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CFA Level 2
Ethical and Professional Standards

Compensation Arrangements and Research Objectivity

Medium Research Objectivity Standards Compensation Arrangements

Jane, a senior analyst at a leading investment firm, is responsible for conducting research on equity securities. Recently, she was approached by a company that offers a compensation arrangement where, for every subscription taken by her firm's clients for their services, Jane would receive a bonus. This proposed arrangement has left Jane uncertain about its implications for her research objectivity.

According to the CFA Institute's Research Objectivity Standards, what should Jane consider before deciding to accept this compensation arrangement?

Hint

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