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CFA Level I · CFA Level I Exam · Guidance for Standard I: Professionalism

An analyst is invited by an issuer to attend a sponsored conference. The issuer offers to fly her there on its corporate jet, though commercial flights are available. Which action is most consistent with best practice under Standard I(B)?

She should use commercial transportation paid by herself or her firm. Best practice under Standard I(B) is to avoid paid travel from outside companies, such as corporate jets, to protect independence and objectivity. Modest arranged travel is only suitable when commercial transportation is unavailable.

  1. AAccept the jet but pay for her own hotel
  2. BUse commercial transportation at her or her firm's expenseCorrect
  3. CAccept the jet if she discloses it in her research report

Explanation

Best practice is to always use commercial transportation at the member's or firm's expense rather than accept paid travel from an outside company. Modestly arranged travel is allowed only when commercial transport is unavailable. Here commercial flights exist, so the jet should be declined.

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