IIROC is proposing amendments to Dealer Member Rule (DMR) 100.2 and IIROC Rule 5400 that would allow margining of structured products using either a fixed rate or an alternative component margining methodology (Proposed Amendments).

The main purpose of the Proposed Amendments is to formally recognize a margin methodology for structured products as the current DMR and IIROC Rules do not specifically address margin requirements for these products.

The Proposed Amendments would:

IIROC is amending its rules in the core areas of account appropriateness, know-your-client (KYC), suitability, conflicts of interest, and relationship disclosure information (RDI) and introducing new rules in the core areas of product due diligence and know-your-product (KYP) (collectively, the Amendments).

IIROC is proposing amendments to the IIROC Rules and Form 1 (collectively, the Proposed Amendments) relating to the futures segregation and portability customer protection regime. The Proposed Amendments are required to align our requirements with expected rule changes at the Canadian Derivatives Clearing Corporation (CDCC), intended to meet international standards for the protection of clients in the event of a default of a clearing participant.