TORONTO, Aug. 30 /CNW/ - The Investment Industry Regulatory Organization
of Canada (IIROC) has introduced a new resource to help investors learn
the background of advisors who are currently approved to work at
IIROC-regulated firms. In a single, easy-to-generate online report,
investors can obtain relevant information that will help them make
informed decisions when choosing an advisor.
With the new IIROC AdvisorReport, investors
will be able to immediately access current information on an advisor's
educational background including industry courses that are completed for
proficiency requirements; find out what functions or roles the advisor
has received IIROC approval to perform; and learn about the advisor's
"Recent frauds and Ponzi schemes that have victimized investors
underscore the need to give investors better tools to verify that their
financial advisor is registered with and regulated by a securities
industry regulator," said Susan Wolburgh Jenah, IIROC President and
Chief Executive Officer.
"That's why we are taking steps to help investors readily access
relevant information about an individual or firm. In addition to IIROC
AdvisorReport, we have developed a new brochure Why
IIROC Matters to You, the Investor, that describes the benefits of
working with an IIROC- regulated firm and approved registrant and a new
web site feature Know Your Advisor."
IIROC AdvisorReport is the central feature in
the new Know Your Advisor section of the IIROC
Your Advisor provides background detail on the information found in
the IIROC AdvisorReport, including
explanations of the IIROC approval categories, Frequently Asked
Questions and search tips. Know Your Advisor also
helps investors to find information about individuals or firms who are
regulated by other Canadian regulatory organizations. There is a link,
for example, to the Canadian Securities Administrators' National
Registration List and Disciplined Persons List.
IIROC AdvisorReport builds on IIROC's earlier
service, the Member Firm/Registrant Info Service, which was launched in
2003. This popular service recently averaged more than 1,700 visits per
month online. It was a two-step service, with IIROC disciplinary records
available through one search tool at href="http://www.iiroc.ca/English/Pages/home.aspx">www.iiroc.ca
and information on current approval categories, educational background
(including industry courses completed for required proficiency
standards) and any terms and conditions placed on approval or
registration, available only through written request to IIROC. This
two-step process is being eliminated and IIROC AdvisorReport
now consolidates this information in one, easy-to-use report.
IIROC is the national self-regulatory organization which oversees all
investment dealers and trading activity on debt and equity marketplaces
in Canada. Created in 2008 through the consolidation of the Investment
Dealers Association of Canada and Market Regulation Services Inc., IIROC
sets high quality regulatory and investment industry standards, protects
investors and strengthens market integrity while maintaining efficient
and competitive capital markets.
IIROC carries out its regulatory responsibilities through setting and
enforcing rules regarding the proficiency, business and financial
conduct of dealer firms and their registered employees and through
setting and enforcing market integrity rules regarding trading activity
on Canadian equity marketplaces.
Backgrounder: IIROC AdvisorReport
What is IIROC AdvisorReport?
AdvisorReport is an enhanced and redesigned
report that allows investors to find background information on
individuals currently approved to work at IIROC-regulated firms. This
easy-to-use, plain language resource helps investors do their due
diligence in choosing an advisor.
IIROC AdvisorReport builds on IIROC's earlier
service, Member Firm/Registrant Info Service, which was established in
2003. That popular service recently averaged 1,700 visits per month
Now, with IIROC AdvisorReport, investors can
go to the Investors
section of the IIROC website and use the online search function to
immediately generate a full, up-to-date and easy-to-print report.
Improvements over the old service
Easier to use. Previously, investors could
use the IIROC website to search disciplinary records for advisors
approved to work at IIROC-regulated firms. However, information about
what their advisor was qualified to do and whether there were any
terms or conditions on his or her registration status was only
available by mailing a request form to IIROC or submitting it online.
The two-step process is now being eliminated. IIROC AdvisorReport
provides a user-friendly search function which provides all the
information in one report.
Faster. With the old service, IIROC staff
responded within 5 business days to requests for this additional
information. The new IIROC AdvisorReport
provides a full, up-to-date and easy-to-print report immediately.
More information in one place. Previously,
investors could obtain information about an advisor from a number of
different sources. IIROC AdvisorReport now
consolidates information in one report.
What information does IIROC AdvisorReport contain about
an advisor's educational background, qualifications and disciplinary
Advisors must meet educational standards to receive IIROC approval to
work in specific positions at their firms. The AdvisorReport
provides information about an individual's educational background
including industry courses that have been completed to attain certain
Using the IIROC AdvisorReport, investors can
get information on a registrant's:
Current IIROC approval status;
Employment history with IIROC member firm(s);
Approval categories, which identifies functions or roles the advisor
has received IIROC approval to perform;
Educational background, including relevant industry exams/courses;
Any past disciplinary record with IIROC; and
Information regarding disciplinary regulatory proceedings with
securities regulatory authorities, other self-regulatory organizations
or non-securities regulators that the registrant has reported to the
National Registration Database ( NRD).
IIROC AdvisorReport information is current.
This is because the information is drawn from the NRD at the end of each
business day, and from IIROC's disciplinary
records posted on the IIROC website. Each page of the report is
date-stamped to eliminate any confusion about the timeliness of the
IIROC Disciplinary Information
IIROC AdvisorReport will provide all
disciplinary records for advisors currently registered with
IIROC-regulated firms. These include all public IIROC disciplinary
Notices of Hearing;
Reasons and Decisions of Hearing Panels;
Settlement Agreements; and
What is not provided by IIROC AdvisorReport?
IIROC AdvisorReport provides information on
current registrants only.
However, the public will continue to be able to obtain disciplinary
records for past registrants - as well as for firms that are members or
past members - by using the existing Consolidated
Enforcement Actions IIROC website search tool.
Also, there are some limits to the historical information that the
report can provide. In particular, the AdvisorReport
database does not include:
Employment information for advisors prior to March 2003; and
IIROC disciplinary action prior to September 1997
This information is still available by contacting IIROC.
Know Your Advisor Web Feature
IIROC AdvisorReport is located in Know your
Advisor, a new feature in the Investors section of the IIROC website.
Know Your Advisor is a comprehensive starting point
to find information on registrants at IIROC-regulated firms. It offers
additional resources to help investors use the IIROC AdvisorReport
and to do due diligence on advisors generally, including:
IIROC's online Investors section also includes valuable information on:
The Making a Complaint section provides links to IIROC's "Making a
Complaint" webcast and the IIROC brochure, "An Investor's Guide to
Making a Complaint." Both of these resources tell investors how to make
a complaint to an IIROC-regulated firm and to IIROC.
Investor information and complaints line
IIROC offers the public a 1 800 information line for complaints and
inquiries. This recently updated bilingual service offers four options:
1) General information about IIROC; 2) Information about complaints
regarding an IIROC-regulated investment dealer or its registered staff;
3) Complaints about marketplace matters, or inquiries about marketplace
matters such as halts and resumptions; and 4) Information about the
different compensation options available to clients of IIROC-regulated
firms. Contact IIROC at 1.877.442.4322.
SOURCE Investment Industry Regulatory Organization of Canada (IIROC) - General News
For further information: For further information:
Vice President, Public Affairs