<1. Stephen, CFA, is an experienced investment advisor and he works for an investment advisory firm. He ismeeting one of the firm's new clients, Sammie. After chatting with Sammie for a few minutes, Stephenrecommends that she should buy some Bitcoins in her portfolio because it is the medium of exchange forfuture. It has a substantial upside and its recent pullback represents a great buying opportunity. He has alsoexplained in great details about Bitcoin and other crypto currencies.A) Please discussion the following:Which CFA Standard of Professional Conduct does the case relate to?B) Explain whether each of I, II, III & IV below is correct or incorrect separately with respect to the relevantStandard. State the key points of the case that relate to the relevant Standard in your own words.His conduct of recommending Sammie to buy Bitcoins is:I. acceptable because Stephen is very experienced in investment with CFA designation.II.acceptable because the investment in Bitcoins could be very profitable to Sammie and therefore it isin her best interest.III.acceptable because he backs his recommendation with thorough explanation.IV. unacceptable.+5060305054 20771.06

Introduction: In this instance, Stephen, an investment advisor who holds a CFA charter, advises his…

Answered: 1. Stephen, CFA, is an experienced…

Understanding Business

12th Edition

ISBN:9781259929434

Author:William Nickels

Publisher:William Nickels

Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment

Section: Chapter Questions

Problem 1CE

See similar textbooks

Similar questions

uestion The company's bank won't lend it any more money than it already has, and investment bankers have said that debentures are out of the question. The treasurer has asked you to do some research and suggest a few ways in which bonds might be made attractive enough to allow the company to borrow. Explain how to secure the bonds with owned assets in great detial. In what ways does it make the bonds more attractive to allow the company to borrow?
What activities are commonly associated with Shadow Banking? I. Securitization activity centered around structured investment vehicles (SIV) but not special purpose vehicles (SPV). II. Hedge funds. III. Secured financing based on repo and stock lending agreements. IV. Money market mutual funds. Question 3Answer a. I, II, III and IV. b. I, II and IV only. c. I, II and III only. d. II, III and IV only.
Mr. Thava is planning to open a restaurant. He allocates 50 percent of his capital from his own saving and another 50 percent borrowed from financial institution. Advise Mr. Thava any FIVE (5) principles of good lending to make sure he can be focus in his business and at the same time maintain a good reputation as a borrower.
Regulations are used by regulators as a viable means to mitigate risk in the banking sector. However, over time, many arguments have been put forth in favor of regulations and against it. Some of the most pertinent arguments include all of the following EXCEPT? a. Regulation is essential to effectively managing the relationship between risk and return, although it can reduce the opportunities available to financial institutions to increase shareholders wealth. b. Regulators seek to create a safe banking environment to ensure the stability of the global financial system. However, in doing so, it reduces the competitiveness of financial institutions, and inevitably their ability to effectively compete with other banks. c. Regulators seek to mitigate any negative impacts that can result in failures of the global financial system, while at the same time, discourage undertaking risky activities by financial institutions. d. The underlying objective of regulators is to…
What is the main reason lenders pay borrowers' property taxes through a pre-paid escrow account? It prevents a tax lien from being applied to the home. The tax lien would be senior to the mortgage lien. It prevents the borrower from refinancing with another lender because they would lose all of their escrow funds. It allows the lender to earn interest on the pre- paid tax money as itsits in the account. It allows the lender to take advantage of corporate tax deductions.
Help me please...Asap
The reason for corporations to engage in swaptions or need to engage in a swap option in a future date to ___________________. * a. speculate on the loss of value of the underlying assetb. protect them from adverse movements in the interest ratesc. hedge against unfavorable exchange rate of currenciesd. can be all of the above
Multiple choice
Investors tend to only invest in stocks of companies that pay high dividends. True False
3 00 Which of the following is/are fully exempt from Capital Gains Tax? Select one: O a. A family home which was owned for 15 years by the taxpayer and has been rented out for the last 7 years as the taxpayer relocated to the UK for work purposes. The owner, upon returning to Australia, has lived in the property for 2 months prior to selling the house (to fund the purchase of a new family home). There have been no other claims of main residence by the taxpayer. O b. A motor vehicle purchased by the taxpayer, held for 24 months then disposed of for a value above the cost base. c. O d. O e. A lottery win by a Uber driver. Two of the specific events are fully exempted from CGT. All of the specific events are fully exempted from CGT.
Please Solve in 30mins
Please give me the solution of the following question: Define a Company. Explain its features and also explain advantages and disadvantages of forming a public company. Discuss the crucial importance of cash to a business. Is the profit that a business makes a reliable indicator of its cash balances? What is the reason for the existence of Corporate Governance? Discuss some principles of good governance as described by the Corporate Governance Code. Define Gearing and explain its advantages and disadvantages. Why might a bank be interested in a company’s level of gearing?

SEE MORE QUESTIONS

Recommended textbooks for you

Understanding Business

Management

ISBN:

9781259929434

Author:

William Nickels

Publisher:

McGraw-Hill Education

Management (14th Edition)

Management

ISBN:

9780134527604

Author:

Stephen P. Robbins, Mary A. Coulter

Publisher:

PEARSON

Spreadsheet Modeling & Decision Analysis: A Pract…

Management

ISBN:

9781305947412

Author:

Cliff Ragsdale

Publisher:

Cengage Learning

Understanding Business

Management

ISBN:

9781259929434

Author:

William Nickels

Publisher:

McGraw-Hill Education

Management (14th Edition)

Management

ISBN:

9780134527604

Author:

Stephen P. Robbins, Mary A. Coulter

Publisher:

PEARSON

Spreadsheet Modeling & Decision Analysis: A Pract…

Management

ISBN:

9781305947412

Author:

Cliff Ragsdale

Publisher:

Cengage Learning

Management Information Systems: Managing The Digi…

Management

ISBN:

9780135191798

Author:

Kenneth C. Laudon, Jane P. Laudon

Publisher:

PEARSON

Business Essentials (12th Edition) (What's New in…

Management

ISBN:

9780134728391

Author:

Ronald J. Ebert, Ricky W. Griffin

Publisher:

PEARSON

Fundamentals of Management (10th Edition)

Management

ISBN:

9780134237473

Author:

Stephen P. Robbins, Mary A. Coulter, David A. De Cenzo

Publisher:

PEARSON

SEE MORE TEXTBOOKS