The Canadian Securities Administrators has approved rule changes IIROC made in order to implement CRM II.
These are known as the 2014 IIROC CRM2 Amendments.
Read: CRM II requirements for 2014
The following new provisions come into effect July 15, 2014.
Pre-trade disclosure of charges: Retail customers must be informed of all fees and charges associated with a security sale or purchase prior to it taking place.
Trade confirmation disclosure of debt security compensation: Either the total compensation or gross commission taken on the trade must be disclosed. If gross commission is disclosed, it must say, “Dealer firm remuneration has been added to the price of this security (in the case of a purchase) or deducted from the price of this security (in the case of a sale). This amount was in addition to any commission this trade confirmation shows was charged to you.”
Read: Worried about CRM II? Prep with our new CE course
Relationship disclosure relating to investment performance benchmarks: Clients should be told how benchmarks can be used to assess the performance of their investments. They should also discuss any investment performance benchmark options available.
For more information, go here.