Chartered Financial Analyst (CFA) Ethics Practice Test 2026 - Free CFA Ethics Practice Questions and Study Guide

Unlock all questions

This demo includes only 20 questions. Upgrade to access hundreds of questions, flashcards, exam simulations, and disable ads.

Full question bankExam simulationsFlashcards

From $12.50Unlock all

Session length

1 / 20

Scenario: A member uses inaccurate benchmark data to claim outperformance. Which CFA Institute Standard is violated?

Standard V.A Diligence and Reasonable Basis

Claims of outperformance must be supported by a diligent and reasonable basis. Using benchmark data that is inaccurate undermines the integrity of the analysis and means the performance claim isn’t based on reliable, verifiable evidence. This violates the duty to have a reasonable basis for investment analyses and recommendations, including the data and methods used to evaluate performance. Even if the presentation of performance data is covered by other standards, the core issue here is the failure to apply proper diligence to the benchmark data, which is exactly whatStandard V.A Diligence and Reasonable Basis requires.

Standard VI.A Disclosure of Conflicts

Standard IV.D Performance Presentation

Standard IV.E Preservation of Confidentiality