What principle is violated if a member votes proxies without regard for clients' interests?

The principle that is violated when a member votes proxies without regard for clients' interests is informed and responsible proxy voting. This principle emphasizes the necessity for members to act in the best interest of their clients when making voting decisions. When proxies are voted without considering how those decisions impact clients—whether for financial or ethical reasons—the member fails to uphold their duty to prioritize client interests. This can undermine client trust and diminish the ethical standards expected in professional practices.

Voting proxies responsibly means analyzing the implications of the votes and ensuring that they align with the goals and concerns of the clients, rather than simply casting votes based on convenience or personal bias. Informed proxy voting involves a careful assessment of how the vote will affect the clients’ investments and overall strategies. By neglecting these considerations, the member strays from ethical obligations and professionalism in the realm of finance and investment management.