Home Newspaper Regulators’ Report Card Page 2

Latest news in Regulators’ Report Card

Mixed views on disciplinary proceedings

Some describe the investigative process as a "witch hunt." Others believe enforcement teams consider each situation carefully

Smallest clients being left behind?

Some firms are dropping more and more of their smallest clients. Other firms adamantly oppose the practice

No great opposition to proposed standard

Many say the industry should be acting in clients' best interest - and regulators should introduce a standard that would apply to dealers and advisors

How we did it

Compliance officers (COs) and company executives in Canada's investment industry shared their views about the regulators that oversee their businesses once again

Collaboration is key in audits

Being open with auditors will help them go the extra mile and be as flexible as they can on certain mandates

Perception of regulators is a little rosier

Despite volatile markets, an uncertain economic environment and increasing regulation, Canada's regulators are holding their own

Audit process generates mixed views

There are conflicting opinions about regulators' auditors and the approach they take during the auditing process

Regulators’ responses getting better?

Although regulators usually provide quick responses to registrants, the replies are too cautious in the content they provide

Regulators’ approach needs improving

COs and company executives indicated that regulators could take steps to make their policies clearer and more flexible

Costs of regulatory burden take their toll

Fewer resources or smaller compliance departments are making the regulatory burden more onerous for smaller firms

Time to get rid of commissions?

A slight, but nonetheless vocal majority believe now is the time to eliminate embedded commissions

Desire for SRO merger intensifies

An IIROC/MFDA merger, which 80% of survey participants support, has been the subject of long-running debate

How we did it

For the eighth year in a row, compliance officers (COs) and company executives throughout the investment industry shared their thoughts about the regulators.

How we did it

Compliance officers (COs) and senior executives from a cross-section of firms in the investment industry shared their thoughts about the regulators that oversee their businesses…

Regulators should focus on Canada

Survey participants question whether regulators should focus so much on developments outside of Canada

SROs stand out in soliciting industry comments

IIROC and the MFDA have advisory committees, regional councils and policy roundtables in place through which to receive feedback

Regulatory burden more acute than ever

COs and company executives already were reeling from regulatory pressures — and new rules have only added to that burden

The necessity of regulatory fees

Most survey participants would like to pay less in regulatory fees, but realize regulators need resources to operate

Stiff opposition to rewarding tipsters

Almost two-thirds of survey participants are opposed to a whistleblower program that pays insiders for tips

CRM2 is causing a big disruption to business

Almost three-quarters of survey participants say the costs and effort needed to be compliant with CRM2 are significant

Ratings hold steady for all but the OSC

The Ontario Securities Commission has taken a major hit for its lack of sensitivity and responsiveness to the investment industry

Stiff opposition to fiduciary duty

Almost six in 10 survey participants are opposed to the introduction of a "best interest" standard for financial advisors

CRM 2 is expected to have a major impact

The vast majority of COs and executives surveyed for this year's Report Card say the CRM 2 reforms will change the sector

Lofty markets drive regulators’ ratings

Stronger equities markets have given those surveyed fewer reasons to gripe about the regulators that oversee their businesses. Includes main chart.

How we did it

For the sixth year in a row, Investment Executive (IE) spoke with compliance officers (COs) and executives at various financial services firms to find out…