Organization Unveils 'Integrity List: 50 Ways to Restore Trust in the Investment Industry'
CHICAGO, May 7, 2012 /CNW/ - John D. Rogers, CFA, president and CEO of CFA Institute, issued a call to action to the global investment community today at the organization's 65th Annual Conference in Chicago, calling on the profession to take personal responsibility to restore investor trust and reconnect with the public interest. Rogers outlined three steps the profession must take to achieve this goal, including exercising a bolder voice for professional ethics; focusing on financial activities that enable economic and social progress; and engaging with a wider community to share, teach and engage.
Rogers unveiled the 'Integrity List: 50 Ways to Restore Trust in the Investment Industry', a collection of tangible steps that investment professionals can take to restore trust in the industry. The list was inspired by more than 1,500 real-world ideas from CFA Institute members around the world. Rogers also listed the organization's Asset Manager Code of Professional Conduct and its Research Foundation's recent guide to Trustee Responsibilities as examples of tools the profession can use to demonstrate integrity.
"The duty to lead the investment business out of this crisis falls first on us. It rests on the shoulders of those with the highest levels of expertise, professional and ethical standards," Rogers said in an address to CFA Institute membership at McCormick Place. "The time has come for every one of us to step up, and take personal responsibility for restoring trust. This starts in our places of work, and it extends from there out into the community."
The 'Integrity List' calls on investment professionals to take specific actions to restore public trust. The list is focused on practical steps to demonstrate ethical behavior, such as:
- Commit to a gold standard code of ethics and professional conduct such as the CFA Institute Code of Ethics.
- Require training on ethical decision-making for yourself and your firm.
- Place the client's interests before your own.
- Name and shame unethical behavior.
- Recommend products with transparent payoffs, costs, and risks.
- Help clients focus on risk as much as they do on performance.
- Disclose your educational achievements and how you improve professional competence.
- Strive for a conflict-free business model.
- Advocate for stronger regulations that protect investors.
- Act with integrity 24/7 - not just at the office.
Rogers encouraged investment professionals to share the list with colleagues and actively use it in professional practice. "Your business exists thanks to a social contract granted in exchange for an expectation of professional services. Our firms will thrive if we offer services that truly help clients. If our companies engage in money games and place owners' interests before clients, they will not fare well."
About CFA Institute
CFA Institute is the global association of investment professionals that sets the standard for professional excellence and credentials. The organization is a champion for ethical behavior in investment markets and a respected source of knowledge in the global financial community. The end goal: to create an environment where investors' interests come first, markets function at their best, and economies grow. CFA Institute has more than 110,000 members in 139 countries and territories, including 100,000 CFA charterholders. For more information, visit www.cfainstitute.org.
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