PAR: Compliance Training Test! Trivia Quiz

17 Questions | Total Attempts: 108

SettingsSettingsSettings
Please wait...
PAR: Compliance Training Test! Trivia Quiz

This is a PAR: compliance training test. When you start a company, there is much that is expected of you when it comes to the safety of living things, and as an employee of PAR, you should know all the things that you should do to ensure that compliance is met and the company does not face external threats for the lack of. Take the quiz and see if you can get everything right as per what you learned.


Questions and Answers
  • 1. 
    PAR has a duty to seek the lowest execution price for trades on behalf of the Fund on all trades.
    • A. 

      True

    • B. 

      False

  • 2. 
    Under the Violation and Suspicious Activity Reporting policy, only actual and not suspected Violations will be escalated and investigated.
    • A. 

      True

    • B. 

      False

  • 3. 
    PAR Employees need permission to trade which type of security in their personal accounts?
    • A. 

      A. ETFs

    • B. 

      B. Bonds

    • C. 

      B. Call options on single name secuirities

    • D. 

      D. B and C

    • E. 

      E. Mutual Funds

  • 4. 
    A portfolio manager may not participate in a secondary offering if the Fund:
    • A. 

      Has ever shorted the stock

    • B. 

      Has shorted the stock anytime in the previous year prior to the pricing date

    • C. 

      Is net short the position at the time of the registration period

    • D. 

      Has shorted the stock 5 days before the pricing date

  • 5. 
    Portfolio managers and traders are expressly prohibited from trading any security that does NOT appear on the:
    • A. 

      Restricted List

    • B. 

      Investible Securities List

    • C. 

      Focus List

    • D. 

      All of the above

  • 6. 
    PAR has an anti-money laundering policy because:
    • A. 

      It has a high risk of money laundering activity

    • B. 

      It is required to do so under the USA Patriot Act

    • C. 

      As a matter of best practices

    • D. 

      It is required by the Investment Advisers Act of 1940

  • 7. 
    Which of the following is correct?
    • A. 

      PAR maintains a books and records retention matrix

    • B. 

      Employees must consult with the Compliance Officer before disposing or destroying documents that have been retained pursuant to Rule 204-2 of the Investment Adviser Act of 1940

    • C. 

      PAR retains all emails and instant messages sent to or from a PAR-hosted address

    • D. 

      All of the above

  • 8. 
    A portfolio manager must seek pre-approval before placing a trade that could cause the Fund to cross the threshold of 10% ownership or more of any class of series of stock in any security, in any issuer.  
    • A. 

      True

    • B. 

      False

  • 9. 
    To meet custody requirements, annual financial statements are distributed to the Fund’s limited partners:
    • A. 

      60 days of the end of Fund’s fiscal Year

    • B. 

      120 days of the end of Fund’s fiscal Year

    • C. 

      30 days of the end of Fund’s fiscal Year

    • D. 

      Twice a year

  • 10. 
    According to PAR's Data Security Policy, which of the following statements is false:
    • A. 

      Employees are prohibited from keeping open files containing personal information on their desks or computer screens when they are absent from their offices

    • B. 

      Computers of employees, including the Chief Compliance Officer, who have immediate access to personal information will be configured to automatically lock after 15 minutes of non-use

    • C. 

      At the end of the work day, employees must secure all physical records containing personal information in locked drawers or cabinets. Employees must secure all electronic records by locking, logging off of or shutting down computer systems

    • D. 

      Any email sent by an Employee containing personal information must be encrypted.

  • 11. 
    PAR prohibits the use of expert networks.
    • A. 

      True

    • B. 

      False

  • 12. 
    The Fund is prohibited from participating in IPOs. 
    • A. 

      True

    • B. 

      False

  • 13. 
    Which of the following items are permitted to be included in the Fund's marketing materials:
    • A. 

      Economic or financial conditions affecting any assumptions in the materials

    • B. 

      Representations of future gains, income or expenses

    • C. 

      Portrayals of past performance that could imply past results may be repeated in the future, or that cannot be justified under the circumstances

    • D. 

      Discussion of benefits of an investment without giving equal prominence to the risks or limitations associated therewith

    • E. 

      A history of capital growth

  • 14. 
    PAR values Level 3 assets by using publicly available market quotes.
    • A. 

      True

    • B. 

      False

  • 15. 
    Because PAR's prime brokers have the authority to re-hypothecate shares held by the Fund in margin accounts, the number of shares eligible to vote by the Fund on the record date may be less than the actual number of shares held by the Fund.  
    • A. 

      True

    • B. 

      False

  • 16. 
    Employees should inform the Chief Compliance Officer immediately if they become aware that an LP in the Fund is an officer of a public company.  
    • A. 

      True

    • B. 

      False

  • 17. 
    All employees must:
    • A. 

      Not damage the efficient, fair and orderly operation of the securities markets or investors’ confidence

    • B. 

      Ensure that entertainment activities in which they participate are not of a nature that could potentially expose PAR or its employees to reputational risk.

    • C. 

      Place the interests of the Fund first

    • D. 

      All of the above

Back to Top Back to top