easy · CFA Level I ethics
A trader at Vesper Foods learns from an internal IT error that the firm's quarterly revenue is 20% higher than expected. Before the news is released, he buys call options for a client's portfolio. This is:
- B. Permissible because the trader is fulfilling his duty of loyalty to the client.
- C. Not a violation if the trader did not personally profit from the trade.
- A. A violation of Standard II(A).
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