Question

What would your reaction be if your employer required you to sign a statement annually certifying that you have

complied with the company’s code of ethics?

Answer 1

A code of ethics and social responsibility can be enhanced with strategic planning. It helps to establish a business behavior that recognizes sincerity, candor, honesty and transparence to promote the organization’s credibility and influence.

1. It’s a central point of reference for all in the organization

2. It creates a culture of social responsibility for not just people in the organization, but for its stakeholders

3. It creates transparency with upper management

4. It creates independence and respect within the organization

5. It also take a fair and truthful look at the organization

As a holder of my series 7, 63 and 66 licenses, I am required to take a refresher test every three years to ensure that my knowledge of financial services is up to par. There is always a section in that refresher test that talks about ethics. This refresher test is administered by FINRA, the governing body over all individuals in the securities industry.

In addition to FINRA providing this refresher, my company annually asks us to agree to the code of ethics utilizing our annual compliance online course. It includes taking actual quizzes and I am required to pass with a certain percentage score, or I must retake it until I get that score. I’ve never really questioned my employer, but I accept it as a part of what I need to do in this industry.