TORONTO, January 13, 2022 - The Investment Industry Regulatory Organization of Canada (IIROC) announced proposed amendments to their rule requirements for reporting, internal investigations, and client complaints to better protect Canadian investors.
The proposed amendments aim to make the rules clearer and more consistent with existing regulatory expectations, create a more seamless reporting process, and enhance complaint requirements. Throughout this process, IIROC has incorporated industry best practices.
Highlights of Proposed Amendments
To enhance communications with investors, written responses to complaints will prioritize accessibility and plain language and be in languages other than English and French when needed.
Dealers will have clearer requirements to report and conduct internal investigations on any activity which could harm a client or the capital markets, including privacy breaches, significant non-compliance with any IIROC requirements, and any client complaint involving serious misconduct related to the client’s account.
Dealers can no longer use the word “ombudsman” or similar qualifiers for their internal dispute resolution service.
“Our proposed rule amendments are intended to make the requirements for reporting, internal investigations, and client complaints clearer and more consistent and accessible,” said Irene Winel, Senior Vice-President, Member Regulation and Strategy, IIROC. “In alignment with IIROC’s mandate, these proposed changes will ensure investors continue to be protected.”
IIROC is the pan-Canadian self-regulatory organization that oversees all investment dealers and their trading activity in Canada's debt and equity markets. IIROC sets high quality regulatory and investment industry standards, protects investors and strengthens market integrity while supporting healthy Canadian capital markets. IIROC carries out its regulatory responsibilities through setting and enforcing rules regarding the proficiency, business and financial conduct of 174 Canadian investment dealer firms of varying sizes and business models, and their more than 31,000 registered employees. IIROC also sets and enforces market integrity rules regarding trading activity on Canadian debt and equity marketplaces. For more information, visit www.iiroc.ca.
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