How is insider trading viewed in the context of CPA regulations?

Insider trading is viewed as unprofessional conduct within the context of CPA regulations because it fundamentally violates the ethical principles of transparency and fairness that the profession upholds. CPAs, as trusted financial advisors and professionals, are expected to adhere to high standards of integrity and to act in the best interest of their clients and the public. Engaging in insider trading undermines the trust that is critical to the profession and can lead to significant penalties, including licensure repercussions.

This view aligns with the broader regulatory framework that governs all securities and financial practices. It emphasizes that professionals must not exploit access to non-public information for personal gain, as this behavior constitutes a breach of fiduciary duty and trust. The consequences of such actions can extend beyond professional discipline to include legal ramifications, affecting both the individual and the integrity of the financial markets at large. Thus, the perception of insider trading as unprofessional conduct is consistent with the values and regulations established to maintain ethical standards in the CPA profession.