[removed by admin]
Shooting porn isn’t forbidden in the US of A.
Wise up Frenchie
Answer is Choice D.
Now what if one of the companies in Lee s portfolio was a listed company engaged in production and distribution of legal porn in some of whose films Lee has played an important character?
Would he be in violation of disclosure of conflict of interest?
to confused: that would create a conflict of interests because the success of the company on the stock market could provide additional financing for the new movies in which Lee might be invited to act for a fee.
I’d say D) None.
What an icky question!
What was the official answer/explanation?
No official answer/explanation. I was wondering whether this behavior might cause any troubles to my future career 
Similarly, CFAI Reading 2, Q 53 changes up the facts in the given answer. The vignette says that Caper tells Telline he was told the Leighton Family Trust was held at his firm; Telline did not reveal this info.
I’ll need to check the prurient investor rule.
Touché!
The answer is B.
He is seeking outside employment and requires employer approval before engaging in such activity.
However, if he recommends and of his “works” to a client he should disclose any compensation relationships he has with the sale of such videos.
Only if such outside employment interferes with his duty to his employer or competes with his employer.
I believe that the assumption here is that it does neither.
(I leave it to you to ascertain whether this assumption is reasonable.)
If there is ANY doubt, declare. He is working for a for-profit (presumably) company that has it’s own schedule and deadlines.
Declaring is quite different from obtaining permission. The former is (probably) advisable, the latter is (probably) unnecessary.
I’ve reviewed the Ethics recently, particulary duties to the Employer. So, from my understanding simple disclosure won’t do the trick here. What if the guys were trading luxury items instead? How would it be different from shooting in porno if these activities are pursued for the financial benefit.
So, considering that there is no direct competition, permission is probably not required. But you would need to disclose it for the clients and employer, because this can reasonably create a conflict of interests.