Unit 1: Introduction to Ethics Flashcards
Welcome to the Introduction to Ethics unit. In this unit we will look at how ethics form the foundation of a successful and sustainable financial services industry, how we can define ethics, and the impact of unethical conduct on the banking and finance sector.
What is ethics, fundamentally ?
The study of how we all answer the question “What should I do?” in order to live the type of lives that we think we should live.
Where do we derive the word “ethics” from?
The Greek words “ethikos” and “ethos” which are associated with the idea of a persons character and custom.
What is ethics in terms of a field of study?
A branch of philosophical study that, in a practical sense for practitioners, seeks
to understand how people make decisions about what to do.
It has been called the study of moral philosophy.
More precisely, it’s about
decisions when the stakes are high, and something important is at risk or could be realised.
What is ethics based on?
Your values - the beliefs that motivate you to live your life in a particular way.
Can morals be defined separately from ethics?
Yes, but for all practical purposes most of us use these terms interchangeably.
What are two questions ethics looks at?
- What should I do?
- How should I live?
When was the Royal Commission active?
2017-2019
How many submissions did the Royal Commission review?
More than 10,000
Who led the Royal Commission?
Commissioner Kenneth Hayne
What were the 6 principles of the Royal Commission to inform the conduct of the financial services industry?
- Obey the law.
- Do not mislead or deceive.
- Act fairly.
- Provide services that are fit for purpose.
- Deliver services with reasonable care and skill.
- When acting for another, act in the best interests of that other.
What was a dominant theme in Commissioner Hayne’s final report?
The time had come to eliminate the law’s own exceptions to principles espoused by the Royal Commission - a series of grandfathered provisions to the law. These exceptions to the law have provided the means to justify not adhering to the underlying principles
What does this mean: Often My Aunt Purchases Canned Beans
O = OBEY the law
M = Do not MISLEAD or deceive
A = ACT fairly
P = Provided services that are fit for PURPOSE
C = Deliver services with reasonable CARE and skill
B = When acting for another, act in the BEST interest of that other
