Personal Investment Disclosure in Research Reports

Medium Research Objectivity Standards Personal Investments

As a portfolio manager at a large investment firm, you are required to comply with the CFA Institute's Research Objectivity Standards, particularly regarding personal investments. You have a substantial personal investment in a technology company that is currently under your research evaluation. The firm's analysts have expressed concerns about the company's financial health. You are preparing a report on the company for clients. Which of the following actions would BEST align with the ethical responsibilities outlined in the CFA Institute’s standards?

Continue with the report while declaring your personal investment in the company to your clients.

Disclose your personal investment and refrain from making any recommendations about the stock in the report.

Omit any mention of your personal investment in the report to maintain objectivity.

Hint

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