The Financial Consumer Agency of Canada (FCAC) and the Investment Industry Regulatory Organization of Canada (IIROC) announced that they have signed a memorandum of understanding (MOU) in a bid to strengthen investor protection.
Under the terms of the MOU, the two national regulators have agreed to assist each other and exchange pertinent information to ensure the effective regulation of the entities and individuals under their respective jurisdiction.
The MOU will also help facilitate compliance with and the enforcement of laws, rules or requirements of those regulated by each organization.
Strengthening collaboration between the FCAC and IIROC will reinforce consumer protection by increasing oversight capacity and facilitating enforcement action against regulated entities and individuals that are not adhering to their market and business conduct obligations.
"As regulators, we can no longer work in isolation. Collaborating and sharing information with regulatory partners such as the Investment Industry Regulatory Organization of Canada will help us keep pace with emerging trends and issues so that we can better protect financial consumers," says Lucie Tedesco, commissioner, FCAC, in a statement.
"Canadian investors will be better protected by our increased regulatory coordination and early detection of wrongdoing," adds Andrew Kriegler, IIROC's president and CEO, in a statement. "We are pleased to partner with FCAC and other regulators across the country to ensure compliance with our rules and to ensure that those we regulate cannot avoid sanctions and continue working in another area of the financial services industry."
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