AFM231 Chapter Notes - Chapter 22: Fiduciary, Market Failure, Professional Liability Insurance
13 Sep 2015
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Professional: someone engaged in an occupation, usually governed by a professional body, requiring the exercise of specialized knowledge, education, and skill. Those in-house are employees and governed by basic principles of employment law. Legal and ethical obligations of employed professionals vary based on what they"re hired to do. They still hold fiduciary duty trust, confidence, and reliance on professionals" skill, knowledge, and advice. Managers rely on the independence and ethical training they bring to the task. Professionals are bound by the rules of professional conduct and code of ethics of professional bodies. They owe ethical obligations and also additional obligations from governing bodies. Whether they want in-house or contract externally, need to think of . Responsibilities of professionals to clients and others who rely on their work. Like other service providers, they have duties in tort mostly negligence. Must perform services in accordance with standards of reasonably competent member of that profession.
