- Code of Ethics and Conduct -

Guiding Ethical Principles

The objective of this code of ethics and conduct is to expressly state the guidelines, and rules and regulation to be adhered to by members of the SDIA. This code includes ethical rules and principles aimed at addressing particular issues in the industry. The code is open to literal, rigid and broad interpretation.

One basic aim of the Securities and Derivatives industry is to benefit society by lawful securities trading. However, this is impeded by certain factors that affected society as well as the economy.

The code’s goal is to uphold and advance the behavioural ethics in the Securities and Derivatives industry and in the behaviour of their employees. The code is also applicable to all core members of SDIA. The code of ethics and conduct is executed by the SDIA, and further advanced by consulting with major stakeholders of the association. These activities are, in turn, reported and scrutinised from time to time.

In the event of a breach, authorised persons will thoroughly address such matters through the SDIA Complaints and Discipline System. This is a process put together to make it easy to be accountable. A breach of the code entails not adhering to professional behaviour rules and regulations as expressed in the code.

The term, ‘unsatisfactory professional conduct’ entails an SDIA staff’s behaviour during the performance of his duty. And it includes gross negligence, tax evasion and other offences, dishonesty etc. The term ‘professional misconduct’ involves any behaviour that falls short of the generally accepted standards of hard work and ability within the SDIA profession.

Rules and Regulations

The relevant rules and regulations are as follows:

Compliance with the Law

The utmost duty of SDIA members is to obey the law and adhere to the SDIA code. They must also comply with all community laws, bye-laws, rules and regulations and also all regulations governing the profession.

The Interest of the Public and Integrity

All SDIA members must take caution and act in the interest of their clients, their association, and the public’s members. They must always discharge their duties with care and be transparent in all their dealings, to avoid any incident that might cause a bad reputation to the association and the profession.

Duty to Self

All members must adhere to the professional standards irrespective of anyone. Members must ensure to not act controversially in the course of his duty to clients or employees, as these all attract grievous consequences.

Fair Trading

SDIA members must comply with market rules while trading. They must ensure that they trade fairly without engaging in illegal dealings such as insider trading, accounting fraud, investment fraud, unauthorised decision-making etc.

Incentives

SDIA members are not at liberty to give or receive incentives as an inducement to do business. However, others may gift them from time to time if it is highly unlikely not to interfere with the business’ normal course. Members must also let their employers know about these gifts and incentives.