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D. Performance Presentation.
#analyst-notes #code-of-ethics-and-standards-of-professional-conduct #iii-duties-to-clients

Your bond fund has generated a below average performance for four of the past five years. You use this as the basis for expectations of an above-average performance for the upcoming year. If your average or expected performance is properly determined, you should have a 50% probability of meeting or exceeding that average. Thus, it is inappropriate to declare that because performance was below average last year it is likely to be above average next year.
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