| Code of Ethics | Six principles adopted by CFA Institute requiring members to act with integrity, competence, diligence, and respect; to place client and profession interests first |
| Standards of Professional Conduct | Seven numbered standards (I–VII) providing specific, enforceable rules of conduct for CFA members and candidates |
| Standard I | Professionalism — covers knowledge of law, independence/objectivity, misrepresentation, misconduct, and competence |
| Standard II | Integrity of Capital Markets — covers material nonpublic information and market manipulation |
| Standard III | Duties to Clients — covers loyalty/prudence/care, fair dealing, suitability, performance presentation, and confidentiality |
| Standard IV | Duties to Employers — covers loyalty, additional compensation arrangements, and supervisor responsibilities |
| Standard V | Investment Analysis, Recommendations, and Actions — covers diligence/reasonable basis, communication, and record retention |
| Standard VI | Conflicts of Interest — covers disclosure of conflicts, priority of transactions, and referral fees |
| Standard VII | Responsibilities as a CFA Institute Member or CFA Candidate — covers conduct in CFA programs and proper reference to CFA |
| Professional Conduct Program (PCP) | CFA Institute’s enforcement mechanism that investigates potential violations of the Code and Standards |
| Disciplinary Review Committee (DRC) | The committee that reviews findings from PCP investigations and determines appropriate sanctions |
| Professional Conduct Statement | An annual self-disclosure form that CFA members and candidates must submit, reporting any potential violations or legal issues |
| Inquiry | The investigative stage of the PCP process where staff gathers evidence, interviews parties, and determines whether a violation occurred |
| Disciplinary sanction | A penalty imposed for violations, ranging from cautionary letter to revocation of the CFA charter |
| Cautionary letter | The mildest formal sanction; a warning letter issued for minor or first-time violations |
| Private censure | A formal reprimand for a violation that is NOT disclosed publicly |
| Public censure | A formal reprimand for a violation that IS disclosed publicly |
| Suspension | Temporary loss of CFA Institute membership and/or the right to use the CFA designation |
| Revocation | Permanent removal of the CFA charter and membership; the most severe sanction |
| Self-disclosure | The requirement that members report potential violations of law or the Code and Standards on their annual Professional Conduct Statement |