Member and Candidate Sanctions

Professional Conduct protects investors and maintains market integrity by promoting compliance with the CFA Institute Code of Ethics and Standards of Professional Conduct, the ethical benchmark for investment professionals around the globe. This supports the reputation and integrity of CFA Institute, its members, designations, and exam programs. Conduct violations can result in sanctions, including suspension or revocation of an individual’s membership and right to use the CFA designation or a suspension or ban from the CFA Program.

Industry-related sanctions cover professional conduct allegations and violations of the Code and Standards involving clients, potential clients, securities markets, employers, CFA Institute members, and the public.

Exam-related sanctions reflect allegations and violations of the exam rules and regulations of the CFA and CIPM Programs. All exam-related matters that result in a sanction include an automatic voiding of exam results.

Sanction types are based on the Rules of Procedure for Professional Conduct (Rule 1.6) and include the following:

• Private Reprimand: A written admonishment that includes only the conduct, excluding the Covered Person's identifying information; it is not disclosed to third parties.
• Censure: A written admonishment that includes the conduct and may include the Covered Person’s identifying information; it is disclosed to third parties upon request (previously “public censure”).
• Suspension of Membership: Covered Person’s memberships in CFA Institute and member societies are terminated for a specified period.
• Suspension of the Right to Use the CFA Designation: Covered Person’s right to use the CFA designation is terminated for a specified period.
• Revocation of Membership: Covered Person’s memberships in CFA Institute and member societies are terminated; individual is no longer allowed to use the CFA designation.
• Summary Suspension: Covered Person’s memberships in CFA Institute and member societies and/or the right to use the CFA designation and/or participate in the CFA Program are automatically terminated.
• Suspension from Participation in the CFA Program:  Covered Person’s participation in the CFA Program is terminated for a specified period.
• Prohibition from Participation in the CFA Program: Covered Person’s participation in the CFA Program is terminated indefinitely.