The Canadian Securities Administrators (CSA) announced Thursday it is withdrawing proposed rule changes it originally put forward in 2014 to require dealers to make certain disclosures regarding their best execution policies.
Among other things, the proposals would oblige dealers to disclose: the factors that they consider when complying with their best execution requirements; a description of their order handling and routing practices; whether the dealer received compensation for routing orders.
The CSA is now dropping those proposals in light of changes by IIROC that would make the CSA requirements more or less redundant.
Read: IIROC proposes new rules on best execution
Over the past couple of years, IIROC has revised its best execution rules by moving the requirements from the trading rules to the dealer rules so that they apply to all dealers.
The self-regulatory organization has also set disclosure requirements that are “substantially similar” to what the CSA was proposing.