) DURING PEÑA'S CONVERSATION WITH MARTINEZ, WHICH OF THE FOLLOWING STANDARDS IS LEAST LIKELY TO HAVE BEEN VIOLATED

4.) During Peña's conversation with Martinez, which of the following Standards is least likely

to have been violated?

A.

Misrepresentation

B.

Reference to the CFA Program

C.

Loyalty

Answer = B

In the conversation with Martinez, Peña did not violate Standard VII(B)—Reference to

CFA Institute, the CFA Designation, and the CFA Program because he did not call himself

a candidate but explained his participation in the program and properly stated that he

had passed Levels I and II of the CFA Program. Peña's statement regarding damaging

rumors about Northwest Securities was in violation of Standard IV(A)—Loyalty because

it could cause harm to his current employer. Peña also implied that he had completed

his university work to obtain a degree when he did not clarify his failure to receive a

degree, a violation of Standard I(C)—Misrepresentation.

“Guidance for Standards I–VII,” CFA Institute

Standards I(C), IV(A), and VII(B)