CFA Level I · CFA Level I Exam · Guidance for Standard I: Professionalism
Under the Standards, a member or candidate acts "knowingly" in making a misrepresentation when the member or candidate:
A member acts knowingly when he or she either knows or should have known that a misrepresentation was being made or that omitted information could alter decision-making. Personal profit motive or a complaint is not required for a breach of Standard I(C).
- Aintends to profit personally from the statement
- Bknows or should have known that the statement was misleadingCorrect
- Chas received a written complaint about the statement
Explanation
The guidance defines knowingly as knowing or should have known that a misrepresentation was being made or that omitted information could alter the investment decision-making process. Intent to profit or a complaint is not required.
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