CSA publishes notices recognizing single self-regulatory organization on January 1
The Canadian Securities Administrators (CSA) has officially declared its recognition of the New Self-Regulatory Organization of Canada (New SRO).
The pan-Canadian regulatory body has published CSA Staff Notice of Approval 25-307, which recognizes the New SRO as a self-regulatory organization effective January 1, 2023.
It’s also released another notice approving the Canadian Investor Protection Fund (CIPF), which combines the former CIPF of the Investment Industry Regulatory Organization of Canada (IIROC) and the Mutual Fund Dealers Association of Canada (MFDA) Investor Protection Corporation, as a compensation/contingency fund.
Aside from recognition orders, the notices lay out interim rules and fee guidelines for the New SRO.
“We’ve made great progress towards the implementation of a single, enhanced SRO,” Stan Magidson, CSA Chair and Chair and CEO of the Alberta Securities Commission, said in a statement. “This key milestone has been achieved thanks to the dedicated and collaborative work of the staff from the Investment Industry Regulatory Organization of Canada (IIROC), the Mutual Fund Dealers Association of Canada (MFDA), the CSA and the current investor protection funds.”
The notices represent the culmination of extensive consultations with stakeholders across the industry, including comments from investor advocates.
The notices come several months after members of IIROC and the MFDA voted in favour of creating the new SRO.
“I am very pleased with the contributions and level of support shown by industry stakeholders and investor advocates alike,” Magidson said.
“The regulatory framework for the New SRO and CIPF incorporates feedback we received and will enhance investor protection and public confidence through stronger accountability. It also allows for further innovation in our evolving industry.”