Increases investor confidence in global FM.
Instill public trust in markets.ensure a sense of trust and
integrity in the financial markets.
2 Market sustainability
In addition to committing to the
highest levels of ethical behavior, today’s investment professional, when
making decisions, should consider the long-term health of the market as a
In addition, corporate compensation strategies should not encourage otherwise ethically sound individuals to engage in unethical or questionable conduct for financial gain.
Eg : sub prime crisis and failures.
3 Ethics & regulation
Regulation alone will never fully anticipate and eliminate the causes of financial crises.
The Code and Standards, as well as other voluntary ethical standards of
the CFA Institute (e.g., the Global Investment Performance Standards, Soft
Dollar Standards, Trade Management Guidelines, Research Objectivity
Standards, and the Asset Manager Code of Professional Conduct), offer a foundation to adopt and build on in promoting an ethical corporate culture.