On March 6, 2024, the Financial Services Regulatory Authority of Ontario (FSRA) released proposed guidance (Proposed Guidance) outlining FSRA’s interpretation of the licensing suitability requirements and FSRA’s approach to assessing an applicant’s suitability to hold a mortgage agent or mortgage broker license in Ontario. The Proposed Guidance also explains the oversight role of brokerages and principal brokers and can serve as a guide for screening applicants. In addition to setting out key factors FSRA considers when assessing licensing suitability, the Proposed Guidance sheds light on what FSRA considers to be a reasonable system for the oversight of broker and agent compliance. The Proposed Guidance is the first time FSRA has issued guidance to the sector on this topic. Members of this sector may be interested in tuning in to FSRA’s webinar on April 17th to learn more about the Proposed Guidance. The consultation on the Proposed Guidance is open for stakeholder feedback until May 6, 2024.

March 28, 2024