Advisors dreading the imposition of definitive “best interest” guidelines will likely have a repreive. In its annual update of priorities for the fiscal year, the Ontario Securities Commission says “it does not expect these issues to be fully resolved in 2013-2014.”
Best practice standards on matters such as fiduciary duty and disclosure obligations are one of the hottest topics on the OSC’s agenda. Many are concerned about the possible ban on embedded commissions that could find its way into the new regime. Still, there are other fears that the new regulations could add to an advisor's workload.
But some advisors say they welcome uniform standards across the sector.
“It’s a great idea and there should be some best practices that we all follow,” said Brenda McKinnon, Investment advisor with Dundee Wealth Management in Edmonton. “The problem is that every association people belong to has their own best practices; it would be better if there was one standard that treated everybody the same than having 15 different associations with different standards.”
Continued on Pg. 2