Frank Adwood, CFA, is the chief compliance officer for Nills Investment Limited. Frank institutes a new policy requiring the pro rata distribution of new security issues to all discretionary accounts for which the new issues are appropriate. The policy does not provide for the distribution of new issues to non-discretionary accounts, but this is disclosed to all existing and potential clients. Did Frank most likely violate any CFA Institute Standards of Professional Conduct（）
A. No.
B. Yes, because the distribution policy fails to treat all discretionary accounts equally.
C. Yes, because disclosure of inequitable allocation methods does not fulfill the duty for fail and equitable trade allocation procedures.
