By James Langton
(November 8 – 18:00) – The Mutual Fund Dealers Association is making a draft membership application package available on its Web site.
The package is based on the MFDA’s draft rules submitted back on December 22, 1999, as part of its application for recognition as a self-regulatory organization. These rules are subject to change, but the MFDA is providing the package for information purposes.
The association says that it anticipates that the basic format and requirements included in the package will be substantially similar to the final version. The final version will not be published until the MFDA is recognized as an SRO, expected next January.
In the meantime, the MFDA recommends that prospective members start preparing to join by:
- meeting minimum capital requirements;
- assessing compliance departments;
- determining staffing strengths and weaknesses;
- ensuring that trust accounts are operating in compliance with National Instrument 81-102;
- determining the extent of existing compliance procedures;
- acquiring adequate and appropriate resources;
- ensuring that an up-to-date Compliance Manual exists, has been distributed, and is being followed; and
- starting a program of branch reviews.