Securities regulators have issued orders formalizing the extension promised to dealers in complying with certain aspects of the Client Relationship Model (CRM2) reforms until the end of the year.

The various members of the Canadian Securities Administrators (CSA) Thursday issued parallel orders granting an extension to dealers from certain CRM2 requirements that were scheduled to take effect on July 15, which will give firms until December 31 to comply.

Earlier this year, the CSA declared that they would give firms another five and half months to comply with the CRM2 provisions that are due to be implemented in mid-July, after the Investment Industry Association of Canada (IIAC) sought an extension, amid concerns that some firms would have trouble complying on time, and that certain technical issues would make compliance difficult. However, the CSA declined to provide dealers with more time to implement new cost and performance reporting requirements that are slated to take effect in July 2016.

See: Dealers get a bit more time for CRM2

The parallel orders provide dealers that are directly regulated until the end of the year to implement certain provisions, including new requirements relating to market value, position cost, and account statements, among other things.

For dealers that belong to self-regulatory organizations (SROs) — the Investment Industry Regulatory Organization of Canada (IIROC) and the Mutual Fund Dealers Association of Canada (MFDA) — the orders give them relief to comply with the SRO rules, which will be amended to reflect the CSA’s decision to provide an extension for certain requirements.

The CSA says that its members plan to publish proposals to amend the CRM2 rules permanently to reflect the extension; and that the SROs plan to make housekeeping amendments of their own to ensure their rules match the relief granted by the CSA.