Which CFA Institute Standard addresses loyalty when departing from an employer?

• A. Standard IV(A) - Duties to Employers (Loyalty).
• B. Standard III(A) - Priority of Transactions.
• C. Standard VI(B) - Referral Fees.
• D. Standard II(D) - Performance Reporting.

Answer: (A)

Loyalty to an employer is addressed under the duties that CFA members owe to their employers. This standard covers protecting the employer’s interests when you move on, including not misusing confidential information, not misappropriating client relationships or proprietary materials, and handling transitions responsibly. That focus on loyalty and safeguarding the employer’s interests is why this standard is the correct one for loyalty when departing from an employer.

The other standards address different topics. Priority of Transactions deals with putting clients’ interests before personal gain in trades, not post-employment loyalty. Referral Fees cover compensation for referrals, and Performance Reporting relates to how investment results are presented to clients. None of these specifically govern loyalty or the conduct around leaving a firm.