NSFRE Code of Ethical Principles & Standards of Professional Practice

National Society of Fund Raising Executives

Code of Ethical Principles (1991) and Standards of Professional Practice (1992)

Statements of Ethical Principles
Adopted November 1991

The National Society of Fund Raising Executives exists to foster the development and growth of fund-raising professionals and the profession, to preserve and enhance philanthropy and volunteerism, and to promote high ethical standards in the fund-raising profession.

To these ends, this Code declares the ethical values and standards of professional practice that NSFRE members embrace and that they strive to uphold in their responsibilities for generating philanthropic support.

Members of the National Society of Fund Raising Executives are motivated by an inner drive to improve the quality of life through the causes they serve. They seek to inspire others through their own sense of dedication and high purpose. They are committed to the improvement of their professional knowledge and skills in order that their performance will better serve others. They recognize their stewardship responsibility to ensure that needed resources are vigorously and ethically sought and that the intent of the donor is honestly fulfilled. Such individuals practice their profession with integrity, honesty, truthfulness and adherence to the absolute obligation to safeguard the public trust.

Furthermore, NSFRE members: serve the ideal of philanthropy, are committed to the preservation and enhancement of volunteerism, and hold stewardship of these concepts as the overriding principle of professional life;

put charitable mission above personal gain, accepting compensation by salary or set fee only;

foster cultural diversity and pluralistic values, and treat all people with dignity and respect;

affirm, through personal giving, a commitment to philanthropy and its role in society;

adhere to the spirit as well as the letter of all applicable laws and regulations;

bring credit to the fund-raising profession by their public demeanor;

recognize their individual boundaries of competence and are forthcoming about their professional qualifications and credentials;

value the privacy, freedom of choice and interests of all those affected by their actions;

disclose all relationships that might constitute, or appear to constitute, conflicts of interest;

actively encourage all their colleagues to embrace and practice these ethical principles;

adhere to the following standards of professional practice in their responsibilities for generating philanthropic support.

Standards of Professional Practice
Adopted and incorporated into the NSFRE Code of Ethical Principles November 1992; amended March 1993, October 1994, November 1997, November 1998

Members shall act according to the highest standards and visions of their institution, profession and conscience.

Members shall avoid even the appearance of any criminal offense or professional misconduct.

Members shall be responsible for advocating, within their own organizations, adherence to all applicable laws and regulations.

Members shall work for a salary or fee, not percentage-based compensation or a commission.

Members may accept performance-based compensation, such as bonuses, provided such bonuses are in accord with prevailing practices within the members' own organizations and are not based on a percentage of charitable contributions raised.

Members shall not pay, seek or accept finder's fees, commissions or percentage compensation based on charitable contributions raised, and shall, to the best of their ability, discourage their organizations from making such payments based on charitable contributions.

Members shall effectively disclose all conflicts of interest; such disclosure does not preclude or imply ethical impropriety.

Members shall accurately state their professional experience, qualifications and expertise.

Members shall adhere to the principle that all donor and prospect information created by, or on behalf of, an institution is the property of that institution and shall not be transferred or utilized except on behalf of that institution.

Members shall, on a scheduled basis, give donors the opportunity to have their names removed from lists that are sold to, rented to, or exchanged with other organizations.

Members shall not disclose privileged information to unauthorized parties.

Members shall keep constituent information confidential.

Members shall take care to ensure that all solicitation materials are accurate and correctly reflect the organization's mission and use of solicited funds.

Members shall, to the best of their ability, ensure that contributions are used in accordance with donors' intentions.

Members shall ensure, to the best of their ability, proper stewardship of charitable contributions, including timely reporting on the use and management of funds and explicit consent by the donor before altering the conditions of a gift.

Members shall ensure, to the best of their ability, that donors receive informed and ethical advice about the value and tax implications of potential gifts.

Members' actions shall reflect concern for the interests and well-being of individuals affected by those actions. Members shall not exploit any relationship with a donor, prospect, volunteer or employee to the benefit of the member or the member's organization.

In stating fund-raising results, members shall use accurate and consistent accounting methods that conform to the appropriate guidelines adopted by the American Institute of Certified Public Accountants (AICPA)* for the type of institution involved. (* In countries outside of the United States, comparable authority should be utilized.)

All of the above notwithstanding, members shall comply with all applicable local, state, provincial and federal civil and criminal laws.