As part of a registrant’s legal obligations, the Chief Compliance Officer (CCO) is required to submit an annual report to the firm’s board of directors (or individuals acting in a similar capacity) assessing compliance by the firm, and individuals acting on its behalf, with securities legislation. Generally, the beginning of the year is a great time to assess compliance during the previous calendar year.
Click the link to read more. >> AUM Law Bulletin Annual CCO Report January 2014
As of February 19, 2014, firms will be required to file most documents with the OSC via its new electronic filing portal page.
Click the link to read more. >> AUM Law Bulletin Electronic Filing February 2014
On February 1st, 2014, amendments to the Proceeds of Crime Act (Money Laundering) and Terrorist Financing Regulations came into force. At the same time, the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) released new guidelines on how the amendments will affect registered firms.
Click the link to access our bulletin summarizing these changes. >> AUM Law Bulletin FINTRAC Update February 2014
The Ontario Securities Commission (OSC) announced a new program for fee relief for small registered firms and reporting issuers in Ontario that experienced a large decline in revenue last year.
Click the link to read more. >> AUM Law Bulletin OSC Relief for Small Market Participants February 2014
Les sociétés inscrites comme conseillers ou courtiers auprès de l’Autorité des marchés financiers (AMF) au Québec doivent préparer et envoyer à l’AMF leur rapport semestriel concernant toutes les plaintes qu’elles ont reçues entre le 1er janvier et le 30 juin 2014.
Click the pdf icon to read more. >>
Since our last update on the Foreign Account Tax Compliance Act (FATCA) and the related Intergovernmental Agreement between Canada and the United States for the Enhanced Exchange of Tax Information under the Canada–United States Tax Convention dated February 5, 2014 (the IGA), there have been new developments that have begun to affect Canadian financial institutions (Canadian FIs), including investment fund managers (IFMs), portfolio managers (PMs) and exempt market dealers (EMDs).
Click the link to access our bulletin summarizing these developments. >> AUM Law Bulletin What the FATCA December 2014
Our January bulletin discussed the Ontario Securities Commission’s one-time late fee
amnesty for outside business activities (OBAs) that were not previously reported on
time. The deadline to submit your application is March 27, 2015.
Click the link to access our bulletin summarizing these developments. >> AUM Law Bulletin February OBA Reminder February 2015
Registered firms have ongoing obligations under securities legislation to inform the Ontario Securities
Commission (OSC) of certain changes to a firm or a registered individual’s information. Failure to
notify the OSC within 10 calendar days of most of these changes can lead to a $100 late fee per day up
to a maximum of $5,000 per year, going back two years ($10,000).
Click the pdf icon to access our bulletin summarizing these changes. >>
The following is a warning for all firms about a frequent scam we have seen perpetrated in the securities industry over the past number of years. We want to take this opportunity to warn everyone to be wary any time a client asks you to transfer their assets to a bank account that you were not previously made aware of.
Click the link to read more. >> AUM Law Bulletin Fraudulent Scheme Alert March 2014
Over the last three years, securities regulators in the United States and Canada have proposed major reforms to securities law requirements to facilitate “equity crowdfunding”, or the sale of securities by issuers to large numbers of investors through online portal intermediaries.
With final rules for equity crowdfunding expected to be in place in 2015, widespread equity crowdfunding may soon become a reality in the United States and Canada. However, even in the absence of these rules, more limited forms of equity crowdfunding are already occurring here and in the United States.
Click the link to access our nutshell summarizing these developments. >> AUM Law Nutshell Equity Crowdfunding Portals
The Canadian Securities Administrators (CSA) announced yesterday that they have adopted a number of important changes to National Instrument 45-106 Prospectus and Registration Exemptions (NI 45-106) to address investor protection concerns, facilitate capital raising and further harmonize these exemptions. Subject to necessary ministerial approvals, these changes are expected to take effect May 5, 2015.
Click the link to access our bulletin summarizing these developments. >> AUM Law Bulletin Changes to Exemptions in NI 45-106 February 2015
With the beginning of a new year, you may have resolved to break a habit, get into better shape or turn over a new leaf in some way. Along with those aspirations, you will also want to remain aware of the following new developments and requirements for registered firms:
- Late Fee Amnesty for Certain Outside Business Activities
- Registered Firms that Distribute Products Through Third-Party Dealers
- Trustees as Permitted Individuals
- Extension of Certain CRM2 Timelines
Click the link to access our bulletin summarizing these developments. >> AUM Law Bulletin Kicking Off 2015 January 2015
Cliquez ici pour la version française. >> Coup d’envoi de 2015
On December 31, 2013, the OSC Rule 91-507 – Trade Repositories and Derivatives Data Reporting (the TR Rule) became effective. The TR Rule requires that all over-the-counter (OTC) derivative transactions involving a local counterparty be reported to a designated trade repository in Ontario. The reporting obligations for trades in derivatives are effective for derivatives dealers and clearing agencies as of July 2, 2014 and for local counterparties that are not derivatives dealers as of September 30, 2014.
To satisfy reporting requirements, a Legal Entity Identifier (LEI) must be provided for each derivatives transaction.
Click the link to access our bulletin. > > AUM Law Bulletin Derivatives Trade Reporting and Legal Entity Identifiers April 2014
The Canadian Securities Administrators has announced that the date for the commencement of over-the-counter (OTC) derivatives trade reporting pursuant to OSC Rule 91-507 – Trade Repositories and Derivatives Data Reporting (the TR Rule) has been delayed for derivatives dealers and clearing agencies from July 2, 2014 until October 31, 2014, and for all other OTC derivatives market participants from September 30, 2014 until June 30, 2015.
Click the link to access our bulletin. > > AUM Law Bulletin Derivatives Trade Reporting Implementation Date Extension April 2014
In recent weeks, we have noticed a new trend in field review reports (also referred to as “deficiency letters”) from the Ontario Securities Commission. In the deficiency letters, the OSC has increasingly noted that not adequately addressing the area of risk management in a firm’s written policies and procedures is a deficiency.
Click the link to access our bulletin. > > AUM Law Bulletin Trends In Risk Management Policies and Procedures April 2014