Guidance for Standard III: Duties to Clients

Free CFA Level I lesson in Ethical and Professional Standards. 19 min read, ~2,798 words.

Standard III has five sub-standards: III(A) Loyalty/Prudence/Care, III(B) Fair Dealing, III(C) Suitability, III(D) Performance Presentation, III(E) Preservation of Confidentiality. Client interests come before employer and personal interests; advisory duty creates fiduciary-like obligations. For pensions and pooled vehicles, the duty under III(A) runs to beneficiaries and fund shareholders, not sponsors or...

What this lesson covers

• Content
• Example 1
• Example 2
• Common Mistakes
• Check Your Understanding
• Exam Shortcuts

Learning objectives

• standard III duties to clients

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