Introduction to the Global Investment Performance Standards (GIPS) sample question
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Ethical and Professional Standards / Introduction to the Global Investment Performance Standards (GIPS)
Choose an answer before revealing the explanation, key takeaway, and answer-choice review.
Introduction to the Global Investment Performance Standards (GIPS)
Aurora Investments constructs its composites by grouping client portfolios according to the country in which each client is domiciled, so that local marketing teams can show prospects the returns earned by clients in their own country. Under the GIPS standards, this approach is least appropriate because composites must be defined according to:
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