What is the primary purpose of ethical guidelines in investment practices?

The primary purpose of ethical guidelines in investment practices is to promote fair treatment and integrity in financial markets. These guidelines are designed to ensure that all market participants have equal access to information and are treated equitably, which helps to maintain trust and confidence in the financial system. By adhering to ethical standards, investment professionals must act in the best interests of their clients, provide transparent communication, and avoid conflicts of interest. This ethical framework is fundamental for sustaining the integrity of markets, protecting investors, and fostering long-term economic stability.

In contrast, the other options do not align with the core mission of ethical guidelines. Establishing competitive advantages can lead to unethical practices if it involves manipulation or unfair treatment. Restricting advisors from expressing personal views could impede open dialogue and transparency, which are essential for ethical conduct. Finally, prioritizing profits at any cost is fundamentally opposed to ethical principles, as it may encourage behavior that can harm clients, the market, or the broader economy.