TORONTO, Dec. 16 /CNW/ - The Investment Industry Association of Canada
(IIAC) commends Finance Minister Jim Flaherty for announcing a
framework for Pooled Registered Pension Plans (PRPPs).
"Pooled Registered Pension Plans fill an identified gap in retirement
savings options by providing small companies and self-employed
Canadians with an alternative retirement savings vehicle," said Ian
Russell, President and CEO, IIAC. "PRPPs offer the potential for
economies of scale to lower administration costs and management fees."
The proposed disclosure and portability through harmonized rules
increase the appeal of this retirement savings plan.
The Association recommends that investment dealers registered with the
Investment Industry Regulatory Organization of Canada (IIROC) should be
eligible as PRPP administrators to broaden the choice for Canadian
businesses and self-employed individuals interested in PRPPs.
"Registered investment dealers in Canada are effectively regulated,
subject to high standards of proficiency, conduct, operation and
governance. Investment dealers already administer registered
retirement savings products, such as RRSPs, for their clients," said
Russell. "Investment dealers should be permitted to administer PRPPs,
subject to appropriate custodial arrangements with regulated trust
companies, as for other registered retirement products."
The Investment Industry Association of Canada (IIAC)
The Investment Industry Association of Canada (IIAC) is a member-based
professional association that advances the growth and development of
the Canadian investment industry. The IIAC acts as a strong, proactive
voice to represent the interests of our member firms, which range in
size from small firms to large organizations that employ thousands of
individuals across the country. Our members work with Canadians to help
build prosperity and investment security for investors and their
families. For more information, please visit www.iiac.ca.
SOURCE Investment Industry Association of Canada (IIAC)
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