Ethics module added to CPH course

(September 8, 2004) With investor confidence still fragile and the financial services industry facing numerous scandals, the Canadian Securities Institute is adding a business ethics module to one of its most popular courses.

Starting this week, a mandatory ethics component will become a part of the CSI’s Conduct and Practices Handbook course. The IDA requires registered representatives to complete both the Canadian Securities Course and the Conduct and Practices Handbook.

“People don’t trust business anymore. Companies are under a microscope and rightly so,” says CSI president Roberta Wilton. “The people entering the financial services world are well-trained in the core competencies, but it’s been assumed that when ethical questions arrive, people will instinctively know the right thing to do. And that’s just not always the case. Employees need to know the right questions and processes in order to make the right choices.”

The decision to increase the focus on ethics in the CPH course resulted from talks between the CSI and the IDA over the last couple of years.

“The new module is an important step towards ensuring that those entrusted with peoples’ finances are thoroughly trained in asking the right questions when faced with moral dilemmas,” says IDA vice-president Larry Boyce. “The rules of conduct have not changed but their application is continually in flux. It’s not enough to know the rules, because sometimes the situation is not black or white. It’s the grey situations that this training is meant to address.”

The ethical module component will account for one-third of the total grade awarded to CPH students. “This will help students understand how their own values influence their future financial decisions and enable them to provide sound financial advice,” the CSI says.

Filed by Doug Watt, Advisor.ca, doug.watt@advisor.rogers.com