Subject 1. CFA Institute Professional Conduct Program

The basic structure for enforcing the Code and Standards: Rules of Procedure.

The Disciplinary Review Committee (DRC) enforces the Code and Standards.

Professional Conduct staff monitor compliance through Professional Conduct Statements, public complaints, public information, and media reports.

The rules related to information-gathering and conviction follow a criminal justice system approach. The procedures require a careful investigation of the charges followed by a hearing, findings and appeal.

An overview follows:

  • Grounds for Discipline. Any act which violates the Code and Standards.

  • Investigation by Designated Officer (DO). The officer may conclude the inquiry with no disciplinary sanction, issue a cautionary letter, or continue proceedings to discipline the member or candidate. If the investigation determines that a violation occurred, a disciplinary sanction is recommended. The member or candidate may accept the recommended sanction or proceed to a hearing panel.

  • Hearing. If the member rejects the proposed sanction, a case against the member will be prepared and take place in front of a hearing panel of three or more members.

Authorized sanctions include suspension or revocation of membership/designation, private/public censure, and private reprimand.

User Contributed Comments 16

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tamj: i don't get it
magicchip: tamj, what is it that you dont get?
Oneea: Nice one
AUAU: It's simple but may pose some detailpoints.
Like (DO), ground for discopline & hearing.
Vabes: good
niemeljason: The "code and standards" tell you how to behave,you have to abide by the "Rules of procedures".Any misbehaviour will be investigated by the DO,using the DRC to determine what will be the punishments...
seedorf: yes its pose some detailpoints
dublin2010: where are the basic questions online?
puthu: Hi where can I get level 1 formula sheet and level 1 sample questions and answers 2011?
Saxonomy: You can get all that by Prayer and Fasting.
israt: i dont understand
fsammari: Nice one.
phoenix10: I dint get it
phoenix10: Help, Could some one give me a guide or a structure on how to prep for level 1 pls?
elmoudden: Hi I'm a new member and I ask for help to prepare the level1. So if you have somethings can help me (course, guidance.... ) I would be grateful.
lordnelson: Read the book titled 'Direct Path to the CFA Charter' by Rachel Bryant CFA to help study for the exams..