QUESTIONS 1 THROUGH 18 RELATE TO ETHICAL AND PROFESSIONAL STANDARDS.

4.

Jack Steyn, CFA, recently became the head of the trading desk at a large investment

management firm that specializes in domestic equities. While reviewing the firm’s trading

operations, he notices clients give discretion to the manager to select brokers on the basis of

their overall services to the management firm. Despite the client directive, Steyn would most

likely violate Standard III (A) Loyalty, Prudence, and Care if he pays soft commissions for which

of the following services from the brokers?

A. Equity research reports

B. Investment conference attendance

C. Database services for offshore investments