Policy options for leveling the advisor compensation playing field

Summary/details:

Currently, Approved Persons governed by the Mutual Fund Dealer (MFD) Rules of the Canadian Investment Regulatory Organization (CIRO) are permitted to utilize an approach where the compensation they have earned through a sponsoring Dealer Member is paid to a party other than themselves. Approved Persons governed by the CIRO Investment Dealer and Partially Consolidated (IDPC) Rules, are not permitted to use such an approach.

Enclosed is a position paper which analyses three policy options for leveling the Approved Person compensation playing field, sets out CIRO’s preliminary position on the option to pursue and requests public comment on which option we should pursue.

Included in the position paper are a few specific questions we have asked to assist us with our analysis of the policy options. We would appreciate if you could include responses to these questions within any comments you provide on the paper.

Date opened: January 25, 2024

Date closed:

Status: Active

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