I'm back. Did I miss anything?
My imaginary CFA results are mid-80% area for both the morning and afternoon sessions. That sounds like it predicts a pass on Saturday, though probably not at a 95% level of significance. (Does it? I have no idea.) The effect of 1 drink before / 1 during the afternoon is hard to discern although there were more wrong answers towards the end of the afternoon session than at the beginning. Also I was heartily sick of it by the end. Are there really II more levels of this thing? Do they have more stuff on them? That seems excessive.
Now I'm not going to run afoul of ethics guidelines by discussing anything on the mock exam, or real exam, or anywhere else. (Also, this is important: CFA Institute, if you're reading this, we're just kidding about the whole guaranteeing returns thing.) But the sense I get is that people find the ethics section particularly daunting, which, COME ON PEOPLE, you are not doing much for public perceptions of your industry. Nonetheless, as a public service for those taking the test on Saturday and looking to sharpen your skills, here's an extra practice ethics question suggested by a reader.
Jim Peterson is a hedge fund manager whose investors include a variety of taxable and tax-exempt clients. This year, he put all of their money into HPQ and BAC and gold miners and losing lottery tickets, and it went kerplunk. He is also on the board of a nonprofit institution where he hobnobs with fancy people and sends his children to nursery school. The nonprofit invests in his fund, but requires him to waive his fees and agree to reimburse it for any losses. He does so.
Has Peterson violated any CFA Standard of Professional Conduct?*
(B) Yes, Independence and Objectivity
(C) Yes, Fair Dealing
(D) Yes, Additional Compensation Arrangements
(E) Yes, Diligence and Reasonable Basis
(F) Yes, Disclosure of Conflicts
(G) Yes, other (what?)
* I mean, probably no, right? But it's indeterminate enough to be like a real CFA question ...