GIGAMIND
Reading 1 - Ethics and Trust in the Investment Profession
LOS
a. explain ethics
115.010.10.10 Reading 1 - Ethics and Trust - LOS a. explain ethics
b. describe the role of a code of ethics in describing a profession
115.010.10.20 Reading 1 - Ethics and Trust - LOS b. the role of a code of ethics
c. describe professions and how they establish trust
115.010.10.30 Reading 1 - Ethics and Trust - LOS c. professions establishing trust
d. describe the need for high ethical standards in investment management
115.010.10.40 Reading 1 - Ethics and Trust - LOS d. the need for ethical standards
e. explain professionalism in investment management
115.010.10.50 Reading 1 - Ethics and Trust - LOS e. professionalism in investment
f. identify challenges to ethical behavior
115.010.10.60 Reading 1 - Ethics and Trust - LOS f. challenges to ethical behavior
g. distinguish between ethical and legal standards
115.010.10.70 Reading 1 - Ethics and Trust - LOS g. ethical and legal standards
h. describe a framework for ethical decision making
115.010.10.80 Reading 1 - Ethics and Trust - LOS h. framework for ethical decisions
Practice test results
I read this Reading in 2 days. Now taking the practice quiz at the end of the Reading and recording my actual score here.
SCORE = 10/12 (83.3%)
Q A 1/0
1 A 0 I chose CoE, correct answer was Standards of Conduct
2 B 1
3 A 1
4 B 1
5 B 1
6 C 1
7 B 1
8 C 1
9 C 1
10 B 1
11 A 0
12 C 1
Wrong answers and their correct answers:
Q1: Benchmarks for minimally acceptable behaviors of community members are:
a. code of ethics
b. laws and regulations
[c]. standards of conduct.
I chose (a), but that is not correct. The Code of Ethics serve as a general guide for how community members should act. It is the Standards of Conduct that serve as benchmarks.
Q12: To maintain trust, the investment management profession must be interdependent with:
a. regulators
b. employers
[c]. investment firms
I chose (a), which is incorrect. Employers and regulators have their own standards and practices which may differ from regulations and standards set by professional bodies.
Source:
- CFA