Q1. Are they saying:
A. expenses of a trip paid by SUBJECT COMPANY (that you are researching) will affect your independence and objectivity
B. but expenses of a trip paid by your BROKER will not affect your independence and objectivity and is OK? Didn’t this violate Duties to Clients as you may not seek best execution?
So Standard Independence and Objectivity is only applicable when you are researching and issuing recommendation?
Q2. Which standard did Prem violate here? The vignette doens’t specifically say Prem disseminate exclusively to Mathew first and then disseminate to the clients, right? Can’t Prem just delay the release of the reports and disseminate them to Mathew and the clients at the same?