Ethics Seminar

"The first decade of the 21st century has experienced many crises for the investment industry. This period has encompassed many instances of unethical behavior by business executives and investment professionals, through Ponzi schemes, insider trading, weak governance, insufficient due diligence, misrepresentation, manipulation and fraud. Unethical behavior has been highlighted in fields such as investment ratings, financial product packaging and distribution, investment management firms and capital markets. As markets function to an important extent on trust, each case has resulted in heavy financial losses and stained reputations and lost investors trust" (Excerpt from the Standard of Practice Handbook , CFA Institute, 10th edition)

Course Objectives

This seminar is an introduction to a 10-hour technical seminar in ethics taking place at the beginning of 2014: "Ethics: financial analysts and portfolio managers".

This course objective is to increase the students’ awareness of the importance of ethics. Students will learn, from the recent scandals and their short and long term impacts:

  • Why it matters to act ethically
  • How and why both the very nature of finance added to common irrational human biases may impair one’s capacity to act ethically.
  • The major rules and laws that have been enacted to protect consumers and shareholders
  • How to increase the odds for sound ethical decision making.

Course Content

  1. Application and violation of laws and standards of practice, Professionalism and fiduciary duties
  2. Communication, fair representation and Conflicts of interest
  3. Reference frame and scope: Financial departments of Corporate firms, Capital Markets, Financial analysis Departments, Financial advisors and Asset Management firms.