On June 18, 2012, an IIROC hearing panel accepted a settlement agreement between the IIROC staff and Portfolio Strategies Securities, a Toronto-based investment dealer.

Portfolio Strategies failed to designate a supervisor qualified to oversee options trading at the firm from December 2009 to November 2010. It also didn’t supervise the activities of an agent and consultant working in the corporate finance department.

Pursuant to the settlement agreement, the company agreed to a penalty of $40,000, and will pay costs in the amount of $3,500.

IIROC formally initiated the investigation into Portfolio Strategies’ conduct in March 2011. The firm is still IIROC-regulated.