What does the duty of confidentiality require of auditors?

The duty of confidentiality requires auditors to preserve the confidentiality of client information and avoid using that information for personal gain. This principle is fundamental in maintaining trust in the auditor-client relationship, as clients rely on auditors to protect sensitive information related to their operations, financial conditions, and business strategies.

By upholding confidentiality, auditors demonstrate their commitment to professional integrity and ethics. This duty not only protects the client's interests but also assures stakeholders that the auditor is acting in a responsible and trustworthy manner. Maintaining confidentiality prevents auditors from exploiting any privileged information gained during their engagement, thereby reinforcing the trust placed in them by clients and the public.

In contrast, the other options involve actions that may compromise the principle of confidentiality. Disclosing information whenever necessary or sharing it with external parties contradicts the core tenet of safeguarding client information. Limiting disclosures to client communications only may not adequately encapsulate the broader responsibility auditors have in maintaining confidentiality beyond just direct client interactions.