Submitted by nsscadmin on
The Mutual Fund Dealers Association of Canada (MFDA) is the self-regulatory organization that oversees mutual fund dealers in Canada. All salespeople employed by mutual fund dealers in Canada must be licensed with a provincial securities regulator and also be employed with a firm that is a member of the MFDA.
The MFDA was established in 1998 in response to the rapid growth in the mutual fund industry over the previous decade. They are responsible for regulating the operations of their members and salespeople, as well as setting standards of practice and business conduct. The aim of the MFDA is to enhance investor protection and strengthen public confidence in the Canadian mutual fund industry.
The MFDA monitors and enforces compliance to its members in Canada. They also impose disciplinary measures and sanctions against members when necessary.
The MFDA’s latest statistics, updated November, 2017, indicate the MFDA has 91 members. All MFDA members can be found on the MFDA website in their member directory. Making up these 91 members are 81,102 mutual fund salespersons, registered in every province and territory in the country. The 91 members and salespeople represent approximately $574.4 billion of mutual fund assets under management.
On January 1, 2023 the MFDA was merged with the Investment Industry Regulatory Organization of Canada (IIROC) to form the New SRO. The New SRO consolidates the functions of IIROC and the MFDA. The New SRO regulates mutual fund dealers, investment dealers, and acts as the regulation services provider for marketplaces that have retained it as such, including monitoring trading on those marketplaces for compliance with New SRO rules and securities legislation.
For more information on the New SRO visit - https://www.newselfregulatoryorganizationofcanada.ca/