Ann Dunbar, a portfolio manager, wishes to buy stock of Knight Enterprises for her personal account and for clients. Knight is a thinly traded stock. Dunbar believes her own purchase is too small to affect the price but the purchase for clients is likely to increase the price. According to the Code and Standards, when may Dunbar buy the stock for her personal account?

Standard VI(B) Priority of Transactions requires that transactions for clients take precedence over a personal transactions of a member or candidate. Members and candidates should not benefit personally from client transactions, as would occur in this case if the manager enters her personal trade at the same time as the trade for clients. The Standard does not prohibit members and candidates from investing in the same securities they recommend for clients.