CAIA Association Announces Plans to Develop Modernized Core Ethics Principles For Both Its Members and Its Curriculum

Comment period is now open for key stakeholders to share their thoughts on the eight core principles identified as forming the foundation for strong fiduciary practices

AMHERST, Mass.–(BUSINESS WIRE)–The Chartered Alternative Investment Analyst (CAIA) Association, the global professional body for the alternative investment industry, is today opening a comment period for a new set of ethical principles which marks a milestone for the Association. Recognizing the ongoing transformation within the investment industry, the CAIA Association identified the necessity for a set of ethics principles specifically crafted to address the growth and evolution of alternative investments. These principles aim to reaffirm the CAIA Association’s distinct position as a leader in the industry.


Once finalized, these principles will be adopted by the global CAIA Membership as part of their professional commitment in 2025 and will serve as the ethics component of the CAIA Charter Program curriculum beginning with the 2026 exams.

To develop these new core ethical tenets, CAIA has been collaborating with a globally representative workgroup of CAIA Members and has partnered with the Thinking Ahead Institute, a global thought leadership organization comprised of asset owners, managers and those focused on influencing the investment profession for the good of savers worldwide.

“As we’ve echoed repeatedly in recent years, the investment industry has been evolving at a breakneck pace when it comes to alternative strategies and product proliferation, greater access to alternative investment solutions for new cohorts of investors, and innovative capital allocation techniques that mark a new era. As a result of today’s increasingly complex capital markets system, practitioners are obligated to continuously redefine best practices on behalf of clients.” said William J. Kelly, CAIA, CEO of the CAIA Association. “We believe CAIA, in partnership with its Members, has a unique opportunity to take a leadership role in developing a modernized and relevant ethical foundation for the industry.”

From today through May 31,2024, CAIA Members and Candidates, along with all investment professionals will be able to share their comments and feedback on an initial slate of eight core ethical principles designed to guide the alternative investment industry into the next stage of its evolution, including:

Embracing ethical and professional behavior.

Aligning with the client as both peer and partner.

Putting the client first.

Emphasizing transparency to ensure high standards of conduct are maintained.

Establishing high standards of practice, rooted in evidence-based rigorous thinking.

Prioritizing professionalism, particularly in the quality of research and due diligence performed.

Committing to continuous learning.

Fostering collaboration both within an organization and across the profession, creating a stronger community designed to best serve the end investor.

“These eight principles, taken as a whole, codify and standardize the approaches all practitioners should undertake to bring a true fiduciary mindset to their significant responsibilities,” added Steven Novakovic, CAIA, CFA, Managing Director of CAIA Curriculum. “While the new framework is intentionally principles based, our aim is to provide nuance and guidance to a discussion that has all too often been left open to interpretation.”

“The opening of this comment period marks the continuation of an essential conversation that we’ve been facilitating with asset managers and investors of all sizes, strategies and geographies,” added Mr. Kelly. “We look forward to discussing and debating each of these principles and to unveiling them in their final form in the near future. As we forge ahead with this paradigm shift, we gratefully acknowledge the contributions of CFA Institute in influencing CAIA’s two-decade ethical journey and shaping the larger profession’s commitment to ethical practices.”

For more information and to comment, please visit: https://caia.org/content/ethics-principles

About CAIA Association

The CAIA Association, a global professional body, pioneers a new era in investment management. At the forefront of the shifting of alternative investment asset classes from ‘alternative’ to mainstream, CAIA embraces diverse expertise and interdisciplinary knowledge essential for responsible capital allocation and client stewardship. A Member-driven organization representing professionals in more than 100 countries, the organization seeks to prepare investors for a dynamic future, disrupting traditions, creating opportunities, and fostering long-term sustainability. To learn more about the CAIA Association and how to become part of a professional network that is shaping the future of investing, please visit https://caia.org/.

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Chris Sullivan
Craft & Capital

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