Standard V(C) – Record Retention
Members and Candidates must create and keep relevant documents to support their investment analysis, suggestions, actions, and other investment-related discussions with customers and prospects. Application: Records of The Firm Scott Garcia is the head of quantitative research at Green Point…
Standard V(B) – Communication with Clients and Prospective Clients
Members and Candidates must: Immediately disclose to customers and prospective clients the basic format and broad principles of the investing procedures they employ to analyze investments, choose securities and construct portfolios, as well as any modifications that may materially influence…
Standard V – Investment Analysis, Recommendations, and Action
Standard V(A) – Diligence and Reasonable Basis Members and Candidates must: Analyze investments, give investment recommendations, and take investment activities with diligence, independence, and completeness. Have a reasonable and adequate basis for any investment analysis, recommendation, or action, backed by…
Standard IV(C) – Responsibilities of Supervisors
Members and Candidates are responsible for ensuring that anybody under their supervision or responsibility follows all applicable laws, rules, regulations, and the CFA Institute Code and Standards. Application 1: Supervising Research Activities Joy Silverstone, CFA, is the head of research…
Standard IV(B) – Additional Compensation Arrangements
Members and Candidates must acquire written consent from all parties concerned before accepting gifts, benefits, remuneration, or other incentives that competes with or could reasonably be expected to create a conflict of interest with their employer’s interest. Members and candidates…
Standard IV – Duties to Employers
Standard IV(A) – Loyalty Members and Candidates must act in the best interests of their employers, not denying them the benefit of their skills and abilities, divulging sensitive information, or harming them in any other way. Members and Candidates should…
Standard III(E) – Preservation of Confidentiality
Members and Candidates are obligated to preserve confidential information regarding current, former, and prospective clients unless: The information concerns illegal activities on the part of the client or prospective client, Disclosure is required by law, or The client or prospective…
Standard III(D) – Performance Presentation
Members and Candidates should make reasonable steps to ensure that information about investment performance is fair, accurate, and complete. Application 1: Performance Presentation and Former Employer Tina Jensen is a well-respected global macro fund manager. Icon Partners is impressed by Jensen’s…
Standard III(C) – Suitability
Members and Candidates are in charge of managing a portfolio according to a specified mandate, strategy, or style; they must only make investment recommendations or conduct investment actions that are compatible with the portfolio’s stated objectives and limits. They should…
Standard III(B) – Fair Dealing
Members and candidates must treat all clients fairly and objectively when offering investment research, making investment recommendations, taking investment action, or engaging in other professional activities. The Code and Standards permit CFA Institute members and candidates to provide more personalized,…
