OSC compliance reviews continue to reveal deficiencies

Investment Executive has prepared this list of recent updates to its “Compliance Calendar” feature for the two weeks ended July 14. New items in this update include revisions to capital rules for life insurers; changes to mortgage underwriting rules; and new tools for market surveillance.


Aug. 17

OSFI: Mortgage underwriting rules to be changed

The Office of the Superintendent of Financial Institutions (OSFI) has proposed changes to the rules on mortgage underwriting practices that would bring its regulations in line with OSFI’s heightened expectations in this area. Comments close Aug. 17.

Aug. 18

OSFI: Capital rules for life insurers to change

OSFI is proposing changes to the rules for insurers when setting their internal capital targets based on their in-house assessment of risks, capital needs and solvency position; and changes to the rules that define regulatory capital and internal capital targets, which also outlines the role of capital in OSFI’s risk-assessment process. Comments are due by Aug. 18.

Oct. 4

CSA: Credit rating rules to be harmonized

The Canadian Securities Administrators (CSA) proposed rule changes for credit-rating agencies. The proposals are intended to align the Canadian regime with the latest version of the code of conduct issued by the International Organization of Securities Commissions and new European Union requirements. Comments are due by Oct. 4.

Bring Forward

A changing selection of ongoing initiatives that may be of interest to advisors.

July 6

CSA/IIROC: Best execution proposals withdrawn

The CSA is withdrawing proposed rule changes it originally put forward in 2014 to require dealers to make certain disclosures regarding their best execution policies. Changes implemented by the Investment Industry Regulatory Organization of Canada (IIROC) have made the rules redundant.

July 11

OSC: Compliance reviews reveal deficiencies

The Ontario Securities Commission is likely to release additional guidance in two key areas — complying with the mutual fund sales practices rule and dealing with senior investors — following last year’s compliance review.

July 13

IIROC: New technology to strengthen market surveillance

IIROC is bolstering market surveillance with a deal to implement an upgraded version of Nasdaq’s SMARTS market surveillance technology to help oversee all debt and equity trading in Canada.

July 13

CSA: Getting tough on false registration applications

The CSA says there’s a “serious problem” with false registration applications.

For more, please see: Compliance Calendar for Advisors 2017

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