3808. Client account statements

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    1. A Dealer Member must send a monthly statement to each client who:

      1. requests to receive a client account statement on a monthly basis, or

      2. at the end of the month has:

        1. had a transaction during the month,

        2. has experienced a cash or security modification, other than dividend or interest payments,

        3. an unexpired and unexercised futures contract option position, or

        4. an open futures contract, or exchange contract position, 

        5. in their account.

    2. A Dealer Member must send a quarterly statement to each client who, at the end of the quarter has:

      1. a debit or credit balance, or 

      2. one or more security positions (including securities held in safekeeping or in segregation), 

      3. in their account.

    3. The statement must include all of the following information about the client’s account at the end of the period for which the statement is made:

      1. the opening cash balance in the account,

      2. all deposits, credits, withdrawals and debits made to the account,

      3. the closing cash balance in the account,

      4. the name and quantity of each security position in the account,

      5. for each security position in the account:

        1. where the market value is determinable:

          1. the market value,

          2. the total market value, and

          3. if applicable, the notification required pursuant to clause (ii) of the definition of market value in subsection 3802(1)

        2. where the market value is not determinable, the notification required pursuant to clause (iii) of the definition of market value in subsection 3802(1),

      6. where the client is a retail client and the statement is a quarterly statement, the statement must also include:

        1. for each security position in the account:

          1. where the cost is determinable, either the cost or the total cost, and

          2. where the cost is not determinable, the notification required pursuant to clause (iii) of the definition of cost in subsection 3802(1),

        2. and

        3. a notation setting out the definitions of the calculation methodologies used to calculate the individual position cost information included in the statement, provided that where the individual position cost information included in the statement is calculated using:

          1. the book cost calculation methodology, the language set out in the definition of book cost in subsection 3802(1) or language that is substantially similar must be used as the notation, and

          2. the original cost calculation methodology, the language set out in the definition of original cost in subsection 3802(1) or language that is substantially similar must be used as the notation,

      7. the total market value of all cash and security positions in the account, and

      8. where the client is a retail client and the statement is a quarterly statement, the total cost of all cash and security positions in the account.

    4. In the case of clients with any security positions which might be subject to a deferred sales charge if they are sold, a notation identifying each security position that might be subject to a deferred sales charge.

    5. In the case of clients with any unexpired and unexercised futures contract options, open futures contracts, or exchange contracts, the monthly statement must contain, at a minimum, the following:

      1. each unexpired and unexercised futures contract option,

      2. the striking price of each unexpired and unexercised futures contract option,

      3. each open futures contract, and

      4. the price at which each open futures contract was entered into.

    6. In the case where a Dealer Member has acted as an agent in connection with a liquidating trade in a futures contract, the monthly statement must contain, at a minimum, the following:

      1. the dates of the initial transaction and liquidating trade,

      2. the commodity and quantity bought and sold,

      3. the commodity futures exchange upon which the contracts were traded,

      4. the delivery month and year,

      5. the prices on the initial transaction and on the liquidating trade,

      6. the gross profit or loss on the transactions,

      7. the commission, and

      8. the net profit or loss on the transactions.

    7. In the case of transactions involving securities of the Dealer Member or a related issuer of the Dealer Member, or in the course of a distribution to the public, securities of a connected issuer of the Dealer Member, the monthly statement must state that the securities are securities of the Dealer Member, a related issuer of the Dealer Member or a connected issuer of the Dealer Member, as the case may be.

    8. If a Dealer Member does not deposit clients’ free credit balances in a trust bank account, the client statement must include the following notation:

      1. “Any free credit balances (except for RRSP funds held in trust) represent funds payable on demand which, although properly recorded in our books, are not segregated and may be used in the conduct of our business.”

    There is no history log for this rule.

    There is no history log for this rule.