Chris Rodriguez, CFA, is a portfolio manager at Nisqually Asset Management, which specializes intrading highly illiquid shares. Rodriguez has been using Hon Securities Brokers almost exclusivelywhen making transactions for Nisqually clients, as well as for his own relatively small account. Honalways executes Rodriguez's personal trades at a more preferential price than for Rodriguez's clients' accounts. This special pricing occurs regardless of whether or not Rodriguez personallytrades before or after clients. Rodriguez should least likely do which of the following in order tocomply with the CFA Institute Standards of Professional Conduct?
Rodriguez is in violation of Standard IV(A): Loyalty, which requires that, in matters related to their employment, members and candidates must act for the benefit of their employer and not deprive their employer of the advantage of their skills and abilities, divulge confidential information, orotherwise cause harm to their employer. Rodriguez should not accept the special treatment from Hon; instead, he should ask Hon to lower costs for the transactions of his Nisqually clients. Rodriguez should not average transaction costs because his clients should be given the lower preferential prices according to Standard Ill(A): Loyalty, Prudence, and Care.