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

Which of the following best describes who is directly bound by the CFA Institute Code of Ethics and Standards of Professional Conduct?

The Code and Standards directly bind individual CFA Institute members and candidates. They apply to individuals regardless of job function, while firms are only encouraged to adopt them, and a firm claiming compliance must state that the claim has not been verified by CFA Institute.

  1. AOnly firms that publicly claim compliance with them
  2. BIndividual CFA Institute members and CFA candidatesCorrect
  3. COnly holders of the CFA designation who work as portfolio managers

Explanation

The Code and Standards apply to individual members of CFA Institute and candidates for the CFA and CIPM designations. Firms are encouraged to adopt them but are not directly bound. The Preamble also states that all members, including CFA charterholders, and candidates have personal responsibility to uphold them regardless of job function.

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