IIROC guidance for compensation conflicts expected in June

IIROC has released an update report on its policy priorities.

The SRO says it expects to issue a guidance note on compensation-related conflicts in June 2018. In a review last year, IIROC found firms had compensation disclosure gaps, a lack of oversight of compensation grids and policies, and a lack of supervision for fee-based accounts.

Read: What IIROC found in its conflict of interest rule review

Among several initiatives currently in the implementation phase, guidance for continuing education (effective Jan. 1, 2018) and order-execution-only firms (effective Apr. 9, 2018) may require immediate attention from dealer members, says the report.

Read: How to make yourself invulnerable to liability

Within the next three months, there could be an update on initiatives for cyber security incident reporting. The comment period for associated proposed amendments closes on May 22.

Read: Regulators focus on cybersecurity

Longer-term initiatives over the next six to 12 months include a rewrite of current dealer member rules in plain language, and enhancement of KYC and suitability assessment obligations, to be consistent with CSA’s targeted reforms.

Read: Dealers still doing inadequate KYC, finds IIROC

Read the full IIROC update report.

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.