Emily is a CFA charterholder who works as a portfolio manager for a well-known asset management firm. Recently, she was approached by a friend who owns a startup and is seeking investment from Emily’s firm. The friend offers Emily a discounted stake in the startup as an incentive for helping secure the investment from her firm. Emily is excited about the potential gains but is aware of her ethical obligations to her employer and clients.

As she considers this opportunity, Emily knows she must assess her responsibilities concerning potential conflicts of interest and the ethical standards to which she is held as a CFA charterholder.