The IIAC submitted its response to the CSA Position Paper – New Self-Regulatory Organization Framework. The IIAC commends the CSA for its support to create a single, enhanced national self-regulatory organization (SRO). Some key recommendations made by the IIAC include:
- The need for a dependable, short timeline. The IIAC encourages the CSA to consistently select the most expeditious and cost effective means available to achieve implementation. Consideration of any substantive rule or policy changes should take place after the SRO is operational and have regard to regulatory initiatives currently underway.
- The benefit of including the IIAC, its membership, and both current SROs, on the Implementation Working Committee and various subcommittees.
- The need for meaningful industry representation on the Board of Directors to assist the SRO to respond effectively to evolving investor concerns. The SRO By-Laws should remove an outdated requirement to maintain two marketplace directors and instead increase the number of dealer directors.
- The need for formalized advisory roles for IIROC District Councils and MFDA Regional Councils on the Board of Directors. Representatives of the Councils should directly address the SRO Board at its meetings on a regular basis, and a standing committee of the Board should be formed to respond to issues raised by the Councils.
- The expectation that the SRO result in benefits, including a reduction in regulatory fees and costs for all dealers.
- A disciplined approach to rule making which seeks to ensure rules are proportionate and include an assessment of economic impact.
- The granting of exemptions from the 270-day rule to allow and provide dealers with an appropriate transition to the SRO, and to work in parallel with the MFDA, IIROC and CSA proposals for the SRO.
Click here to read our submission. Our news release is available here.
For information, please contact Adrian Walrath.