- CFA Exams
- CFA Level I Exam
- Topic 10. Ethical and Professional Standards
- Learning Module 2. Code of Ethics and Standards of Professional Conduct
- Subject 2. The Six Components of the Code of Ethics
CFA Practice Question
According to CFA Institute's Code of Ethics, members must practice and encourage others to practice in a professional and ethical manner that will ______.
B. add value for clients, prospects, employers, and employees
C. encourage talented and ethical individuals to enter the investment field and maintain the excellent reputation of CFA Institute and its members
A. reflect credit on members and their profession
B. add value for clients, prospects, employers, and employees
C. encourage talented and ethical individuals to enter the investment field and maintain the excellent reputation of CFA Institute and its members
Correct Answer: A
User Contributed Comments 19
| User | Comment |
|---|---|
| kalps | Got this wrong the first time, members must practice and encourage other to practice in a professiona and ethical manner that will reflect credit on members and their profession |
| Haiqing | i thought it was B first.for i thought the sentence behind the question "serve your clients well". it seems i havn't caught on the meaning of the question. be careful |
| Shevchenko | I thought it was C but A is right because of CFA Institute doesn't want us to be self-serving. |
| johney | I thought B. In fact, the A answer is a little self-serving after all, no? |
| awuzie | when u practise & encourage...it must be for self development |
| mpoki | Yes,it reflect value of members and their profession. |
| lynx | yeah, it is B. but, after some reflection, A would answer and clarify the phrase 'encourage others' further. |
| passtest | "add value" would surmount to "contractual obligation" so it is not the best answer. |
| SamehHassan | Correct Answer : A. By promoting the code of Ethics and Practice it all the time will encourage every member to follow the same. That add credit to CFA members and the whole profession and increase the Trust between members and clients/investors. |
| xyzanand | This is more of a member-to-member communication and thus A seems to be the better choice. |
| mallang | that was a sharp 1ne. i thought its B but u guyz r right. IT's A. |
| geok | thought the ans was B as well. Got be careful as the choices given are quite tricky |
| AUAU | Easy! It's one of the code. May need hard memory. |
| michlam14 | i think b can apply in the standard of professional conduct? but A is definitely for code of ethics |
| alester83 | tricky, i thought it was B as well |
| Amrokken | First try got it right |
| japheth | Why is there no provision for us to choose our answer before checking for the correct answer? Please create a checkbox for one to tick ones option before confirming it. |
| MADZIGONDO | trick question, I thought B was Correct |
| 923029 | I can see why it is A. From an ethical perspective the objective is to 'reflect credit' on members and the profession. You may not add value due to outside events [Ukraine] etc .... but you are acting on the most accurate and unbiased information available at the time. Doing whats right will encourage fair minded people to enter the profession. |