Glossary: Ethics Application

TermDefinition
Ethics applicationThe process of applying the Code of Ethics and Standards of Professional Conduct to real-world scenarios and case studies on the CFA exam
Case study approachA method of testing ethics knowledge by presenting a realistic professional scenario and asking candidates to identify violations and appropriate actions
Scenario analysisEvaluating a described situation to determine which Standards apply, whether violations occurred, and what corrective action is required
Standard identificationThe skill of reading a scenario and correctly identifying which specific Standard(s) of Professional Conduct are relevant or have been violated
Guidance applicationUsing the official CFA Institute guidance, recommended procedures, and examples to determine appropriate professional behavior in specific situations