QUESTIONS 1 THROUGH 18 RELATE TO ETHICAL AND PROFESSIONAL STANDARDS.

8. Leng Bo, CFA is a bond portfolio manager for individual investors. Last year, a client

whose portfolio is limited to investment-grade bonds approved Bo's purchase of a below

investment grade bond. Because yields in the high grade fixed income markets declined,

Bo subsequently decides to enhance this client's portfolio by investing in several

additional bonds with ratings one or two notches below investment grade. The investment

strategy implemented by Bo most likely violated which of the following CFA Institute

Standards of Professional Conduct?

A. Suitability

B. Communications with Clients

C. Independence and Objectivity