What to know
Identify the rule, formula, or decision criterion before reading the answer choices. CFA Level I distractors often use the right vocabulary with the wrong condition.
Ethical and Professional Standards
Ethics and Trust practice questions
Ethics and Trust is part of CFA Level I Ethical and Professional Standards. Ethics questions test judgment under the Code and Standards, especially duties to clients, employers, markets, and the CFA Program. Use this page to review the controlling ideas, then work through 7 questions with answer explanations and common traps.
Review the worked explanations before moving into adaptive practice. The app version can mix this topic with due reviews and weak related concepts.
Practice this topicHow to practice
Work each item under time pressure, then compare your reasoning with the step-by-step explanation and key takeaway.
Review signal
Missed questions should become scheduled reviews when the error comes from a concept gap, formula setup, or answer-choice trap.
Ethical and Professional Standards
Ethics and Trust
A portfolio manager operates in a market where local law permits employee participation in oversubscribed IPOs after explicit client orders are filled. Before checking discretionary accounts for suitability, she allocates shares to her own account. Her conduct is most accurately described as:
View sampleEthical and Professional Standards
Ethics and Trust
Which statement best describes ethics in the investment profession?
View sampleEthical and Professional Standards
Ethics and Trust
When local law is less strict than the CFA Institute Standards, a CFA candidate most appropriately should follow:
View sampleEthical and Professional Standards
Ethics and Trust
The role of a professional code of ethics is best described as:
View sampleEthical and Professional Standards
Ethics and Trust
A profession most likely establishes public trust by:
View sampleEthical and Professional Standards
Ethics and Trust
A common challenge to ethical behavior is best described as:
View sampleEthical and Professional Standards
Ethics and Trust
A trader says, "The rule is legal, so our duty is complete." Which response is most accurate?
View sample