The Canadian Securities Administrators (CSA) are proposing a series of changes to registration reporting requirements in an effort to reduce needless paperwork, while also enhancing oversight.
In a notice, the regulators set out proposed reforms to the information that must be reported by industry firms and registered reps.
Among other things, the CSA is looking to narrow the sorts of outside business activity that must be disclosed to target actual conflicts, to reduce redundant filings and to extend filing deadlines, while also giving regulators better data on the kinds of business titles that reps use.
The CSA said the changes, which are motivated by input from both the industry and regulators’ staff, are expected to produce a more efficient registration and oversight process.
“We heard from our stakeholders that certain registration information they provide can be disproportionately burdensome, and that other registration information requirements could be clearer,” said Louis Morisset, chair of the CSA and president and CEO of the Autorité des marchés financiers (AMF), in a release.
“These proposals are intended to modernize the registration information framework and provide greater clarity to registrants, while still allowing the CSA to receive the information necessary to carry out its regulatory role and protect investors,” he added.
In particular, the proposals would reduce the sorts of outside business activities that must be reported to regulators to focus on positions that could generate conflicts of interest, such as activities involving other financial sector firms and roles of influence.
The regulators would also introduce a new rule to replace the existing practice of imposing terms and conditions on reps with certain outside activities that restrict their client base; extend the deadline to report changes in registration information; and clarify other kinds of registration information requirements.
The CSA would also adopt a new rule to reduce multiple filings of the same information; revise reporting forms; and introduce a new requirement to report the professional titles used by reps.
The proposals are out for comment until May 5.