Amendments to National Instrument 31-103 and Related Instruments

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Subject:  Amendments to National Instrument 31-103 and Related Instruments


On July 27, 2017, the Canadian Securities Administrators (the CSA or we) published final amendments to the regulatory framework for advisers, dealers and investment fund managers contained in National Instrument 31-103Registration Requirements, Exemptions and Ongoing Registrant Obligations(NI 31-103) and National Instrument 33-109 Registration Information (NI 33-109).

In addition, the Ontario Securities Commission (OSC) published amendments to Ontario Securities Commission Rule 33-506 (Commodity Futures Act) Registration Information which are consequential in nature and consistent with the amendments to NI 33-109. 

The amendments enhance custody requirements for certain registered firms, clarify activities that may be conducted by exempt market dealers, incorporate previously granted relief from certain Client Relationship Model Phase 2 requirements and provide for certain changes of a housekeeping nature. We have also provided guidance on the amendments, and on existing regulatory requirements, in the companion policy to NI 31-103.

Provided necessary ministerial approvals are obtained:
  • the amendments, other than the custody amendments, come into force on December 4, 2017; and
  • the custody amendments come into force on June 4, 2018.
The amendments may be relevant to your category of registration or business model; accordingly, we strongly encourage you to review the CSA notice and the OSC notice published with the amendments. 

For more information, please refer to the CSA notice and the OSC notice which are available on the OSC’s website and may be accessed through the following link: www.osc.gov.on.ca