The Investment Industry Regulatory Organization of Canada (IIROC) today released a guidance note setting out how it would transition current Approved Persons from existing categories to the proposed new categories under the upcoming registration regime to be implemented under proposed National Instrument 31-103 Registration Requirements, expected to come into force on September 28, 2009. The notice supplements the information published in CSA Staff Notice 31-311 on June 12.

The current category structure, consisting of 46 categories will be replaced with a regime containing 11 categories that will focus solely on the function of the Approved Person. The type of customer, product and whether the individual engages in portfolio management will be tracked separately.

The proposed new categories are:

  1. Investment Representative;
  2. Registered Representative;
  3. Trader;
  4. Supervisor;
  5. Executive;
  6. Director (Non-Industry);
  7. Director (Industry);
  8. Ultimate Designated Person;
  9. Chief Financial Officer;
  10. Chief Compliance Officer; and
  11. Investor.

The notice also includes a chart outlining the new categories into which current Approved Persons will be automatically converted based on their existing categorization. The conversion is expected to occur during a planned freeze period of the National Registration Database between September 25 and October 12, 2009.