g. distinguish between ethical and legal standards
- Distinguish: To Point out differences between
- Distinguish among empirical, subjective, and a priori probabilities
Name two ways ethical and legal conduct do not coincide
1. Some legal behaviors are not considered ethical
2. Some ethical behaviors may not be legal in certain countries
Name ways that laws and regulations may not be the best way to reduce unethical behavior
1. Laws often lag behind current circumstances
2. Legal standards are often created to address past ethical failings but don't provide guidance for today's world
3. New laws may create opportunities for different but similarly problematic conduct
What should investment professionals do in the absence of clear laws or rules?
Even without clear laws or rules, investment professionals should act beyond legal standards, making good judgements and responsible decisions.