Which of the following is/are a correct statement of a member's duty under the Code and Standards?
I. In the absence of specific applicable law or other regulatory requirements, the Code and Standards govern the member's actions.
II. A member is required to comply only with applicable local laws, rules, regulations, or customs even though the AIMR Code and Standards may impose a higher degree of responsibility or a higher duty on the member.
III. A member who trades securities in a foreign securities market where no applicable local laws or stock exchange rules regulate the use of material nonpublic information may take investment action based on material nonpublic information.
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A. B. C. D.A
This question pertains to Standard I, Fundamental Responsibilities - specifically, international application of the Code and Standards. If applicable law is more strict than the requirements of the Code and Standards, members must adhere to applicable law, otherwise, members must adhere to the Code and Standards - thus, I is correct. Members must adhere to the higher standard set by the Code and Standards if local applicable law is less strict- thus, II is incorrect. When no applicable law exists, the Code applies - thus, III is incorrect.