CLARITAS™ INVESTMENT
CERTIFICATE
ASEC PARTNERS MEETING
OCTOBER 19, 2012
Michael G. McMillan, Ph.D., CPA, CFA
Director, Ethics and Professional Standards
Twitter: @M_G_McMillan
http://blogs.cfainstitute.org/investor/author/michaelmcmillan/
ABOUT US
CFA Institute is a global community of more than
100,000 investment professionals working to build
an investment industry where investors’ interests
come first, financial markets function at their best,
and economies grow.
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MISSION STATEMENT:
To lead the investment profession globally by
promoting the highest standards of ethics,
education, and professional excellence for the
ultimate benefit of society.
Ethical Decision Making
OUR FIVE ORGANIZATIONAL PILLARS
Ethical
Champion
• Championing ethical behavior in investment
markets.
Global
Community
• Creating a strong community of investment
professionals.
Industry
Knowledge
• Being a respected source of knowledge in
investment markets.
Professional
Excellence
• Raising standards of professional excellence
in the industry.
The Greater
Good
• Building an investment industry that serves
the interests of investors and society.
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REBUILDING TRUST IN THE INDUSTRY
The Integrity List
• A collection of 50 tangible steps that investment professionals can take to
restore trust in the industry
• Inspired by “real-world” ideas from CFA charterholders and members.
Some examples include:
1. Commit to a gold standard code of ethics & professional conduct.
2. Require training on ethical decision-making for yourself and your firm.
3. Place the client’s interests before your own.
4. Name and shame unethical behavior.
5. Recommend products with transparent payoffs, costs, and risks.
A complete list is available online at www.cfa.is/50WaysRestoreTrust
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THOUGHT LEADER IN THE FINANCE AND
INVESTMENT INDUSTRY
A commitment to professional ethics is the core of what we do.
• Set and maintain code, global
standards, and best practice guidelines;
• Collaborate with global professional
organizations and financial industry
leaders;
• Contribute analysis and comment on
issues related to ethics, professional
standards integrity of capital markets,
and financial reporting policy;
• And conduct ethics training for
corporations to train their staff.
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CLARITAS™ INVESTMENT
CERTIFICATE
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MEETING AN INDUSTRY NEED
Crisis of trust:
• Industry in reputational crisis and need to restore public confidence
Lack of knowledge: Inconsistent levels of knowledge and acumen across
corporate functions that result in poor communication and lack of understanding
of importance of each role
• Lack of accessible industry wide programs for those who work along side of
investment professionals
• Developing markets eager to design entry-level licensing exams and
qualifications
Need for universal and accessible global standard of education across the
investment industry for non-investment professionals
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WHY CLARITAS?
Bringing Clarity
Claritas is a global and comprehensive program
that gives a clear understanding of the investment
industry and the professional responsibilities for
everyone working with investment decision
makers.
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WHY CLARITAS?
Shared understanding
Raises workforce competence by helping
employees understand industry functions,
relationships and their role and professional
responsibilities within it, helping them see where
they fit in the big picture and ethical and
professional standards
Improving performance
A common global standard across all functions that
will help your employees, your company, and
ultimately the industry, perform better together
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WHY CLARITAS?
Standing out
Helps your organisation stand out from the crowd by
signalling an institutional commitment to ethics and
helps your employees gain knowledge over and
above their peers
Building confidence
Gives your organisation and the general public
greater confidence and trust in the decisions your
people make on behalf of the business, contributing
to stronger morale, motivation and loyalty
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WHO IS IT FOR?
The Claritas Investment Certificate is designed for those professionals who are
not directly involved in analyzing or making investment decisions including, but
not limited to, the following:
• Administration and Operations
• Client Services
• Compliance and Legal
• Human Resources
• Information Technology
• Marketing and Sales
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WHAT DOES IT INVOLVE?
The Claritas Investment Certificate is an easy-to-use, online, self-study program
including reading materials and the exam.
It will involve:
• Up to 100 hours of self-study from an interactive e-book (print-on-demand also
available, for an additional charge)
• Access to supplemental study tools including end-of-chapter questions, an
online mock exam, and additional practice assessments
• Two-hour, multiple-choice examination under high-stakes test conditions
• Computer-based testing within global network of centers managed by
Pearson VUE
• Award of a certificate of knowledge for those who pass the exam
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WHAT DOES THE CURRICULUM COVER?
Module 1: Overview
Chpt. 1. The Investment Industry: A Top-Down View
Module 5: Industry Structure
Chpt. 13. Structure of the Investment Industry
Chpt. 14. Investment Vehicles and Structures
Chpt. 15. Investment Market Characteristics
Module 2: Ethics and Regulation
Chpt. 2. Ethics and Investment Professionalism
Chpt. 3. Regulation and Supervision
Module 6: Industry Controls
Chpt. 16. Investment Industry Documentation
Chpt. 17. Risk Management
Chpt. 18. Performance Evaluation
Module 3: Tools and Inputs
Chpt. 4. Financial Statements
Chpt. 5. Statistical and Quantitative Concepts
Chpt. 6. Microeconomics
Chpt. 7. Macroeconomics
Chpt. 8. International trade and Foreign Exchange
Module 7: Serving Clients Needs
Chpt. 19. Investor Needs and Investment Policy
Chpt. 20. Asset Allocation
Chpt. 21. Active and Passive Investment Management
Module 4: Investment Instruments
Chpt. 9. Equities Securities
Chpt. 10. Debt Securities
Chpt. 11. Derivatives
Chpt. 12. Alternate Investments
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WHY IS THIS BETTER THAN OTHER OPTIONS?
• Designed as corporate solution for firm-wide adoption
• Global standard of measurement
• Grounded in the heritage of CFA Institute: promoting and
leading in ethical standards and professional practice
• Engaging and accessible curriculum that offers a definitive
guide to the industry
• On demand testing with instant results
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THANK YOU!
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