Ethics and Professional Standards Quiz

Which of the following statements is most accurate? Ethics can be described as:

• a commitment to upholding the law.

• an individual’s personal opinion about right and wrong.

• a set of moral principles that provide guidance for our behavior.

The Standards are most likely designed to foster and reinforce a culture of:

• service to the firm.

• regulatory compliance.

• responsibility and professionalism.

Which of the following statements best completes the following sentence? Professionals use their specialized knowledge and skills:

• in service to others.

• to advance their career.

• for the exclusive benefit of their employers.

Regarding ethical standards in the investment industry, which of the following is most accurate? CFA Institute:

• requires charterholders to engage in their professional communities.

• aims to build market integrity by calling for regulations that align the interests of firms and clients.

• promotes the highest standards of ethics, education, and professional excellence for the ultimate benefit of shareholders.

Which of the following will most likely determine whether an individual will behave unethically?

• The person‘s character

• The person’s internal traits and intrinsic motivation

• External factors, such as environmental or cultural elements

Which of the following statements is most accurate?

• All legal behavior is ethical behavior.

• Some ethical behavior may be illegal.

• Legal standards represent the highest standard.

An ethical decision-making framework will most likely:

• include a pre-determined, uniform sequence.

• focus exclusively on confirmable facts and relationships.

• help avoid a decision that has unanticipated ethical consequences

Which of the following statements best describes an aspect of the Professional Conduct Program process?

• Inquiries are not initiated in response to information provided by the media.

• Investigations result in Disciplinary Review Committee panels for each case.

• Investigations may include requesting a written explanation from the member or candidate.