Material Nonpublic Information

问题如下：

At a post-work gathering in a financial district bar, Ellen Miffitt, CFA, accidentally overhears employees from a rival firm discussing plans to manipulate the price of a thinly traded micro-cap stock in the coming days. Miffitt's clients hold significant positions in this stock, so upon arriving at work the next day, she promptly sells off these holdings. Having previously determined that the micro-cap stock was suitable for all her accounts at its higher price, Miffitt repurchases her clients' original shares at the week's end at the new, lower price. Which of the CFA Institute's Standards of Professional Conduct is Miffitt least likely to have violated?

选项：

A.Market Manipulation B.Preservation of Confidentiality C.Material Nonpublic Information

解释：

Option B is correct because Miffitt did not breach the standard of confidentiality, which pertains to information about past, current, and potential clients. Option A is incorrect as, even though Miffitt did not initiate the market manipulation, her actions contributed to the price movement when she sold into a declining market, especially in the case of thinly traded stocks that are susceptible to changes in trading volume. By repurchasing the shares for her clients, she attempted to benefit from the manipulation, thereby violating Standard II(B). Option C is incorrect because she tried to benefit her clients by trading on information that could impact the value of the micro-cap stock, which is considered material nonpublic information.