On October 3, 2019, the Canadian Securities Administrators (the "CSA") adopted amendments to National Instrument 31-103 Registration Requirements, Exemptions and Ongoing Registrant Obligations ("NI 31-103") to implement reforms to enhance the client-registrant relationship (the "Client Focused Reforms"). The Ontario Securities Commission, in parallel with all other CSA jurisdictions, is extending the timeline for the implementation of the Client Focused Reforms relating to relationship disclosure information ("RDI") in Part 14 of NI 31-103 that would otherwise have come into effect on December 31, 2020.
Description of the Order
The order postpones by twelve months the effective date by which a registrant will have to comply with the RDI Client Focused Reforms in Part 14 of NI 31-103, which are referred to in paragraph 35(1)(b) of the amending instrument published on October 3, 2019. The relief is conditional on a registrant complying with those provisions of Part 14 of NI 31-103 that were otherwise subject to amendment on December 31, 2020 as they read on December 30, 2020.
Reasons for the Order
Industry stakeholders have informed the CSA of operational challenges associated with changes that a registrant would be required to make to their RDI because of the phased transition of the Client Focused Reforms. The Commission has determined that it would not be prejudicial to the public interest to postpone implementation of the RDI amendments until December 31, 2021 so that they will come into effect at the same time as most other amendments under the Client Focused Reforms.
Day on which the Order Ceases to Have Effect
The order will come into effect on December 31, 2020 and will cease to have effect on December 31, 2021.