Amendments to Form 1 for use in, and consistency, with the Plain Language Dealer Member Rules Rule Book

19-0146
Type: Rules Notice> Approval/Implementation
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Contact:

Catherine Drennan
Manager, Financial Information, Member Regulation Policy
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The applicable securities regulatory authorities have approved the amendments to Form 1 for use in, and consistency, with the Plain Language Dealer Member Rules Rule Book (the Amendments).

The Amendments were published for comment on February 15, 2018 in IIROC Rules Notice 18-0043 - Proposed Amendments to Form 1 for use in, and consistency, with the Plain Language Dealer Member Rules Rule Book (Notice 18-0043). All relevant background information, including the objectives of the amendments, is set out in  Notice 18-0043.

Non-material revisions to the Amendments

In light of the comments received, we have made the following non-material revisions to the Proposed Amendments that were previously published in Notice 18-0043:

  • separately defined the term “applicable exchange” in the General Notes and Definitions to Form 1 instead of it being defined within the definition of “regulated entity”
  • for the definition of “applicable exchange” in the General Notes and Definitions to Form 1 we have included the explanation that it is an acceptable exchange and meets our additional criteria
  • separately defined the related term “applicable association” in the General Notes and Definitions to Form 1 as a result of separately defining the term “applicable exchange”
  • regarding the defined term (h) “market value” of a security in the General Notes and Definitions to Form 1, the reference incorporated in subsection (iii), we have corrected inconsistencies by replacing the reference to “(g)(i)” with “(i)” and “(g)(ii)” with “(ii)”, respectively
  • removed the letter that was used at the beginning of the definition of each defined term as the numbering method in the General Notes and Definitions to Form 1 in order to make it consistent with the convention used for definitions of defined terms in the Plain Language Dealer Member Rules Rule Book
  • updated the definitions of “applicable association”, “applicable exchange” and “Basel Accord country” in the General Notes and Definitions to Form 1 to refer to our “Domestic and Foreign Acceptable Institutions (AI) and Acceptable Counterparties (AC) database”
  • removed the references to PBOT and the other example of an applicable exchange that lists futures for currencies in order to ensure that we do not need to make amendments to the Notes and Instructions to Schedules 11 and 11A each time there is such a material business change at one of these example applicable exchanges.

We did not make any non-material revisions to either the Notes and Instructions to Schedule 2 or the Notes and Instructions to Schedule 12. A black-line comparison of the Amendments to show the non-material revisions to the previously published Proposed Amendments is provided in Appendix C.

Appendices

Appendix A -    Black-line comparison of the Amendments to current Form 1

Appendix B -    Clean copy of the Amendments

Appendix C -    Black-line comparison of the Amendments to show the non-material revisions to the previously published Proposed Amendments.

Implementation

The Amendments will be effective on June 1, 2020.