code of ethics investment & finance definition

A set of standards for professional behavior. Since the 2002 Sarbanes-Oxley legislation, a publicly held company is required to create its own code of ethics to deter wrongdoing and to promote ethical behavior. A code of ethics also should outline potential conflicts of interest for company employees and board of directors. A code of ethics also would call for the company to disclose potential conflicts of interest or waivers from the code of ethics.