National Instrument 31-103 Registration Requirements (NI 31-103) is expected to be published in final form on July 17, 2009 and, subject to government approvals, come into effect on September 28, 2009. This massive regulatory reform package will affect virtually everyone operating in the Canadian securities financial services market-place.
CSA Staff Notice 31-311 issued on June 12, 2009 [available here] describes the Canadian Securities Administrators’ expected timing. CSA Staff Notice 31-311 also discusses a number of issues concerning the implementation of NI 31-103 including
- Deadlines for filing registration applications under existing regulations to ensure processing time prior to NI 31-103 implementation. These dates are June 26 (firms), July 15 (individuals registered with advisers) and August 14 (for individuals registered with other registrants). It is not clear whether the CSA will process applications for registration under existing regulations if they are filed after these deadlines.
- Transition timelines for many of the new requirements, which range from 3 – 24 months from the effective date.
- The National Registration Database will be frozen from September 25 to October 12, 2009, which means paper registration-related filings will have to be made during that time.
- The plan to move existing registrants to the new registration categories under NI 31-103. During the freeze period existing firm and individual registrants will be converted to the applicable categories under NI 31-103.
The amendments to the Securities Act (Ontario) that are necessary in order to implement NI 31-103 in Ontario have also taken a step closer to fruition. Ontario Bill 162, which in Schedule 26 contains the amendments to the Securities Act (Ontario) that are necessary in order to implement NI 31-103 in Ontario, received Royal Assent on June 5, 2009. The relevant provisions will come into force on a date to be proclaimed, which presumably will coincide with the implementation of NI 31-103. A copy of Bill 162 in final form is available [here].
In Québec, the proposed legislative amendments to the Securities Act (Québec) that are necessary in order to implement NI 31-103 were part of Bill 8 which was tabled in the National Assembly on March 11, 2009. It is expected that the National Assembly will adopt Bill 8 by the end of June.