Cfa Mindmap

Page 1

CFA LEVEL 1    STUDY SESSION 01   

ETHICAL & PROFESSIONAL STANDARDS

All CFA Institute members and candidates are required to comply with the Code and Standards Basic structure for enforcing the Code and Standards Rules of Procedure Maintains oversight and responsibility Structure of the CFA Institute Professional Conduct Program Professional Conduct program (PCP) The CFA Designated Officer Directs Professional Conduct Staff Self-disclosure An inquiry can be prompted by several circumstances Written complaints Evidence of misconduct Report by a CFA exam proctor Through the Disciplinary Review Committee (DRC) The CFA Institute Board of Governors Is responsible for the enforcement of the Code and Standards Based on two primary principles The CFA Institute Bylaws Fair process to member and candidate Confidentiality of proceedings

Page 2

Conducts professional conduct inquiries

a.

Requesting a written explanation from the member or candidate

1. Code Of Ethics And Standards Of Professional Conduct

Process for the enforcement of the Code and Standards When an inquiry is initiated

The Professional Conduct staff conducts an investigation that may include

The member or candidate Interviewing Complaining parties Third parties Collecting documents and records in support of its investigation Conclude the inquiry with no disciplinary sanction

Upon reviewing the material obtained during the investigation, the Designated Officer may

Issue a cautionary letter Continue proceedings to discipline the member or candidate If finding that a violation of the Code and Standards occurred, the Designated Officer proposes a disciplinary sanction

Accepted by member

Rejected by member

The matter is referred to a hearing by a panel of CFA Institute members

Act with integrity, competence, diligence, respect and in an ethical manner Six components of the Code of Ethics Integrity of investment profession & interest of clients above personal...