Responsibilities as CFA member - VII(B) Reference to CFA Institute

LOS

a. demonstrate the application of the Code of Ethics and Standards of Professional Conduct to situations of issues involving issues of personal integrity

b. distinguish between conduct that conforms to the Code and Standards and conduct that violates the Code and Standards

c. recommend practices and procedures designed to prevent violations of the Code of Ethics and Standards of Professional Conduct

What is the primary directive of Standard VII(B) Reference to CFA Institute? When referring to CFA Institute, Members and Candidates must not misrepresent or exaggerate the meaning or implications of membership in CFA Institute, holding the CFA designation, or candidacy in the CFA Program.

What four requirements must be met to be able to use the CFA or Chartered Financial Analyst designation? 1. Pass all three levels of the CFA program. 2. Receive the charters. 3. Make an ongoing commitment to abide by the requirements of CFA Institute’s Professional Conduct Program (including filing an annual professional conduct statement). 4. Due-paying (every year) and good standing.

If you are enrolled in the CFA program but have not yet received a charter, can you say you are participating in the program? CFA candidates may reference their participation in the CFA Program, but the reference must clearly state that an individual is a CFA candidate and cannot imply that the candidate has achieved any type of partial designation.

What are the requirements to be considered a “candidate”? To be a candidate, a person’s application should have been accepted, and he or she should be enrolled to sit for a specified exam (for which he or she has not received exam results or failed to sit).

Do you have a designation if you’ve passed Levels I, II, or III? No. Candidates may indicate that they have completed Level I, II or III of the CFA program. However, candidates cannot imply that they have achieved partial designation even if they have passed all three levels of the exam.

Can “CFA” serve as a noun or acronym? “CFA” does not serve as an acronym, cannot be used as a noun, and should never be used in the plural or the possessive. WRONG!: Richard is a CFA (or Chartered Financial Analyst) CORRECT: Richard is a CFA charterholder. He earned the right to use the Chartered Financial Analyst designation.

How can a CFA charter holder display the CFA mark next to their name? Only CFA or Chartered Financial Analyst should appear after the charterholder’s name. “John Smith, CFA,” or “John Smith, Chartered Financial Analyst,” is correct.

If you haven’t received a CFA charter, can you use the CFA mark alongside your name, like “John Smith, CFA Level II candidate”? No. Placing “CFA Level II Candidate” after a candidate’s name implies that this a partial designation, which is a violation.

Are you given the CFA designation after you meet all the CFA Institute’s requirements? No. You’re only awarded the right to use the CFA designation. An important distinction.

Once you pass the Level III CFA test, can you immediately put “CFA” after your name? No, you must gain approval from the CFA Institute board and receive notice that you’ve earned the CFA charter.