CFA Level I Integrated Hard Ethics Scenarios question

Integrated Hard Ethics Scenarios sample question

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Ethical and Professional Standards

Integrated Hard Ethics Scenarios

A wealth adviser recommends a high-fee private credit fund to a client for whom it may be suitable only as a small allocation. The fund sponsor pays the adviser's firm a placement fee disclosed in the offering memorandum. Separately, the sponsor offers the adviser a personal vacation if aggregate client subscriptions exceed a target. The adviser discloses the placement fee to the client but NOT the vacation offer. The most accurate conclusion is that: