🎓CFA Final Prep All Topics

Ethics Application / multi-standard case

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Question

In an ethics vignette, why is personal advantage usually the weakest justification for an action?

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Answer

Personal interests rank lowest in the duty hierarchy.

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Question

If your employer wants conduct that conflicts with the most strict applicable law, which duty controls?

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Answer

Comply with laws and regulations.

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Question

Why do client interests outrank employer interests in CFA ethics reasoning?

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Answer

Because the hierarchy places duties to clients above duties to employers.

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Question

If an ethics vignette leaves duties in tension, what priority rule should you apply first?

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Answer

Law first, then clients, then employer, then self.

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