CFA Refresher Readings
Ethics and Professional Standards: Study Session 1
Learning Outcome Statements
“Code of
Ethics and Standards of Professional Conduct”
The practitioner should be able to:
- Describe the structure of the CFA Institute Professional Conduct Program and the process for the enforcement of the Code and Standards
- State the six components of the Code of Ethics and the seven Standards of Professional Conduct
- Explain the ethical responsibilities required by the Code and Standards, including the multiple sub-sections of each Standard
“Guidance” for
Standards I – VII
The practitioner should be able to:
- Demonstrate a thorough knowledge of the Code of Ethics and Standards of Professional Conduct by applying the Code and Standards to specific situations presenting multiple issues of questionable professional conduct
- Distinguish between conduct that conforms to the Code and Standards and conduct that violates the Code and Standards
- Recommend practices and procedures designed to prevent violations of the Code of Ethics and Standards of Professional Conduct
Introduction
to the Global Investment Performance Standards
The practitioner should be able to:
- Explain why the GIPS standards were created, what parties the GIPS standards apply to, and who is served by the standards
- Explain the construction and purpose of composites in performance reporting
- Explain the requirements for verification of compliance with GIPS standards
Global Investment Performance Standards
The practitioner should be able to:
- Describe the key characteristics of the GIPS standards and the fundamentals of compliance
- Describe the scope of the GIPS standards with respect to an investment firm’s definition and historical performance record
- Explain how the GIPS standards are implemented in countries with existing standards for performance reporting and describe the appropriate response when the GIPS standards and local regulations are in conflict
- Characterize the eight major sections of the GIPS standards