Ethical And Professional Standards - Ethical And Professional Standards Section 1

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21. According to the CFA Institute Code of Ethics, which of the following statements is correct? Members and Candidates must:

  • Option : C
  • Explanation : A is incorrect because the Code of Ethics talks about integrity, competence, diligence, and respect. B is incorrect because members and candidates must not only practice themselves but also encourage others to practice in a professional and ethical manner that will reflect credit on themselves and the profession.
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22. According to the CFA Institute Code of Ethics, which of the following statements is least likely correct? Members and Candidates must:

  • Option : B
  • Explanation : The Code of Ethics does not talk about creating a competitive environment. The focus is on maintaining and improving the professional competency of self and others in the profession.
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23. Which of the following is not a Standard of Professional Conduct?

  • Option : A
  • Explanation : It is the Integrity of Capital Markets, not the Efficiency of Capital Markets
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24. Which one of the following is a Standard of Professional Conduct?

  • Option : C
  • Explanation : B is incorrect because it is Investment Analysis, Recommendations, and Actions. A is incorrect because it is Duties to Clients and Duties to Employers.
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25. Which one among the following is not a Standard of Professional Conduct?

  • Option : C
  • Explanation : Communication with clients and prospective clients is a substandard under Investment Analysis, Recommendations, and Actions.
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