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

Which statement most accurately describes the application of the Code and Standards compared with the CFA Institute Asset Manager Code?

The Code and Standards are aimed at individual members and candidates, whereas the Asset Manager Code is designed for firms. The Asset Manager Code gives guidelines in six areas, including loyalty to clients, trading, compliance and disclosure.

  1. ABoth apply only to firms and are mandatory for all asset managers
  2. BThe Code and Standards target individual members and candidates, while the Asset Manager Code applies to firmsCorrect
  3. CThe Code and Standards apply to firms, while the Asset Manager Code applies to individual candidates

Explanation

The Code and Standards apply to individual members of CFA Institute and candidates for the CFA and CIPM designations. The Asset Manager Code applies to firms and covers six areas such as loyalty to clients and trading. Options A and C reverse or misstate this.

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