a. describe the structure of the CFA Institute Professional Conduct Program and the process for the enforcement of the Code and Standards

Command word

• Describe: To portray in words “Describe the various forms of event risk”

Flash cards

What is the basic structure for enforcing the Code of Ethics and Standards of Professional Conduct? Rules of Procedure

What does the acronym DRC stand for? Disciplinary Review Committee

Who enforces the Code of Ethics and Standards of Professional Conduct? The Disciplinary Review Committee (DRC)

What are the four individual components of a DRC investigation? 1. Grounds for discipline are received 2. Investigation by a Designated Officer (DO) 3. Hearing at which any disciplinary sanctions are discussed 4. Findings and Appeal (optional)

What are grounds for discipline by the DRC? Any act which violates the Code and Standards

If an investigation is launched by the DRC, what are the possible outcomes of the investigation by the Designated Officer (DO)? The officer may 1. conclude the inquiry with no disciplinary sanction 2. issue a cautionary letter 3. continue proceedings to discipline the member or candidate

If an investigation by the DRC’s Designated Officer (DO) determines that a violation occured and disciplinary action is recommended, what are the member or candidates options? - The member may accept the recommended sanction - The member may proceed to a hearing panel

What are the types of possible sanctions the DRC may recommend? 1. Suspension or revocation of membership 2. Private/public censure 3. Private reprimand