The Actuaries’ Code: Six Key Ethical Principles for IFoA Members

The Actuaries’ Code is the ethical Code of Conduct that all members of the Institute and Faculty of Actuaries (IFoA) must follow. It sets out the professional standards expected from actuaries and applies to their conduct in relation to actuarial work.

The Code is based on six key principles:

1. Integrity

Members are expected to:

• Act honestly and with integrity.
• Treat everyone with respect.
• Avoid bullying, victimisation and harassment.
• Respect confidentiality.

2. Competence and Care

Members should ensure that they:

• Have the appropriate knowledge and skills for their work.
• Carry out their work competently and carefully.
• Continue to develop their knowledge and skills.
• Meet the IFoA’s Continuing Professional Development (CPD) requirements.
• Seek specialist input where necessary to maintain the quality of their work.

3. Impartiality

Members must maintain objective professional judgement by:

• Avoiding bias and undue influence.
• Identifying potential conflicts of interest.
• Taking reasonable steps to manage relevant interests.
• Not acting where there is an unreconciled conflict of interest.

4. Compliance

Members must:

• Follow relevant legal, regulatory and professional requirements.
• Take reasonable steps to ensure they can comply with these requirements.
• Disclose certain relevant regulatory, court or criminal matters to the IFoA as required by the Code.

5. Speaking Up

Members should speak up when they believe that:

• A course of action is unethical or unlawful.
• Relevant legal, regulatory or professional requirements are not being followed.
• Someone is being treated unfairly or unreasonably excluded.

Members must also report matters that may constitute misconduct or a material breach of relevant requirements, where required by the Code.

6. Communication

Members must communicate:

• Clearly and in a timely manner.
• In a way that considers the needs of the users.
• Accurately and without being misleading.
• With an appropriate level of information.

If a member becomes aware that their advice or information has been materially misunderstood or misinterpreted, they should draw this to the user's attention.

Why Is the Actuaries’ Code Important?

The actuarial profession depends on trust, professional judgement and ethical conduct. The Actuaries’ Code helps members maintain these standards while carrying out their professional responsibilities.

For aspiring actuaries, understanding these principles is important alongside developing strong mathematical, statistical, financial and analytical skills.

The Six Principles at a Glance

1. Integrity – Be honest, respectful and trustworthy.
2. Competence and Care – Maintain skills and perform work carefully.
3. Impartiality – Keep professional judgement objective.
4. Compliance – Follow legal, regulatory and professional requirements.
5. Speaking Up – Raise concerns about unethical or inappropriate conduct.
6. Communication – Communicate clearly, accurately and responsibly.

Note: This article provides a simplified educational overview. Members and students should refer to the official IFoA Actuaries’ Code for the complete and current requirements.