Fasken Martineau's Investment Products and Wealth Management team wishes to remind dealers and advisers registered under the Securities Act (Quebec) (the "registrants") that as of June 19, 2017, registrants are subject to a new financial information disclosure obligation. Registrants whose main regulator is the Autorité des marchés financiers (the "AMF") must now complete a new annual form that can be consulted by clicking here.

The new Financial Information - Annual form enables the AMF to analyze the risks associated with each registrant more effectively by centralizing financial information, and automating the process in order to reduce the number of omissions by registrants when disclosing financial information. The form does not create an obligation to provide new information to the AMF. Instead, the purpose is to gather information already subject to disclosure in one document and to remind registrants about certain obligations. The new obligation does not generate any additional costs for registrants.

Implementation period for filing the Financial Information – Annual form

The obligation to file the Financial Information - Annual form is not codified and is based on the AMF's general power to require disclosure of any document or information believed to be useful in accomplishing its mission. Failure to comply with the obligation to file the form may result in administrative penalties.

The period and process for implementing the filing obligation will be done in steps according to the date of each registrant's financial year-end:

  • Registrants whose financial year-end falls between December 31, 2016, and February 28, 2017, (registrants having normally already filed their audited non-consolidated annual financial statements and calculation of excess working capital) must file steps 4 to 9 in the form before October 31, 2017. Steps 4 to 9 must be filed by email at: inscription@lautorite.qc.ca, or by regular mail at the address indicated on the form;
  • Registrants whose financial year-end falls between March 31 and June 30, 2017, must complete and file the entire form no later than October 31, 2017, by email at the address indicated above or via the E-Services platform accessible on the AMF website (the "E-Services"). Note that these registrants must still file their audited non-consolidated annual financial statements and calculation of excess working capital no later than 90 days following the fiscal year-end;
  • Registrants whose financial year-end falls on July 31, 2017, or after must complete and file the entire form together with their audited non-consolidated annual financial statements and calculation of excess working capital no later than 90 days following the fiscal year-end.

Starting January 2018, every registrant must file the form together with their audited non-consolidated annual financial statements and calculation of excess working capital no later than 90 days after the end of their fiscal year.

Compliance mechanisms

Last, note that E-Services users will no longer be able to file their audited non-consolidated annual financial statements and calculation of excess working capital without completing the Financial Information - Annual form. It will also not be possible to submit the form if a field has not been filled out correctly.