The Money Market Association of the Philippines (MART) has compiled this set of guidelines for the “Code of Ethics Governing Financial Market Activities in the Philippines” to provide a reference for banks, brokerage firms and other financial institutions in setting high ethical standards and professional excellence for market practitioners. This is anchored on the belief that high ethical standards are critical in maintaining the public’s trust in the fairness of financial markets, and allowing markets to function efficiently.
The Code was designed to be generally principles-based which can be applied as a minimum standard in trading across financial product markets. It is aimed to guide members in decision-making when faced with ethical situations; and determining the nature of their responsibilities to one another, to clients and the market.
The Code of Ethics of the following associations were used to sieve the common thread of trading and selling principles: ACI Philippines, Bankers Association of the Philippines (BAP), Investment House Association of the Phils (IHAP) and MART. We also used as a reference the CFA Institute (Chartered Financial Analysts) Code of Ethics and Standards of Professional Conduct. The Appendices provide copies of the abovementioned codes used as a reference.
It is to be made clear, however, that the Code does not include trading conventions, and hence would not supercede the Trading Conventions of the different associations pertinent to their specific product markets.
It is important then that all market practitioners observe the guiding principles embodied in this Code to continue to promote greater professionalism in our treasury markets.
NOTE:
For the purpose of the Code, the term “financial institutions” is used to represent banks, quasi-banks, thrift banks, investment houses, and brokerage firms which are members of the abovementioned associations. The term “members” is used to represent employees of the financial institutions engaged in the following banking activities, namely, money market, foreign exchange, fixed-income securities, derivatives and underwriting.
Leave A Comment