Effective Date: December 31, 2021
The purpose of this notice is to provide information on the filing and supervisory requirements for Dealer Member (Dealer) business locations outside of Canada.
Business Locations Outside of Canada with no Approved Persons
The following requirements apply to business locations opened by the Dealer outside of Canada, with no Approved Persons and no contact with clients in Canada:
- Financial and business conduct compliance rules do not apply to this foreign location and individuals employed in the foreign business location do not require approval, if the individuals in the location are not dealing with Canadian residents.
- Notification of the business location is required. The National Registration Database (NRD) does not accommodate business location openings outside of Canada. Dealers must file a paper Form 33-109F3 (“F3”)– Business Locations other than Head Office and include the following information:
- The activities to be conducted from the business location
- Confirmation that employees in the location are registered or licensed to carry on the business intended for that business location, pursuant to the laws of the jurisdiction in which the business location is situated.
Business Locations Outside of Canada with Approved Persons
The following requirements apply to any business location opened by the Dealer outside of Canada, with Approved Persons. These individuals may be cross-registered with the Dealer and its foreign affiliate:
- The individual’s contact information for their location of employment outside of Canada is recorded under item 9.2 – Location of Employment in Form 33-109F4 (F4) – Registration of Individuals and Review of Permitted Individuals. This business location identifies where the Approved Person will be conducting most of their business. The F3 form is not required.
- This individual’s handling of the accounts of Canadian residents’ falls under the oversight of the IIROC approved Supervisor. The Supervisor must have access to the records necessary to conduct the required supervision. The Supervisor’s name and title is to be recorded under Item 10 in the Supervisor field. While this can be supplemented with supervision at the affiliate, the Dealer must ensure the protection of privacy issues regarding client information are dealt with.
- The individual’s employment with the foreign affiliate must be disclosed under Item 10 - Current Employment in the F4, if applicable.
- IIROC Compliance rules apply to the Canadian accounts serviced from such a location.
- The following information is to be provided via email at the time of the individual’s submission for approval to IIROC:
- The activities to be conducted from the business location.
- The number of offices already supervised by the approved Supervisor.
IIROC may require on a case-by-case basis additional information or documents.
IIROC Rules this Guidance Note relates to:
- Rule 2800.
Previous guidance notes
This Guidance Note replaces:
- MR0306 – Procedures for Foreign Offices of IDA Members
- Notice 08-0231 – Administrative Notice – Procedures for Foreign Offices of IIROC Member
This Guidance Note was published under Notice 21-0190 - IIROC Rules, Form 1 and Guidance.