The Mutual Fund Dealers Association of Canada has announced changes to its policy development process designed to improve transparency and engagement with its members.

In MFDA Bulletin #0389 – P issued Tuesday, the MFDA notes that its latest strategic plan includes improving its policy development process among its goals, and that enhancing communication and consultation with stakeholders is one of the MFDA’s principal objectives.

To that end, it has made a number of changes to the existing process. The MFDA says that it will strive to ensure that the comment period for material proposals ranges between 60 and 120 days, rather than the usual 30 to 60 day period.

It is also aiming to improve the pre-consultation process for major rule initiatives. “Specifically, on material policy initiatives, we will strive to advise stakeholders of the nature of the initiative, the regulatory rationale for the initiative and any alternatives being considered. We will then solicit comment on the initiative before staff finalizes the proposal. As a result, there will in effect be two comment periods on such material initiatives, one before the proposal is finalized by staff, and one after the proposal has been considered by the MFDA board and published for public comment by the [Canadian Securities Administrators],” it explains.

It notes that they also launched a members’ only website in May to improve communication and transparency around policy proposals. “These enhancements to the MFDA website will allow members to become better informed of the policy issues under consideration, the reason for the initiatives, and the development status of each initiative,” it notes.

IE