The Certified General Accountants Association of Canada applauds the recommendations of the Expert Panel on Securities Regulation in Canada to create a common securities regulator, but is pushing the government to go even farther with reforms.

“CGA-Canada is pleased that the Expert Panel has recommended the creation of a common securities regulator in Canada,” said Anthony Ariganello, president and CEO of CGA-Canada. “The proposed model will improve regulatory efficiency and cut compliance costs, provide protection to investors, improve internal trade, and improve confidence in and accountability of our regulatory system.”

Ariganello also noted that the panel addressed some key concerns put forward by stakeholders. For instance, making regulation proportionate-based would be appropriate given the size and nature of Canada’s economy, he said.

He added that regional offices would enable the new securities regulator to better respond to regional issues.

CGA-Canada also supports the panel’s recommendation that a pan-Canadian regulator should have responsibility for auditor oversight. According to the association, this would ensure the appropriate level of accountability and would put the Canadian system on even footing with the country’s main trading partners.

But the association is urging the federal government to go beyond the panel’s recommendations and address other institutional issues. It calls for a reform of the framework for setting financial reporting standards, something CGA-Canada proposed in a brief to the expert panel.

“This would improve the legitimacy of and confidence in these essential activities,” Ariganello said.

IE