Navigating Conflicts: Loyalty to Clients in Asset Management

As an Asset Manager, you are responsible for managing a diverse portfolio for multiple clients. Recently, you received an offer from a tech company to invest a significant amount of your firm's capital in a start-up, which could potentially yield high returns for your clients. However, this investment would also require you to prioritize your firm’s interests and could conflict with the objectives of some existing clients who prefer a conservative approach. Additionally, your firm could benefit from positive exposure through this investment, possibly influencing other clients to invest in similar ventures.

In light of the Asset Manager Code and specifically the principle of 'Loyalty to Clients', discuss how you should approach this situation. Include an analysis of the ethical considerations and the potential consequences of your decision. Explain how your actions could align with the fiduciary duty you owe to your clients while navigating the tension between profitability for your firm and the best interests of your clientele.