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FRM Part I · FRM Exam Part I · GARP Code of Conduct

A risk analyst at a bank is studying the GARP Code of Conduct. Which statement best describes who the Code applies to?

The GARP Code of Conduct applies to GARP Members, which includes FRM candidates and FRM charterholders, in their professional activities. It is not limited to those who have completed certification or to behavior during the exam, because candidates are expected to uphold the same ethical standards.

  1. AOnly FRM charterholders who have completed the two years of work experience
  2. BOnly GARP members who work at financial institutions regulated by a banking authority
  3. COnly candidates sitting the FRM exam, and only during the exam window
  4. DGARP Members, including FRM candidates and FRM charterholders, in their professional activitiesCorrect

Explanation

The Code sets minimum standards of ethical conduct for GARP Members, a group that includes FRM candidates as well as certified holders. It is not limited to charterholders, to exam day, or to employees of regulated firms. Restricting it to charterholders ignores that candidates are bound from the time they register.

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