Question 1

Section A

A consultant at "M&A Advisors" is working on a highly secretive merger between two large tech companies. Over the weekend, he tells his friend about the upcoming merger, knowing his friend won't trade on the information.

Which IFAC fundamental principle has the consultant breached?

Accepted Answer

The consultant shared secret client information with an unauthorized third party. This is a textbook confidentiality breach.

Question 2

What mistakes do candidates make on this ACCA question?

Accepted Answer

Assuming no breach occurred because the friend didn't trade on the information.

Section A

A consultant at "M&A Advisors" is working on a highly secretive merger between two large tech companies. Over the weekend, he tells his friend about the upcoming merger, knowing his friend won't trade on the information.

Which IFAC fundamental principle has the consultant breached?

How to approach this question

Full Answer

Common mistakes

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