeasurementdepartmentmayalsobepresentedwithsituationsthatchallengetheirceandobjectivity.Asperformanceysts,theirysismayrevealinstanceswheremanagersmayappearedtostrayfromtheirmandate.Ortheperformanceystmayreceiverequeststoaltertheconstructionofcompositeindicesduetonegativeresultsforaselectedaccountorfund.Thememberorcandidatemustnotallowinternalorexternalinfluencestoaffecttheirceandobectivit astheyfaithfullycompletetheirperformancecalculationandysisrelatedresponsibilities.StandardI(B):Guidance‐PublicGuidance‐Public ystsshouldnotbepressuredtoissuefavorableresearchbythecompaniestheyfollow.Canpromisetocoverthefirm,shouldnotpromisefavorablereportaboutthefirm.StandardI(B):Guidance‐CreditratingagencyMembersandcandidatesatratingagenciesshouldensurethatproceduresatnciespreventundueinfluencesfromasponsoring duringthe Shouldabidebytheiragenciesandtheindustrysstandardsofregarding yticalprocessandthedistributionof Theratingagenciesneedtodevelopthenecessaryfirewallsandprotectionstoallowthetoperationsoftheirdifferentbusinesslines.Selection/ProcurementWhenservinginahiringcapacity,membersandcandidatesshouldnotsolicitgifts,contributions,orothercompensationthatmayaffecttheirceandobjectivity.Requestingcontributionstoafavoritecharityorpoliticalorganizationmayalsobeperceivedasanattempttoinfluencethedecision‐makingmembersandcandidatesservinginahiringcapacityshouldrefusegifts,donations,andotherofferedcompensationthatmaybeperceivedtoinfluencetheirdecision‐makingSelection/ProcurementinfluencethedecisionofthehiringTheofferingoftheseitemswiththeintenttoimpairtheceandobjectivityofanother wouldnotcomplywithstandardI(B).Suchprohibitedactionsmay ludeofferingdonationstoacharitableorganizationorpoliticalcandidatereferredbythehiringrepresentative.(paytoyscandal)StandardI(B):Guidance‐Issuer‐PaidGuidance‐Issuer‐Paid ysts’compensationforpreparingsuchresearchshouldbelimited,andthepreferenceisforaflatfeethatisnotlinkedtotheirconclusionsor mendations(directlyorindirectly)Mustfullydisclosepotential ofinterest, ludingtheStandardI(B):Guidance‐TravelMaybeinfluencedbydiscussion clusivelywiththeexecutiveswhenflyingonacorporatejet.Bestpractice:alwaysusecommercialtransportationratherthanacceptpaidtravelarrangementsfromanoutside Shouldcommercialtransportationbeunavailable,mayacceptmodestlyarrangedtraveltoparticipateinappropriateinformation‐gatheringevents,suchasapropertytour.mendedproceduresforProtecttheintegrityofopinions——makesuretheyareCreatearestrictedlistforcorporate ifnotwillingtoissueadverseopinionanddistributeonlyfactualinformationaboutcompaniesonthelist.Restrictspecialcostarrangements——payforone’sowncommercialtransportationandho ;can’tbereimbursedbycorporateissuer;limituseofcorporateaircrafttosituationsinwhichcommercialtransportationisnotavailable;issuershouldn’talwayshosttheyst. Limitgifts——tokenitemsonly.Customary,business‐relatedentertainmentisokayaslongasitspurposeisnottoinfluenceamember’sprofessionalceorobjectivity;basedonlocalcustomsandwhetherthelimitispergiftorannualtotalamount.mendedproceduresforComplianceRestrictinvestments:Firmtosetupaboutemployee’spurchaseequityorequity‐relatedIPO;pre‐approvalforemployeeparticipationinIPO;RestricttoacquiresecuritiesinprivateReviewprocedure——shaveeffectivesupervisoryandreviewproceduresabout alinvestmentactivitiesce:formalwrittenAppointedofficer:tosuperviseforcompliance;provideproceduresandpoliciesforreortin violationtoeveryemloee.Case1(InfluencingManagerSelectionDecisions,NEWexample13),CFAisaseniorportfoliomanagerforZZYYCapitalManagementwhooverseesateamofinvestmentprofessionalsthatmanagelaborunionpensionfunds.ZZYYsucceededinbeinghiredafewyearsagobytheUnitedDoughnutandPretzelBakersUnion(UDPBU)tomanagetheirgloballydiversifiedpensionfund.UDPBU’sinvestmentboardischairedbyarecognizedkeydecisionmakerandlong‐timeleaderoftheunion,ErnestoGomez.ToimproveZZYY’schancesofwinningthecompetition,Mandelhad eaccustomedtomakingsignificantmarycontributionstoGomez’sunionreelectionns.Inordertosecuretheposition,MandeltocontributetoGomez’sreelectioncamahestaswellastoentertainlavishlytheunionleaderandhisfamilyattoprestaurantsonaregularbasis.AllofMandel’soutlayswereroutinelyhandledasmarketingexpensesreimbursedbyZZYY’penseaccounts,andsotheyweredisclosedtohisseniormanagementassupposedlybeinginstrumentalinmaintainingastrongcloserelationshipwithanimportant.Comment:Mandelnotonlyoffered,butactuallygavem arygifts,benefits,andotherconsiderationsthatreasonablycouldbeexpectedtocompromiseGomez’sobjectivity.Therefore,MandelwasinviolationofStandardI(B).Case2(InfluencingHiringDecisions,NEWexample14)MandelCFAhadheardaboutthe ingmanagersearchcompetitionfortheUDPBUPensionFundthroughabroker‐dealercontact.Thecontacttoldhimthatawell‐knownretiredprofessionalgolfer,Bobby“TheBear”Finlay,whohad ealicensedbroker‐dealerservingasapensionconsultant,wasorchestratingtheUDPBUmanagersearch.Finlayhadgainedcelebritystatuswithseverallaborunionpensionfundboards.MandeldecidedtoimproveZZYY’schancesofbeinginvitedtoparticipateinthesearchcompetitionbybefriendingFinlaytocurryhisfavor.KnowingFinlay’sloveofentertainment,MandelwinedanddinedFinlayathigh‐profilebistroswhereFinlaycouldglowinthefanrecognitionlavishedonhimbyalltheotherpatrons.Mandel’sendeavorspaidoffhandsomelywhenFinlay mendedtotheUDPBUboardthatZZYYbeenteredasoneofthreefinalistassetmanagementfirmsintheirsearch.Comment:SimilartoExample13,Mandellavishedgifts,benefits,andotherconsiderationsintheformofexpensiveentertainmentthatcouldreasonablybeexpectedtoinfluencetheconsultantto mendthehiringofhisfirm.Therefore,MandelwasinviolationofStandardI(B).Case3(FundManagerRelationships,NEWexample15)AmieScottisaperformanceystwithinherfirmwithresponsibilitiesforyzingtheperformanceofexternalmanagers.Whilecompletingherquarterlyysis,shenoticestherewasachangeinoneofthemanagersreportedcompositeconstructionthataided oncealingthebadperformanceofaparticularlylargeaccountbycingth countintoanewresidualcomposite.Thischangeallowedthemanagertoremainatthetopofthelistofmanagerperformance.Scottknowsherfirmhasalargeallocationtothismanagerandthefund’smanagerisaclosealfriendoftheCEO.Sheneedstodeliverherfinalreport,butisconcernedwithpointingoutthecompositechange.Comment:ScottwouldbeinviolationofStandardI(B)ifshediddisclosethechangeinherfinalreport.The ysisofmanagers’performanceshouldnotbeinfluencedby alrelationshipsorthesizeoftheallocationtotheoutsidemanagers.Bynot ludingthechange,Scottwouldnotbeprovidingant ysisoftheperformancemetricsforherfirm.Case4(Intra‐firmPressure,NEWexample16)JillSteinisheadofperformanceforherfirm.Duringthelastquarter,manymembersoftheorganizationsresearchdepartmentwereremovedbecauseofthepoorqualityoftheirmendations.Thesubparresearchcausedtoonelargeraccountholdertoexperiencesignificantunderperformance,whichresultedinthewithdrawinghalfhismoney.TheheadofsalesrequeststhatSteinremovethisaccountfromthefirm’sperformancecomposite,becausetheperformancedeclinecanbeattributedtothedepartedresearchteamandnottheComment:PressurefromotherinternaldepartmentscancreatesituationsthatcauseamemberorcandidatetoviolatetheCodeandStandards.Steinmustmaintainherceandobjectivityandrefusetoexcludespecificaccountsfromthefirm’sperformancecompositestowhichtheybelong.Aslongastheinvestedunderastrategysimilartothatofthedefinedcomposite,itcannotbeexcludedbecauseofthepoorstockselectionsthatleadtotheunderperformanceandassetwithdrawal.GuidanceforStandards

ceandobjectivity; Fairdealing;

DutyTo

PerformancepresentationPreservationofityResponsibilityofsupervisorsDiligenceandreasonablebasis;Communicationwiths;Recordretentionsof Priorityof StandardI(C):Mustnotknowinlmakeanymisrepresentationsrelatingtoinvestment mendations,actions,orotherprofessionalactivities.Oncefindingmisrepresentation(e.g.typographicalerror),correcttheerrorassoonaspossible,orviolateI(C).StandardI(C):Guidance‐DefinitionofAmisrepresentationisanyuntruestatementoromissionofafactoranystatementthatisotherwisefalseormisleading.Mustnotknowinglyomitormisrepresentinformationorgiveafalseimpressionofafirm,organization,orsecurityinoralrepresentations,advertising(whetherinthepressorthroughbrochures),electroniccommunications,orwrittenmaterials(whetherpubliclydisseminatedornot).Omissionofafactor e:Althoughnoteverymodelcantestforeveryfactoror e,shouldensurethattheysesorporateabroadrangeofassumptions—fromverypositivescenariostoextremelynegativescenarios.StandardI(C):Theomissionofafactor ecanbemisleading,especiallygiventhegrowinguseofmodelsandtechnical Additionally,the esfrommodelsshallnotbepresentedasfactbecausetheyrepresenttheexpectedresultsbasedontheinputsandysisprocess Membersandcandidatesshouldencouragetheirfirmstodevelopstrictpoliciesforcompositedevelopmenttopreventcherrypicking—situationsinwhichselectedaccountsarepresentedasrepresentativeofthefirm’sabilities.Guidance‐ImpactonInvestmentGuaranteetheinvestmentProhibit:Guaranteeingspecificreturnwhichisinherentlyvolatile,becauseitismisleadingtoinvestors.Notprohibit:Providing swithinformationoninvestmentsthathaveguaranteesbuiltintothestructureoftheproductorforwhichaninstitutionhasagreedtocoveranylosses.Membersandcandidatesmustnotmisrepresentanyaspectoftheirpractice, luding(butnotlimitedto)theirqualificationsorcredentials,thequalificationsorservicesprovidedbytheirfirm,theirperformancerecordandtherecordoftheirfirm,andthecharacteristicsofaninvestment. isprohibitedfromsaying“wecanprovideallyouneed”.ProperwayistoprovidealistofservicesUsingthird‐partyShouldexercisecareanddiligencewhenusing3rd‐artWhenitaffectstheprofessional’sbusinesspractices,investmentprofessionalshouldberesponsiblefortheTheperformancebenarkselectionmaymisrepresentthesuccessoftheirperformancerecordthroughpresentingbenarksthatarenotcomparabletotheirstrategies.StandardI(C)doesnotrequirethatabenarkalwaysbeprovidedinordertocomply.Whensuchabenarkisused,membersandcandidatesshouldmakereasonableeffortstoensurethattheydisclosethereasonsbehindtheuseofthisreferenceindextoavoidmisrepresentationsoftheirMembersandcandidatesshoulddiscusswithsonacontinuousbasistheappropriatebenarktobeusedforperformanceevaluationsandrelatedfeecalculations.Reportingmisrepresentationsmayalsooccurwhenvaluationsforilliquidornon‐tradedsecuritiesareavailablefrommorethanoneMembersandcandidatesshouldtakereasonablestepstoprovideaccurateandreliablesecuritypricinginformationtosonaconsistentbasis.ChangingpricingprovidersshouldnotbebasedsolelyonthejustificationthatthenewproviderreportsahighercurrentvalueofaConsistencyinthereportedinformationwillimprovetheperceptionofthevaluationprocessforilliquidsecurities.Whencommunicatingthroughsocialmediachannels,membersandcandidatesshouldpronlythesameinformationtheyareallowedtodistributetosandpotentialsthroughothertraditionalformsofcommunication.Theperceivedanonymitygrantedthroughthesetformsmayenticeindividualstomisrepresenttheirqualificationsorabilitiesorthoseoftheiremployer.Actionsundertakenthroughsocialmediathatknowinglymisrepresent mendationsorprofessionalactivitiesareconsideredaviolationofStandardI(C).StandardI(C):Guidance–classification2(Definition:Copyingorusinginsubstantiallythesameformmaterialspreparedbyotherswithoutacknowledgingthesourceofthematerialoridentifyingtheauthorandpublisherofsu Appliedinoralcommunications(e.g.groupmeetings);visitswiths;useofaudio/ media;and Mustnotcopy(orrepresentastheirown)originalideas/materialwithoutpermission.Mustacknowledgeandidentifythesourceofideas/materialthatisnottheirown.(e.g.acomputermodelderivedfromothers’idea) laTakeastudydonebyothers,changename,andUsingexcerptsfromothers’reports(whetherverbatimorslightchangesinwording)withoutacknowledgement.Citing“leadingysts”and“investmentexperts”withoutnamingspecificreference.Usingchartsandgraphswithoutstating‐FormsofPresentingstatisticalestimatesofforecastspreparedbyothersandidentifyingthesourceswithoutludingthequalifyingstatementsorcaveatsthatmayhv beenused.Copyingproprietarycomputerizedspreadsheetsoralgorithmswithoutauthorizationofthecreators.Preparationofresearchreportsbasedonmultiplesourcesofinformationwithoutacknowledgingthesources.(e.g.ideas,statisticalcompilations,andforecastscombinedtogivetheappearanceoforiginalwork).Cannotuseunedforecasts,earningsprojections,assetvalues,etc.Sourcesmustberevealedtobringtheresponsibilitydirectlybacktotheauthororthefirminvolved.Guidance‐Indistributing3rd‐party,outsourcedresearch,mayuseanddistributereportsaslongasnotrepresentingoneselfastheauthor.Shoulddisclosewhethertheresearchpresentedcomesfromanothersource,fromeitherwithinoroutsidethemember’sThis stounderstandwhohastheWhencitingfrommainstreammediaCannotonlycitetheinformationfromtheintermediary,aseofmisunderstandingandpotentialdeviationfromtheviewpointoftheoriginalauthor.Bestpractice:Eitherobtaintheinformationdirectlyfromtheauthorandciteonlythatauthororusetheinformationprovidedbytheintermediaryandcitebothsources.StandardI(C):Guidance‐WorkCompletedforFirmmayissuefuturereportswithoutattributiontopriorysts,butamemberorcandidatecannotreissueapreviouslyreleasedreportsolelyunderhisorhername.Mayuseotherpeople’swork(research,models,etc.)withinthesamefirmwithoutcommittingaviolation.Whentheoriginalystleavesthefirm,researchandmodelsdevelopedwhileemployedarethepropertyofthefirm.Thefirmretainstherighttocontinueusingtheworkcompletedafterleaving.Thefirmmayissuefuturereportswithoutprovidingattributiontothepriorysts.Amemberorcandidatecannotreissueapreviouslyreleasedreportsolelyunderhisorhername.Standard mendedproceduresformendedproceduresforFactualQualificationsummary:Verifyoutsideinformation:verifyforthethirdmayimpactitsintegrity.Encouragetodeveloptoverify.Maintainwge:currentinformation;protectsite’sity,andsecurity;notmisrepresentandfully ——mainta opies;attributequotations;attributesummariesIfsummarizeanother’s,Case1(MisrepresentingCompositeconstruction,NEWexample14)RobertPalmerisheadofperformanceforafundmanager.Whenaskedtoprovideperformancenumberstofundratingagencies,heavoidsmentioningthatthefundmanagerisquiiberalompositeconstruction.Theeasewithwhichaccountsarelud