Regulators

Investment Industry Regulatory Organization of Canada (IIROC)

The Investment Industry Regulatory Organization of Canada, IIROC, was established on June 1, 2008 as a non-profit organization consisting of the Investment Dealers Ass...

Forex Regulatory Tips

IIROC regulates all investment dealers and trading activities including foreign exchange transactions.

List of Regulated Companies

A total of 167 companies are regulated and licensed foreign exchange brokers. The full name is abbreviation. Regulatory status. Acumen Capital Finance Partners Limited Acumen Capital Finance Partners Regulated AGF Securities (Canada) Limited AGF Securities Regulated Aligned Capital Partners Inc. Aligned Capital Partners Regulated Argosy Securities Inc. Argosy Securities Regulated Arton Investments Arton Regulated Assante Capital Management Ltd. Assante Capital Management Regulated ATB Securities Inc. ATB Securities Regulated

Organization Profile

Institutional nature
Canada's Investment Industry Regulatory Organization is the national self-regulatory organization that oversees all investment dealers, lending activities and stock market trading activities. IIROC sets stringent regulatory and investment industry standards to protect investors and enhance market integrity while maintaining efficient and competitive capital markets.
On June 1, 2008, the Canadian investment industry regulatory organization IIROC was established. As a not-for-profit organization, IIROC consists of the Investment Dealers Association of Canada (IDA) and Market Regulation Services (RS).
Institutional Values
Honesty: uphold fairness and professionalism, and be ethical
Responsible: Timely and efficient handling of affairs
Positive: Embrace innovation and use it to meet challenges. Seek multi-party cooperation

Licence application

I. Application requirements
1. Minimum registered capital
Different types of brokers have different capital requirements. There are two types: CAD 250,000/CAD 75,000, which is converted into RMB 1.24 million/370,000 yuan.
Introducing Broker:
The minimum capital for a Type 1 Introducing Broker should always be above CAD 75,000.
The minimum capital for Type 2 Introducing Brokers should always be above CAD 250,000.
The minimum capital for Type 3 Introducing Brokers should always be above CAD 250,000.
2. Organizational Structure
(1) Each dealer member needs to establish and maintain an appropriate internal control system.
(2) The person in charge or executive director of the dealer member must be approved by the IIROC organization.
(3) At least 40% of the principals remain active in the business operations of the dealer's member firm, or hold equivalent positions in the relevant affiliated securities dealers or other affiliated financial institutions, and have at least 5 years of experience in the financial services industry.
(4) All executive directors of the dealer are required to remain active in business operations. Among them, no less than 60% of executive directors have more than 5 years of industry experience.
3. Physical Office
IIROC requires member companies to establish a physical office in Canada. The specific requirements are as follows:
(1) Established under the federal law of Canada. Companies outside of Canada need to have a partnership with a Canadian entity (and apply for membership in IIROC). Canadian applicants need to meet all membership requirements;
(2) Need to operate business as a dealer in Canada;
(3) Meet the requirements for registration in the Canadian administrative region;
Its holding and related companies, principals, partners, directors and employees comply with IIROC rules.
2. Application Fee
Fees paid by dealer members to the IIROC organization include:
1. A one-time enrollment fee of CAD 25,000. After a successful application, a non-refundable security deposit of $10,000 is required.
2. Based on the IIROC certification order, traders members pay a one-time dues to the IIROC Limited Fund. Annual fees are based on the following factors:
(1) Turnover of dealer member companies;
(2) CAD 250/registered individual.
When the combined amount of the turnover dues portion and the registered individual dues portion is less than $27,500, the minimum fee is either $15,000 or $27,500, depending on IIROC's cost of regulatory services to the company.

Regulatory Rules

1. Leverage Limits
IIROC does not specify the leverage limit for foreign exchange transactions.
2. Segregated accounts
Dealer members must maintain trust accounts for client funds.
All fully paid or excess margin securities of clients held by dealer members shall be segregated and determined to be held in trust.
3. Negative Balance Protection
IIROC has not specified a negative balance protection mechanism.
4. Regular reports
According to documents published by IIROC, regulated companies are required to submit transaction reports, annual financial audit reports and anti-money laundering reports, client asset reports, major position reports, and more. The types of trade reports vary by the type of broker. Among them,
(1) Transaction report
Dealer members are required to submit a report to the IIROC organization on every transaction, including every transaction by a dealer in government securities.
(2) Financial Audit Report
(a) At the end of each fiscal month or other date agreed upon, submit a copy of the monthly financial statements to the IIROC organization;
(b) At the end of each fiscal year or such other date as agreed upon, submit 2 copies of the annual audited financial statements to the IIROC organization;
(c) The financial statements of the dealer member need to be submitted to the dealer member auditor within 7 weeks of the specified time;
(3) Client Funds Report
When calculating risk-adjusted capital, the passing broker should report on the accounts of all clients introduced by the introducing broker.
(4) Client Net Assets Report
For clients introduced by an introducing broker, the transfer broker needs to ensure that the client's account assets meet the requirements.
(5) Main position report
Introducing Brokers are required to report the primary positions of the Carrying Broker. The Carrying Broker is required to report the major positions of the Introducing Broker in the client's account.

Regulatory Inquiries

The first step: Open the official website of the Canadian investment industry regulatory organization IIROC: http://www.iiroc.ca
Step 2: Click "Who We Regulate" on the right side of the website and select "List of regulated dealer firms".

Step 3: The list page of companies regulated by IIROC has been reached here, and you can search for regulated companies according to the icon. There are 4 ways in total.
1. Search by the initials of the company name;
2. Click "All" to view all regulated companies;
3. Click "Excel" to download the list of regulated companies;
4. Click "IIROC Dealer Members by Peer Group" above the list to download the PDF list.

Regulatory complaints

1. Inquiry link for regulated institutions: http://www.iiroc.ca/industry/Pages/Dealers-We-Regulate.aspx
2. Complaint provisions
1. Regarding service complaints, IIROC requires all agencies to respond to all letter/mail complaints in writing.
2. Regarding complaints about account violations, the supervised institution must: accept the complaint within five working days; give the final handling result within 90 days, which must include: the complaint summary, the investigation result and the reasons for the final solution. If the result is unsatisfactory, information such as which institutions should apply for a claim.
3. If no reply is received within 90 days, the supervisory authority must inform the reason for the delay and the processing period.
4. IIROC encourages investors to submit complaints to IIROC. Complaints to IIROC and financial institutions can be carried out at the same time. Submitting a complaint to IIROC can better ensure that the regulatory agency is in compliance with regulations and regulations. The scope of our actions is: warning, investigation, filing formal procedures and hearings.
3. Complaint method
Phone: 1-877-442-4322.
Email: [email protected] (please attach your personal contact number)
Online Complaints: https://complaints.iiroc.ca/InitialSelect_en.asp
Complaint Form PDF: http://www.iiroc.ca/investors/makingacomplaint/Documents/ComplaintForm_en.pdf
Note: IIROC is not a dispute settlement agency and does not handle claims, but IIROC will accept complaints regardless of whether they are regulated by IIROC.
4. Complaint process
(1) Complain directly to the company
(2) Select the following channels (provided free of charge):
(A) Canadian Investor Protection Fund (CIPF)
(B) OBSI, the banking services and investment watchdog, awarded up to $350,000
(C) French Financial Markets Authority AMF (Quebec residents)
(D) The Investor Protection Clinic at Osgoode Hall Law School (providing legal advice, writing letters to companies or regulators on behalf of investors, or attending hearings on behalf of investors)
(3) If you are not satisfied, you can enter the IIROC arbitration, with a maximum compensation of 500,000 Canadian dollars (the arbitration fee shall be shared equally by the complainant and the regulated company)
(4) Court of Appeal
5. Bankruptcy liquidation
(1) The Canadian Investor Protection Fund (CIPF) is responsible for handling client asset compensation in the event of a company bankruptcy.
(2) IIROC provides compensation protection of up to 1 million Canadian dollars for the liquidation of all account assets of the customer with the same bankrupt company.
Related questions and answers:
1. Who are the CIPF member companies?
The member companies are investment dealer members of the IIROC organization. There are currently approximately 170 investment dealers in Canada that are members of the CIPF.
2. What is the upper limit of compensation?
CIPF can provide its clients with indemnity protection in the event of a member firm's bankruptcy. The maximum compensation is as follows:
CIPF may indemnify individuals who hold one or more accounts with the same member firm:
(1) The total amount of compensation for all general accounts shall not exceed 1 million Canadian dollars;
(2) The total compensation for all registered pension accounts shall not exceed 1 million Canadian dollars;
(3) The total compensation for all registered trading fund plans shall not exceed 1 million Canadian dollars.
For the compensation limit of other account types, please refer to the CIPF official website:
1. Who are the CIPF member companies?
The member companies are investment dealer members of the IIROC organization. There are currently approximately 170 investment dealers in Canada that are members of the CIPF.
2. What is the upper limit of compensation?
CIPF can provide its clients with indemnity protection in the event of a member firm's bankruptcy. The maximum compensation is as follows:
CIPF may indemnify individuals who hold one or more accounts with the same member firm:
(1) The total amount of compensation for all general accounts shall not exceed 1 million Canadian dollars;
(2) The total compensation for all registered pension accounts shall not exceed 1 million Canadian dollars;
(3) The total compensation for all registered trading fund plans shall not exceed 1 million Canadian dollars.
For the compensation limit of other account types, please refer to the CIPF official website: http://www.cipf.ca/

Penalties

IIROC has the power to exercise a range of sanctions: fines of up to $5 million for traders, fines of up to $1 million for statutory individuals (or three times the amount of their undue advantage), reprimands, Suspension or permanent revocation of authorization, expulsion.

Related Links

AMF Quebec: http://www.lautorite.qc.ca
Canadian Alternative Dispute Resolution Arbitration Commission: http://adrchambers.com
Canadian Commercial Arbitration Centre: http://www.ccac-adr.org/en
Banking Services and Investment Mediation Specialist: http://www.obsi.ca
Canadian Investor Protection Fund: http://www.cipf.ca.

Contact information

Address: Suite 2000, 121 King Street West, Toronto, Ontario, M5H 3T9
Tel: (416) 364-6133
Toll Free: 1.877.442.4322
Fax: (416) 364-0753
Email: [email protected]

Relevant Navigation

No comments

No comments...