The British Columbia Securities Commission (BCSC) is extending its exemption from dealer registration requirements for trading in mortgage investment entities (MIEs) for another year.
Earlier this year, the BCSC proposed to scrap the both the exemption for trades in MIEs and the so-called Northwest exemption, which allows firms to trade in the exempt market without registering, amid rampant non-compliance with disclosure requirements. It reported that it found 90% non-compliance with disclosure obligations by MIE issuers.
Now, however, the BCSC says that its extending the MIE dealer registration exemption to June 30, 2014.
In its notice, the commission says it “proposes to evaluate the impact of the dealer registration requirements on mortgage investment entities”, and that the “limited relief from the dealer registration requirements for mortgage investment entities would not be prejudicial to the public interest.”