Significant implementation delays announced for client focused reforms and IIROC plain language rules
In a series of announcements this week, the CSA, IIROC and the MFDA delayed the implementation of certain significant regulatory initiatives, primarily as a result of the COVID-19 situation. Specifically, the implementation of certain Client Focused Reforms (CFRs) and IIROC’s Plain Language Rules (PLRs) will be delayed as follows:
- CFRs – conflicts of interest provisions: the effective date by which registrants will have to comply with the conflicts of interest provisions in the CFRs is postponed by six months, until June 30, 2021.
- CFRs – relationship disclosure information (RDI): the implementation of the RDI provisions of the CFRs is delayed by a year, until December 31, 2021.
- PLRs: the implementation of IIROC’s PLRs is delayed by a year and a half, until December 31, 2021.
The CFRs are a significant regulatory initiative based on the concept that in the client-registrant relationship, the interests of the client come first.
IIROC’s PLRs will introduce both material and non-material changes to the IIROC dealer member rules, including changes to registration requirements, such as the re-introduction of the categories of Associate Portfolio Managers and Portfolio Managers, and changes to proficiency requirements.
client focused reforms relationship disclosure information Plain Language Rules