CFA Institute, the global association of investment professionals, remains optimistic that the creation of a national securities regulator is possible given today’s decision by the Supreme Court of Canada, which recognizes federal jurisdiction over securities regulation.

“We are pleased to see that the court’s decision urged a cooperative approach that would ‘allow Parliament to deal with genuine national concerns,’ and are hopeful that the federal and provincial governments will work together to establish a single securities regulator that will improve enforcement and increase protections for Canadian investors,” said Beth Hamilton-Keen, CFA, member of the Board of Governors of CFA Institute.

CFA Institute has long called for a national securities regulator (PDF) in Canada to improve protections for investors through strengthened regulatory enforcement, helping to streamline the detection and investigation of regulatory violations. It has also cited improved market efficiencies and strengthened global influence as additional benefits of a national securities regulator. 

Since 2008, CFA charterholders’ primary concern regarding the state of the Canada’s capital markets has been the perceived lack of effectiveness of Canada’s regulatory framework. In the 2010 CFA Institute Financial Market Integrity Index (FMI) report*, almost 40 percent of global respondents identified this as a major issue, and indicated their support for a single regulator model to help coordinate regulation and strengthen regulatory enforcement mechanisms.  

“Finally, CFA Institute would like to again commend Finance Minister Flaherty for his determination in attempting to create to a national securities regulator,” Ms. Hamilton-Keen said.

CFA Institute
CFA Institute is the global association for investment professionals. It administers the CFA and CIPM curriculum and exam programs worldwide; publishes research; conducts professional development programs; and sets voluntary, ethics-based professional and performance-reporting standards for the investment industry. CFA Institute has more than 100,000 members, who include the world’s 97,000 CFA charterholders, in 138 countries and territories, as well as 135 affiliated professional societies in 58 countries and territories. More information may be found at www.cfainstitute.org.

*The FMI Index is a gauge of CFA charterholders’ perceptions of the state of ethics and integrity in six different countries around the world (Canada, Germany, Hong Kong, Japan, the United Kingdom, and the United States).