Ethical and Professional Standards Q51

51Anna Becker is employed by Jergen Investment Management Company (JIMC). Becker is a Level II candidate and is the only CFA candidate employed by JIMC. Becker is given supervisory responsibilities of the compliance department and asked to review the firm‟s compliance policies and procedures, which she finds inadequate. She voices her concerns during a meeting with the CEO, who tells her to submit her recommendations in a report but these will not be implemented since the firm is undergoing a change in structure and no compliance changes will be entertained till then. According to the Code and Standards, Becker should:

Option : A
Explanation : According to Standard IV(C) Responsibilities of Supervisors, a member or candidate should decline in writing to accept supervisory responsibilities until reasonable compliance procedures are laid down by a firm for her to assume and exercise responsibility.

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