Last week, when I was teaching The Spaulding Group’s CIPM Exam prep class for the Principles Level, a student asked me for help with a question on a sample exam from CFA Institute. The question read:
This time, the answer key indicated that “C” was the correct response. While it is true that item “C” is a requirement, it is also true that item “B” is a requirement, based on GIPS provision I.5.A.1.e, as I indicated above.
To end this long story, I contacted CFA Institute, and they indicated that this is indeed an error, which will be corrected. Thus, I wanted to pass this on to candidates who may have been perplexed by this question. And if you are a Principles Level candidate and were perplexed by the question, don’t feel bad… I passed this by my Expert Level class students last week, and an interesting debate ensued with views all over the map. So, sometimes this stuff is not so easy!