MFDA proposes changes to CE accreditation process

The Mutual Fund Dealers Association of Canada (MFDA) is launching a consultation on its process for accrediting courses that reps can take under its new continuing education (CE) program.

The self-regulatory organization (SRO) published a discussion paper Friday on its proposed accreditation process for CE course content.

The paper indicates that MFDA members would be allowed to accredit the CE activity of their own reps, and that it also is considering outsourcing the task to third-party firms, amid concerns that the CE content accreditation process could be too time-consuming for the SRO to also carry out in-house.

“The time required for MFDA staff to directly process a high volume of such requests could negatively impact staff’s ability to efficiently implement, and perform ongoing administration of, the MFDA’s CE program,” the MFDA states in the paper.

As a result, the SRO is proposing to outsource the task to an outside firm that would be selected through a public tender process. An outside accreditor would make recommendations to the MFDA, but the MFDA would retain the final decision on accrediting courses.

Additionally, the MFDA is proposing to grant automatic recognition to the La Chambre de la sécurité financière (CSF) as a third-party accreditor; and to allow other third-party accreditors to apply for approval, subject to minimum standards set out in the paper.

Comments on the MFDA’s proposed approach are due September 20.

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.