FSRA’s Financial Professionals Title Protection Rule (FPTP Rule) sets out the minimum standards for the approval of credentialing bodies and credentials. Each year FSRA will establish a supervision plan that will focus on key areas of interest/concern and conduct examinations and/or collect information from credentialing bodies.
FSRA’s oversight of credentialing bodies consists of ensuring compliance with the key elements of the FPTP Rule and associated guidance. With respect to the Canadian Investment Regulatory Organization (CIRO), the Ontario Securities Commission (OSC) already oversees its governance, administration, operations and other regulatory responsibilities. Requiring CIRO to pay for activities/work already conducted by another regulator would not support the principle of fairness.
The following table identifies at a high level the minimum standards for FSRA-approved credentialing bodies and credentials, and demonstrates the oversight that is already conducted by the OSC for CIRO.
Oversight of CIRO
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Minimum Standards for FSRA-Approved Credentialing Bodies and Credentials |
FSRA |
OSC |
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Governance structure and administrative policies/procedures that serve the public interest (e.g., required governance structures and reporting mechanisms in regards to governance, the Board and committees). |
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Expertise, resources, policies, procedures, and administrative practices to effectively administer and maintain a credentialing program (e.g., adequate staffing and subject matter experts to operate a credentialing program, processes to ensure only qualified individuals obtain a credential, regular review of curriculum). |
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Code of ethics and professional standards for its officers, directors, employees that serve the public interest (e.g., employee code of conduct, director suitability) |
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Expertise, resources, policies, procedures and administrative practices to effectively oversee the conduct of individuals holding approved credentials it has issued (e.g., processes to ensure suitability, complaint handling and disciplinary / enforcement procedures to adjudicate misconduct, code of ethics / professional standards, posting of enforcement actions) |
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Maintain credential standards (e.g., regular review of curriculum, continuing education requirements) |
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Maintain a public registry (e.g., searchable database for consumers to confirm whether an individual holds an approved credential) |
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Annual Information Return (e.g., annual reporting requirements) |
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Examinations Examine and review re: efficient program oversight program |
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