Impact of Geopolitical Risk on Investment
The degree to which investors take geopolitical risk into account when making decisions will greatly depend on their investment goals and risk appetite. While geopolitical risk may be welcomed by certain investors while it may also be shunned by others…
Tools of Geopolitics
Geopolitical tools refer to methods used by geopolitical actors to strengthen their interests to others. These tools ultimately result in geopolitical risk. Tools of geopolitics may be separated into: i. National Security Tools Tools for national security are those that…
Geopolitics and Globalization
Globalization is the interaction and integration of individuals, organizations, and governments on a global scale. It is characterized by the cross-border movement of goods, information, employment, and culture. However, recently there has been a growth of nationalism, thanks to which…
Geopolitics
Geopolitics examines how geography influences national and international relations. Analysts in this field examine the people, groups, businesses, and national governments that engage in political, economic, and financial activities and their interactions with one another. The risk posed by tensions or acts between…
Forward Price of an Asset With Zero, Positive, or Negative Net Cost of Carry
Cost of Carry The cost of carry is defined as the net of the costs and benefits. The term “carry” is analogous in that storage (or holding) of an asset attractcts net costs i.e, the costs to “carry” an asset….
Standard VII(B) – Reference to CFA Institute, the CFA Designation, and the CFA Program
Application 1: Stating Facts About the CFA® Designation and CFA® Program Dorothy Chen, CFA, is in conversation with one of her mentees – Hannah Blake. Blake is considering sitting the CFA Level I exam and is asking Chen for her…
Standard VI(C) – Referral Fees
Members and Candidates must disclose any remuneration, consideration, or advantages received from or provided to anyone to recommend products or services to their employer, clients, and prospective clients, as applicable. Application 1: Disclosure of Interdepartmental Referral Agreements Britney Sullivan works…
Standard VI(B) – Priority of transactions
Client and employer investment transactions must take precedence over investment transactions in which a member or candidate is the beneficial owner. Application 1: Family Account as Equals Gia Davies, a senior trader at InvestCorp Brokerage, has recently helped her sister…
Standard V(C) – Record Retention
Members and Candidates must create and keep relevant documents to support their investment analysis, suggestions, actions, and other investment-related discussions with customers and prospects. Application: Records of The Firm Scott Garcia is the head of quantitative research at Green Point…
Standard VI(A) – Disclosure of Conflicts
All issues that could reasonably be expected to compromise their independence and objectivity or conflict with their respective duties to their clients, prospective clients, and employer must be disclosed fully and fairly by Members and Candidates. Application 1: Personal Stock…
