Ethical and Professional Standards Q133

0. Andrea Whistler, CFA is a research analyst at Awesome Investments. Among the list of stocks she covers is home e-tailer Fabnish, which was issued a buy recommendation recently. Whistler is also a passionate home décor blogger in her spare time. To promote their newly launched home décor section, Fabnish has approached Whistler to do an objective post on home improvement using the products on their site. She will be compensated through vouchers for this activity that can be redeemed on the site. Whistler does not inform her employer of this activity as it does not interfere with her work commitments. Did any violation take place?

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Option : A
Explanation : Since Fabnish is a client covered as part of their research analysis, there is a conflict of interest. She was paid for her engagement which she should have disclosed to her employer. Refer to Standard IV(B) Additional Compensation Arrangements.

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