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

Under the CFA Institute Code and Standards, the sanctions that CFA Institute may impose on a member or candidate for a violation most likely include:

CFA Institute sanctions can include revocation of membership, revocation of candidacy in the CFA Program, and revocation of the right to use the CFA designation. Regulatory fines and forced client transfers are not CFA Institute sanctions listed in the Preamble.

  1. Arevocation of the right to use the CFA designationCorrect
  2. Ba fine payable to the local securities regulator
  3. Cmandatory transfer of the member's clients to another firm

Explanation

The Preamble states that violations may result in disciplinary sanctions, including revocation of membership, revocation of candidacy in the CFA Program, and revocation of the right to use the CFA designation. Fines paid to regulators and client transfers are not sanctions listed for CFA Institute.

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