Ethical and Professional Standards Q130

0. Alba Parker, CFA, is working on a presentation for prospective clients. She showcases the return for the past seven years of a composite of the firm‟s discretionary accounts whose objective is to invest in European growth companies. Parker includes the returns of terminated accounts as the returns are impressive. She adds a note to the presentation indicating that the returns of terminated accounts have also been included. Is Parker in compliance with Standard III (D) Performance Presentation and GIPS Standards?

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Option : B
Explanation : Including terminated accounts with a disclaimer is not in accordance with GIPS, but it complies with Standard III(D).

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