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CFA Level I · CFA Level I Exam · Code of Ethics and Standards of Professional Conduct

According to the CFA Institute Code and Standards, which of the following is a sanction that CFA Institute may impose on a member or candidate for violating the Code and Standards?

Revocation of the right to use the CFA designation is a listed sanction. The Preamble says sanctions can include revocation of membership, candidacy, and the designation. Mandatory exam re-sits and fines paid to clients are not sanctions described in the Code and Standards.

  1. AMandatory re-sitting of the Level I exam
  2. BRevocation of the right to use the CFA designationCorrect
  3. CPayment of a fine to the affected clients

Explanation

The Preamble states that sanctions can include revocation of membership, revocation of candidacy in the CFA Program, and revocation of the right to use the CFA designation. Re-sitting an exam and client fines are not listed sanctions.

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