CFA Level 1: Fulfilling the Duty to Inform Employer

Fulfilling the Duty to Inform Employer

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Question

To fulfill the duty to inform their employer that they must follow AIMR's Code and Standard, members must:

Answers

Explanations

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A. B. C. D.

Explanation

This question relates to a member's duty to inform his/her employer of the Code and Standards. The proper method to do so is in writing and through the member's direct supervisor.

The correct answer is A. inform their immediate supervisor in writing.

To fulfill the duty to inform their employer that they must follow the Association for Investment Management and Research's (AIMR) Code and Standards, members of the organization are required to inform their immediate supervisor in writing.

The AIMR's Code and Standards are a set of ethical guidelines and professional standards that members of the organization are expected to adhere to. These standards promote integrity, professionalism, and ethical behavior in the investment management profession.

By informing their immediate supervisor in writing, members ensure that their employer is aware of their commitment to following the AIMR's Code and Standards. Providing written documentation serves as evidence of their acknowledgment and understanding of their professional responsibilities.

Choosing options B, C, or D would not fully fulfill the duty to inform the employer according to the AIMR's requirements. Option B suggests that members can inform their immediate supervisor either orally or in writing, but the AIMR specifically requires written communication. Options C and D propose informing the firm's chief executive officer, which is not explicitly mandated by the AIMR.

Therefore, option A, which states that members should inform their immediate supervisor in writing, aligns with the AIMR's requirements and is the most accurate choice.