Which principle is focused on maintaining market conduct?

The principle focused on maintaining market conduct is market conduct itself. This principle is vital as it pertains to the ethical behavior and professional standards that firms and individuals are expected to uphold in the financial markets. It emphasizes the importance of fairness, transparency, and accountability in all dealings, ensuring that financial markets operate effectively and efficiently.

Adhering to the market conduct principle helps to foster trust and confidence among market participants, ensuring that they can engage in trades and transactions without fear of misconduct, bias, or manipulation. It also plays a crucial role in protecting consumers and investors by requiring firms to treat their clients fairly and provide appropriate products and services, thus enhancing the overall integrity of the financial system.

While integrity, management and control, and financial prudence are all important aspects of professional ethics and regulatory compliance in the financial services industry, they do not specifically capture the broader responsibility dedicated to behavior in market transactions and interactions, which is encapsulated in the market conduct principle. This principle serves as a framework for guiding firms in their interactions and is essential for promoting a well-functioning market environment.