Category: Investment Products & Asset Management

Cybersecurity Alert: IIROC-Regulated Investment Firms Must Now Report Incidents

November 25, 2019

The Investment Industry Regulatory Organization of Canada (IIROC) has amended its Dealer Member Rules to require mandatory reporting by dealer members (Dealers) in the event of a cybersecurity incident. The amendments are accompanied by guidance on the new requirements. IIROC expects dealers to issue an initial report within three days of discovery of an incident, and to submit a detailed…

CSA Seeks Comments on Initiative to Reduce Regulatory Burden for Investment Fund Issuers

November 21, 2019

In September 2019, the Canadian Securities Administrators (CSA) published CSA Notice and Request for Comment Reducing Regulatory Burden for Investment Fund Issuers – Phase 2, Stage 1, which outlines a number of proposed amendments and proposed changes to the disclosure regime and operational matters for investment fund issuers (the Proposed Amendments). Comments on the Proposed Amendments are due by December…

Securities Regulators Look to Improve Client-Registrant Relationship with Client Focused Reforms

October 23, 2019

The Canadian Securities Administrators (CSA) recently published reforms to enhance the client-registrant relationship (Client Focused Reforms). The Client Focused Reforms amend National Instrument 31-103 Registration Requirements, Exemptions and Ongoing Registrant Obligations (NI 31-103) and its companion policy (Companion Policy) by, among other things: Expanding the list of enumerated “know-your-client” (KYC) information required to be gathered at inception of, and updated…

OSC Seeks Public Input on Reducing Regulatory Burdens for Market Participants

January 22, 2019

The Ontario Securities Commission (OSC) recently announced plans to engage in a structured public consultation process as the next step in its efforts to reduce the regulatory burden for market participants. The public consultation, outlined in OSC Staff Notice 11-784: Burden Reduction, will include an opportunity for interested stakeholders to submit comments on key areas of securities regulation and participate…

CSA Comment on Registrants’ Cybersecurity and Social Media Practices

October 23, 2017

The Canadian Securities Administrators (CSA) have published Staff Notice 33-321 Cyber Security and Social Media (Staff Notice 33-321), which summarizes survey results of registered firms’ cybersecurity and social media practices, and provides guidance on each of the survey topics, reflecting the CSA’s expectation that registered firms will be vigilant to safeguard themselves and their clients from cyber threats. BACKGROUND Last…

2017 Federal Budget – Selected Tax Measures

March 23, 2017

On March 22, 2017 the Minister of Finance introduced Canada’s 2017 Federal Budget (2017 Budget). Despite persistent rumours, no change was proposed to the capital gains inclusion rate. The 2017 Budget does include a mix of targeted anti-avoidance rules, legislative responses to recent jurisprudence, and other narrow changes to address perceived problems in the existing provisions of the Income Tax…

Risk Classification Methodology — Standard Deviation for Mutual Funds and ETFs

December 23, 2015

On December 10, 2015, the Canadian Securities Administrators (CSA) published for comment proposed amendments as part of stage 3 of the point of sale disclosure project mandating fund managers to use a standardized risk classification methodology (Proposed Methodology) when determining the investment risk level of conventional mutual funds and exchange-traded funds (ETFs) for disclosure in the Fund Facts document (Fund…

The CSA Extend Elements of Mutual Fund Regulation to Closed-End Funds

July 9, 2014

On June 19, 2014, the Canadian Securities Administrators (CSA) published the final instalment of the amendments (Amendments) to National Instrument 81-102 (NI 81-102) and the Companion Policy 81-102 CP (CP) (and consequential amendments to other instruments) bringing to an end stage one of Phase 2 of the CSA’s Modernization of Investment Fund Product Regulation Project (Modernization Project). The key components…

The CSA Extend Elements of Mutual Fund Regulation to Closed-End Funds

July 9, 2014

  On June 19, 2014, the Canadian Securities Administrators (CSA) published the final instalment of the amendments (Amendments) to National Instrument 81-102 (NI 81-102) and the Companion Policy 81-102 CP (CP) (and consequential amendments to other instruments) bringing to an end stage one of Phase 2 of the CSA’s Modernization of Investment Fund Product Regulation Project (Modernization Project). The key…