Consulting Conflict of Interest

Easy Cfa Institute Code And Standards Professionalism - Independence

Jane is a financial analyst at an investment firm. She has been approached by a company that she regularly covers to provide consultancy services on the side. Jane is eager to take on this secondary role because it offers a substantial financial incentive. However, she is aware that doing so could create a conflict of interest with her primary responsibilities at the investment firm.

According to the CFA Institute Code and Standards regarding professionalism and independence, what should Jane consider before accepting this secondary position?

Jane can accept the role as long as she discloses it to her employer.

Jane must refuse the role as it creates a potential conflict of interest.

Jane can accept the role if her employer does not explicitly prohibit such consultancy.

Hint

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