Page 43 - FINAL CFA II SLIDES JUNE 2019 DAY 1

MODULE 2.10: STANDARD VII READINGS 1 AND 2: CFA INSTITUTE CODE OF ETHICS AND STANDARDS OF
PROFESSIONAL CONDUCT GUIDANCE FOR STANDARDS I–VII
VII Responsibilities as a CFA Institute Member or CFA Candidate
VII(A) Conduct as Participants in CFA Institute Programs.

The Standard applies to conduct such as:
1) Cheating on the CFA exam or any exam administered by CFA Institute (e.g., CIPM);
2) Revealing anything about either broad or specific topics tested, content of exam questions, or formulas required or not required on the exam;
3) Not following rules and policies of any CFA Institute program;
4) Giving confidential information on the CFA program to candidates or the public;
5) Improperly using the designation to further personal and professional goals;
6) Misrepresenting information on the Professional Conduct Statement (PCS) or the CFA Institute Professional Development Program;
7) Members and candidates are not precluded from expressing their opinions regarding the exam program or CFA Institute but must not reveal
confidential information about the CFA program.

Candidates who violate any of the CFA exam policies (calculator, personal belongings, Candidate Pledge) have violated Standard VII(A).
1
Members who volunteer in the CFA program may not solicit or reveal information about questions considered for or included on a CFA exam,
about the grading process, or about scoring of questions.

Application of Standard VII(A) Conduct as Participants in CFA Institute Programs

Vignette 1:

Jose Ramirez is an investment-relations consultant for several small companies that are seeking greater exposure to investors. He is also the program
chair for the CFA Institute society in the city where he works. To the exclusion of other companies, Ramirez only schedules companies that are his clients
to make presentations to the society.

Analysis:
• Ramirez, by using his volunteer position at CFA Institute to benefit himself and his clients, compromises the reputation and integrity of CFA
Institute and, thus, violates Standard VII(A).

Review examples 2-7