(November 22 – 09:40 ET) –
Canada’s securities regulators
are touting the impending overhaul
of the prospectus review system.
The new mutual reliance review
system is due to go into effect
January 1, 2000. However the dealer
registration component of the
system is still under review.
Under the new MRRS, an issuer
filing a prospectus an annual
information form or an application
for an exemption will generally
deal with only its principal
regulator. The Canadian Securities
Administrators say that the
emergence of the MRRS will
facilitate the harmonization
of legislative requirements and
administrative practices across
jurisdictions – creating the
vaunted virtual national
securities commission.
“This new system will simplify
regulatory review and thereby
reduce costs for the securities
market participants without
compromising investor protection.
The MRRS is an important component
of the Canadian Securities
Regulatory System.” said Doug
Hyndman, chair of the CSA.
However the CSA reports that it
is still reviewing comments and
revising the MRRS procedures for
the registration of securities
dealers and advisers are being
reviewed. It expects to republish
these parts of the rules for
further comment at a later date.
-IE Staff
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