Top News

Jul 21 2014

How to Protect Clients with Signs of Cognitive Impairment

We’re living longer. That’s mostly something to celebrate. But added longevity comes with a cruel cost: many of us will end up battling Alzheimer’s disease or some other form of dementia. And none of us will win that battle. The risk of developing dementia doubles every five years after age […]

Jul 21 2014

FAIR Canada Suggestions on Senior Financial Literacy Strategy

FAIR Canada has provided a comment letter to Canada’s new Financial Literacy Leader in response to a public consultation on the National Strategy for Financial Literacy relating to seniors. In particular, FAIR Canada stressed the importance of recognizing the context within which seniors (and all Canadians) make financial decisions, including the trust and reliance placed on those who provide financial advice. The letter notes that some industries’ business models seem to perpetuate a system of many firms with ineffective competition on price and quality to consumers…

Jun 27 2014

OSC: Commit to Action on Investor Protection Priorities

At the beginning of June, FAIR Canada provided comments on the Ontario Securities Commission’s (OSC) draft statement of priorities for 2014-2015. While FAIR Canada recognized the OSC for its commitment to investor protection to date, our letter expresses concern that the draft priorities focus more on capital formation and regulatory burden than investor protection. FAIR Canada found…

Jun 27 2014

Eliminate OM Exemption

FAIR Canada submitted a letter to several members of the Canadian Securities Administrators regarding their offering memorandum (OM) exemption on June 18, 2014. The letter expresses serious concern regarding the compliance record relating to the OM exemption. It also notes the absence of evidence that the OM exemption has reduced the cost or increased the amount of capital for start-ups or small and medium enterprises…

Jun 27 2014

Say No to Equity Crowdfunding

On June 18, 2014, FAIR Canada submitted a comment letter to various members of the Canadian Securities Administrators (CSA) opposing the introduction of a crowdfunding exemption and a start-up exemption. In FAIR Canada’s view, finite regulatory resources should be used to focus on initiatives that provide for strong investor protection as these are the initiatives that support true capital formation and fair and efficient markets…

Jun 27 2014

Proposed OSC Exemptions Pose Harm to Investors

FAIR Canada provided comments to the Ontario Securities Commission (OSC), in response to its request for comments on four proposed prospectus exemptions. In FAIR Canada’s view, finite regulatory resources should be used to focus on initiatives that provide for strong investor protection as these are the initiatives that support true capital formation and fair and efficient markets…

Jun 23 2014

FAIR Canada Comments on Exempt Market Proposals By Various Regulators

FAIR Canada has submitted four comment letters on the exempt market: 1) to Ontario Securities Commission on its four proposed prospectus exemptions: Equity Crowdfunding Exemption, proposed offering memorandum (“OM”) Exemption, Family, Friends and Business Associates (“FFBA”) Exemption and a Proposed Existing Security Holder Exemption; 2) to various CSA jurisdictions regarding proposed amendments to the OM Exemption and Exempt Distribution Reports;…

Jun 23 2014

Culture of Resistance is the Problem, Not Regulatory Burden

In addressing the reform of Canada’s securities laws, we all need to be careful lest these words from Groucho Marx become too true. Much of what’s on the regulatory policy agenda these days is fundamental in nature and warrants careful, non-partisan consideration. This is long-view stuff. It challenges each side to be wise instead of clever and to give ground if necessary so that progress can be made. Yet, look at the past 10 years…

May 30 2014

Flawed Premise Underlying Accredited Investor Exemption Must be Acknowledged by CSA

FAIR Canada has provided comments to the CSA in support of proposed amendments to the Minimum Amount Exemption which will result in individuals not able to use the exemption. The CSA has recognized that “…the amount invested is not a good proxy for sophistication or the ability to withstand financial loss for individual investors.” FAIR Canada believes…

May 30 2014

CSA Needs to Take Action So OBSI Can Fulfill its Mandate

Canadian regulators have mandated that all registered dealers and advisers participate in the Ombudsman for Banking Services and Investments (“OBSI”) by August 1, 2014. This expands the dispute resolution options for investors with complaints against firms directly regulated by provincial securities regulators. A CSA Staff Notice provides guidance to dealers and advisers to ensure that they properly discharge their obligations under the new requirements…

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