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NEW QUESTION: 1
Which of the following is/are true about claims of compliance with the AIMR-PPS?
I. If a firm is only in partial compliance with PPS, it must use a disclaimer specifying the exact areas of non- compliance.
II. If the calculation methodology used by a firm follow standard industry practice, it is allowed to claim that the methodology is in compliance with the AIMR-PPS.
III. If a member misuses the claim of compliance with the PPS, AIMR can publicly censure him, suspend his membership and revoke his CFA charter.
A. none of them
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C. III only
D. I, II and III
A firm cannot claim partial compliance with the PPS. It is either fully compliant or non-compliant. Further, statements referring to the calculation methodologies being in accordance with the PPS are explicitly prohibited; the PPS are mainly presentation standards, not measurement standards. Violations are punishable by public censure, membership suspension and revocation of CFA charter.
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