- CFA Exams
- CFA Level I Exam
- Study Session 1. Ethical and Professional Standards
- Reading 1. Code of Ethics and Standards of Professional Conduct
- Subject 1. The Six Components of the Code of Ethics
CFA Practice Question
There are 291 practice questions for this study session.
CFA Practice Question
According to CFA Institute's Code of Ethics, specifically, how must members behave when dealing with the public, clients, prospects, employers, employees, and fellow members?
A. With integrity, competence, reasonable care and independent professional judgment.
B. With integrity, competence, diligence and respect.
C. With integrity, respect, dignity and reasonable care.
Explanation: The Code of Ethics Members of CFA Institute shall:
- Act with integrity, competence, diligence and respect when dealing with the public, clients, prospects etc.
- Practice and encourage others to practice in a professional manner that will reflect credit on the members of the profession.
- Maintain and improve their competence and that of others in the profession.
- Use reasonable care and exercise independent professional judgment.
User Contributed Comments 15
|sexy||If you are not using independent professional judgement with the public, clients, prospects, employers, employees and fellow members then who are you using it with???|
|Chay||The word "respect" appears nowhere in The Code of Ethics.|
|kuan||Hmm.. Seems like professional judgement is associated with analysis and
Integrity, competence and dignity is associated with people!
|hizmo||Read the code.|
|fndc99999||"respect" adds a lot of confusion in this question and makes it a hard one|
|jojoman||RESPECT? where did you find that?|
|Janey||The word respect is on page 11 under the code of ethics, so not sure why people are having trouble finding it.....|
|volkovv||First line in Code of Ethics: "Act with integrity, competence, diligence, respect..."|
|RNAN||R. E. S. P. E. C. T.....that is a Aretha Franklin song:
...what you want, Baby I got...
|mcspaddj||Respect is going to be my downfall in the industry.|
|midwest||where does independent judgment come in? i remember reading about that...|
|Clint||In the explanation ANs has "Use reasonable care and exercise independent professional judgment" Why is A wrong? Every word in the explanation is in the answer A.|
|cfahitman||A is wrong because "independent professional judgment" isn't used when dealing with public, clients, prospects. the first line of answer says it.|
Independent judgment is used when doing investment analysis, reccomendations, and actions.