Association of Certified International Investment Analysts
PRINCIPLES OF ETHICAL CONDUCT
Preamble
In an increasingly global investment environment, the Association of Certified International
Investment Analysts, ACIIA* was founded with the goal of establishing
a base of common standards of technical and ethical knowledge and practices and
of facilitating the exchange of information among investment analysts worldwide.
The philosophy behind the development of the CIIA* education program was that
investment analysts’ activities in various countries and regions are characterized
by differences in culture, practices and regulations which should be recognized and
respected by market participants. The CIIA program also seeks to promote the
implementation and enforcement of high technical and ethical standards, to ensure
the close relationship and mobility of investment analysts across the different
markets.
The ACIIA considers professional competence and ethics as the key pillars underlying
investment analysts’ activities worldwide. The association also places emphasis
on investment analysts’ independence from any external undue pressure which
could impair their objectivity.
The ACIIA’s recognition of the governing role of national/regional associations in
their own countries/regions – irrespective of their size or the development stage of
the local market – is a key factor which differentiates the association from any other
entity in global capital markets. The association’s policy to respect the cultural and
regulatory aspects of each country/region also helps investment analysts better
understand the local factors which could affect an investment decision and thus
limits the risk of such decisions being taken on the basis of wrong or incorrect views
or perceptions. The close relation that the ACIIA promotes among its members,
encourages not only the ongoing exchange of knowledge and experience between
markets of different sizes and stages of development, but also the assimilation of
the technical and ethical practices adopted in various countries/regions, thus
converging towards best practice. The global CIIA program is adopted and implemented
by each of the national/regional member associations of the ACIIA, in
compliance with the common principles laid down by the latter. The global CIIA
education program was developed, and is continuously reviewed, through the
democratic collaboration between national/regional ACIIA member associations,
which represent investment analysts around the world. The CIIA program combines
international common examinations comprising two levels (Foundation and Final)
administered by ACIIA, with a national specific examination, covering national
specific components, administered by each national/regional association.
In this context, the ACIIA has established Principles of Ethical Conduct, which incorporate
globally-accepted best practices. Each national/regional association is
encouraged to adopt the Principles and to use them as a model to develop or improve
their own ethical codes and standards as necessary.
For the purpose of these Principles, ‘Investment analysts’ are individuals who
evaluate or use financial, economic or statistical data as part of the professional
practice of financial analysis, investment management, portfolio management,
securities analysis, investment counselling, or other similar professions.
The ACIIA Principles consist of Fundamental Principles which lay down fundamental
ethical behaviour for investment analysts and Specific Key Principles, which
apply these Fundamental Principles to investment analysts’ activities. Lastly, Key
Recommendations have been defined as standards which each national/regional
association is recommended to adopt to give effect to each Specific Key Principle.
The ACIIA Principles seek to ensure the highest ethical conduct of investment
analysts. Primarily, these principles are directed at investment analysts which are
members of ACIIA associations, but they aim at setting standards for everyone of
the profession, thus contributing to the integrity of global capital markets as a
whole.