CSA/NSSC Regulatory Review May-July 2022

The last three months were a busy time for securities regulators. Several releases and notices were issued by the Nova Scotia Securities Commission and the Canadian Securities Administrators. In case you missed any of these releases or notices here’s a quick rundown on what they meant for issuers and investors and links to the documents, where you can find the full details. This month’s review covers May and July and also a few notices that were issued at the end of April after our last regulatory review blog post.

April 28 - Canadian securities regulators publish annual activities report on oversight of the SRO and investor protection funds

The Canadian Securities Administrators (CSA) published CSA Staff Notice 25- 303 2021 CSA Annual Activities Report on the Oversight of the Self-Regulatory Organizations (SROs) and Investor Protection Funds (IPFs).

The report summarizes CSA oversight of the SROs and IPFs during the 2021 calendar year. The SROs are the Investment Industry Regulatory Organization of Canada (IIROC) and the Mutual Fund Dealers Association of Canada (MFDA), and the IPFs are the Canadian Investor Protection Fund and the MFDA Investor Protection Corporation.

April 28 - Canadian financial regulators propose total cost reporting for investment funds and segregated funds

 The Canadian Securities Administrators (CSA) and the Canadian Council of Insurance Regulators (CCIR) published proposals that would enhance total cost reporting for investment funds and segregated funds. These proposed changes aim to improve the transparency of total fees and costs paid by mutual fund investors and segregated fund holders

May 10 - Settlement Agreement Approved for Orthogenic Technologies Inc.

The Nova Scotia Securities Commission has approved a settlement agreement with Orthogenic Technologies Inc. (O-Tech). O-Tech is an orthotic product development company located in the Province of Ontario. O-Tech is not a reporting issuer in any Canadian jurisdiction.

May 12 - Canadian securities regulators announce boards of new SRO and IPF and seek comment on draft documents

The Canadian Securities Administrators (CSA) announced the proposed board members of the new self-regulatory organization (SRO) and investor protection fund (IPF), and the publication for comment of several documents necessary to launch the new SRO and IPF.

May 16 - Canadian securities regulators authorize discontinuation of the Canadian Dollar Offered Rate

The Ontario Securities Commission (OSC) and the Autorité des marches financiers (AMF) published notices authorizing the discontinuation of the Canadian Dollar Offered Rate (CDOR), a designated critical benchmark.

June 9 - Canadian securities regulators propose changes to enhance derivatives data reporting

Members of the Canadian Securities Administrators (CSA) published for comment proposed amendments designed to streamline and internationally harmonize over-the-counter derivatives data reporting standards. These amendments are expected to reduce the complexity of market participants’ reporting systems and decrease ongoing operational and compliance costs while improving the consistency and quality of the data available to regulators and the public.

June 14 - Canadian Securities Administrators Appoint New Chair and Vice-Chair

The Canadian Securities Administrators (CSA) today announced the appointment of Stan Magidson, Chair and CEO of the Alberta Securities Commission (ASC), as Chair of the CSA for a three-year term, effective July 1, 2022.

Mr. Magidson succeeds Louis Morisset, President and CEO of the Autorité des marches financiers who has served as the Chair of the CSA since April 1, 2015.

June 15 - Canadian securities regulators highlight CSA 2019-2022 Business Plan achievements

The Canadian Securities Administrators (CSA) today released its Achievement Highlights report that summarizes the progress made on the strategic initiatives published in the CSA 2019-2022 Business Plan.

June 15 - Canadian Securities Administrators encourages older Canadians to learn about and watch for signs of financial abuse

As part of World Elder Abuse Awareness Day (WEAAD) on June 15, 2022, the Canadian Securities Administrators (CSA) is launched a public awareness campaign focused on helping older adults identify and protect themselves against financial abuse and scams.

June 20 - Joint Forum of Financial Market Regulators receive early feedback regarding total cost reporting and climate change

The Joint Forum of Financial Market Regulators (Joint Forum) held its annual meeting on June 15, 2022. The Joint Forum brings together members of the Canadian Securities Administrators (CSA), the Canadian Council of Insurance Regulators (CCIR), the Canadian Association of Pension Supervisory Authorities (CAPSA) and representatives from the Canadian Insurance Services Regulatory Organizations (CISRO), as well as from the Mortgage Broker Regulators’ Council of Canada (MBRCC).

June 23 - CSA Staff Notice 21-332 Information Processor for Exchange-Traded Securities other than Options

Canadian Securities Administrators (CSA) published a notice to inform the public that the TMX Information Processor (TMX IP) will continue to act as an information processor (IP) for exchange-traded securities other than options1 under National Instrument 21-101 Marketplace Operation (NI 21-101) until June 30, 2026. This notice discusses the role of the IP and the terms and conditions under which it will continue to operate.

June 27 - Andrew J. Kriegler to lead Canada’s new SRO

The Canadian Securities Administrators (CSA) announced that the Investment Industry Regulatory Organization of Canada (IIROC) and the Mutual Fund Dealers Association of Canada (MFDA) have approved Andrew J. Kriegler as Chief Executive Officer (CEO) of the new self-regulatory organization (SRO) when it is formed.

June 27 - Canadian securities regulators release 2022-2025 Business Plan focused on investor protection in an innovative financial marketplace

The Canadian Securities Administrators (CSA) released the 2022-2025 CSA Business Plan, which outlines the priorities of its members over the next three years. The plan coincides with the appointment of Stan Magidson, Chair and CEO of the Alberta Securities Commission (ASC), as the new Chair of the CSA for a three-year term, effective July 1, 2022.

June 29 - CSA 2021-2022 Enforcement Report highlights Canadian securities regulators’ actions to pursue wrongdoing and hold securities law violators accountable

The Canadian Securities Administrators (CSA) today released its fiscal year 2021-2022 Enforcement Report which outlines the specific actions that CSA members undertook in the past year to detect, disrupt and deter wrongdoing and hold securities law violators accountable.

June 30 - Canadian securities regulators extend comment period on mineral disclosure consultation

The Canadian Securities Administrators (CSA) extended the comment period for its consultation paper on national standards for disclosing scientific and technical information about mineral projects.

July 14 - CSA announces establishment of new Investor Advisory Panel

The Canadian Securities Administrators (CSA) announced establishment of the CSA Investor Advisory Panel (CSA IAP), and the appointment of its first members.