New Brunswick and Saskatchewan today signed an agreement to join the Cooperative Capital Markets Regulatory System.

As we've discussed previously, it is proposed that a new common regulator would administer a single set of regulations designed to protect investors, support efficient capital markets and manage systemic risk in the participating jurisdictions, while attempting to address the Supreme Court's decision that found certain unilateral action by Parliament to take over the regulation of the securities industry to be outside the authority of the federal government.

It was also agreed today that, in addition to deputy chief regulators to be based in each of British Columbia and Ontario, and Alberta and Quebec (if they participate), there would be two additional deputy chief regulators to accommodate the participation of smaller jurisdictions, one of which would represent Saskatchewan, Manitoba, the Northwest Territories, Nunavut and Yukon, and the other representing New Brunswick, Nova Scotia, Newfoundland and Labrador and Prince Edward Island, to the extent such provinces participate.

The two provinces join the federal government, Ontario and British Columbia in the initiative. According to the Finance Minister, the new regulator could be in operation by later next year.