- A Dealer Member must maintain current records that:
- properly record its business activities, financial position, financial operating results and client transactions, and
- demonstrate the Dealer Member’s compliance with securities laws and IIROC requirements.
- The records required under subsection 3804(1) include, but are not limited to, records that do the following:
- permit timely creation and audit of financial statements and other financial information required to be filed or delivered to IIROC or the applicable securities regulatory authority,
- permit determination of the Dealer Member’s capital position,
- demonstrate compliance with the Dealer Member’s capital and insurance requirements,
- demonstrate compliance with internal control procedures,
- demonstrate compliance with the Dealer Member’s policies and procedures,
- permit the identification and segregation of client cash, securities, and other property,
- identify all transactions conducted on behalf of the Dealer Member and each of its clients, including the parties to the transaction and the terms of the purchase or sale,
- provide an audit trail for:
- client instructions and orders, and
- each trade transmitted or executed for a client or by the Dealer Member on its own behalf,
- permit the generation of account activity reports for clients,
- provide securities pricing as may be required by securities laws,
- document the opening of client accounts, including any agreements with clients and evidence that account related documents required by IIROC requirements have been provided to clients,
- demonstrate compliance with know-your-client, account appropriateness, product due diligence, know‐your‐product and suitability determination requirements,
- demonstrate compliance with complaint handling requirements,
- document correspondence with clients,
- document compliance, training, and supervision actions taken by the Dealer Member,
- demonstrate compliance with conflicts of interest requirements,
- the Dealer Member’s sales practices, compensation arrangements and incentive practices, and
- other compensation arrangements and incentive practices from which the Dealer Member or its Approved Persons, or any affiliate or associate of that Dealer Member, benefit, and
- demonstrate compliance with misleading communications requirements, and
- demonstrate compliance with the conditions for temporary holds.
A Dealer Member must maintain appropriate internal controls to provide reasonable assurance that its records:
provide clear and accurate information, and
A Dealer Member must make its records available to IIROC on request, in the manner requested by IIROC.
A Dealer Member must provide IIROC with statistical or other information with respect to the Dealer Member’s business that IIROC may request from time to time, acting reasonably. Such information must be provided as soon as practicable following IIROC’s request.