ID
2021-010

Type
Rules
Sector
Financial Planners and Advisors
Status
Public comment closed
Date
Comment Due Date

Summary

The Financial Services Regulatory Authority of Ontario (FSRA) is seeking feedback on proposed revisions to Rule 2019-001 – Assessments and Fees (FSRA Fee Rule).

The proposed amendments to the FSRA Fee Rule (Amendment 1) establish the fee structure under the Financial Professionals Title Protection Act, 2019 (FPTPA).

FSRA is also seeking feedback on several key elements of the proposed fee structure, which are outlined in the Notice of Rule and Request for Comment.

The public consultation is open for 90 days. 

Overview

Proposed Amendment 1 establishes the fees that prospective and approved credentialing bodies (CBs) will pay to FSRA in order to obtain and maintain approval under the Financial Professionals Title Protection Framework for financial planners (FP) and financial advisors (FA).

The Notice of Rule and Request for Comment, which accompanies proposed Amendment 1, provides background information and rationale on the proposed approach to establishing the fee structure, and sets out the process for the public consultation.

Background

In the 2019 Ontario Budget, the government announced that it would introduce legislation to limit the use of the titles of “financial planner” and “financial advisor” in Ontario to individuals who have obtained a credential from a credentialing body approved by FSRA. The new title protection framework will take a measured approach to enhance consumer protection without introducing unnecessary regulatory burden on the industry.

The framework is intended to respond to concerns among consumer/investor advocates and industry about the currently unregulated use of titles in the financial services market today. A consumer research survey commissioned by FSRA in fall 2020 found that 86% of consumers agreed that there is a need for minimum standards for the use of the “financial planner” and “financial advisor” titles.  

The FPTPA received Royal Assent in May 2019. It has not been proclaimed into force. 

FSRA was granted rule-making authority under the FPTPA to design the title protection framework for FPs and FAs, including:

  • approval criteria for credentialing bodies and credentials;
  • applications by prospective credentialing bodies;
  • application fees; and
  • transition periods for existing FP/FA title users.

The Financial Services Regulatory Authority of Ontario Act, 2016 (FSRA Act) authorizes FSRA to make rules governing fees, including application fees.  

Useful links

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Before we begin, please make sure you do not include any personal or private financial information. If your inquiry does require this information be shared with us, please call us at 1-800-668-0128 or email us at contactcentre@fsrao.ca for instructions.

By submitting your content, you agree to have your materials posted on our engagement portal, used in reports and other materials prepared by Financial Services Regulatory Authority of Ontario (FSRA) that may be shared with the public. Content is moderated so that all posts are respectful and professional. The Freedom of Information and Protection of Privacy Act, R.S.O. 1990, c.F.31, applies to all online content.

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Sector Comment Date posted Sort ascending
Financial Planners and Advisors
[2021-010] Michelle Alexander - Investment Industry Association of Canada

November 1, 2021
Financial Planners and Advisors
[2021-010] Jacquie Skinner - Institute of Advanced Financial Planners

November 1, 2021
Financial Planners and Advisors
[2021-010] FP Canada

November 1, 2021
Credit Unions and Caisses Populaires
[2021-010] Sabena Sandhu - Canadian Credit Union Association (CCUA)

November 1, 2021
Life and Health Insurance
[2021-010] Brent Mizzen - Canadian Life and Health Insurance Association
On behalf of Stephen Frank, President and CEO, Canadian Life and Health Insurance Association, please find attached the industry's submission to FSRA's FA/FP fee consultation.
October 20, 2021
[2021-010] Canadian Bankers Association
Attached, please find the Canadian Bankers Association's Response to FSRA's consultation [2021-010] Amendments to the FSRA Fee Rule to Create the FP/FA Fee Structure.
Thank you,
Ibrar Ahmed
October 20, 2021
Financial Planners and Advisors
[2021-010] Paige Ward - Mutual Fund Dealers Association of Canada

October 20, 2021
Financial Planners and Advisors
[2021-010] Keith Costello - Canadian Institute of Financial Planners/Canadian Institute of Financial Planning
Thank you for your request for comment letters regarding this important consumer protection initiative regarding the use of the titles ‘Financial Planner’ and ‘Financial Advisor’ in Ontario and specifically, on the proposed Amendment 1 to Rule 2019-001 – Assessments and Fees (FSRA Fee Rule). The Canadian Institute of Financial Planning (CIFP) is pleased to represent the views of its more than 7,000 students. Further, our submission also incorporates the comments of our affiliate member organization, The Canadian Institute of Financial Planners (CIFPs), which represents over 10,000 members.

October 20, 2021
Financial Planners and Advisors
[2021-010] Andrew Papini - Investment Planning Counsel Inc.

October 20, 2021
Financial Planners and Advisors
[2021-010] Andrew Papini - IG Wealth Management

October 20, 2021
Financial Planners and Advisors
[2021-010] James Ryu - Advocis
Please find attached our comments to Consultation [2021-010], Amendments to the FSRA Fee Rule to create the FP/FA fee structure.

Regards,
James Ryu
Vice-President, Advocacy and General Counsel
Advocis, The Financial Advisors Association of Canada
October 19, 2021
Financial Planners and Advisors
[2021-010] Marc Flynn - Canadian Securities Institute
Please find CSI's Comment letter on the Fee Amendments.
October 19, 2021
[2021-010] Jessica Baker - The Co-operators Group Ltd.

October 19, 2021
[2021-010] Michelle Alexander and Matthew Latimer - Investment Industry Association of Canada and Federation of Mutual Fund Dealers
Please find attached the submission on the Fee Structure on behalf of the Investment Industry Association of Canada and the Federation of Mutual Fund Dealers.
October 5, 2021
Health Service Providers
[2021-010] John Dowson - LifeTRUST Planning
Your regulation does not address fee for service planning for families who have a child with a disability. I'm a fee for service "Special Needs Planner" for families who have a child with a disability. I've been doing this work since 1989. I assisted the Ontario government to introduce the Ontario Disability Support Program I contributed to the New Beginnings committee that recommended the Registered Disability Savings Plan I've presented over 300 seminars to parent and support workers across Canada, I present special Needs Planning to Financial Advisers for Continuing Education credits. I've met Financial Advisers in Canada and the US who present themselves a Special Needs Planners and Families of a child with a disability have said "they're just selling insurance or an investment" they just "the sell products" and give little or Miss leading advise on "whats going to happen to our child after we've gone" I'm also a licensed to sell Life and accident and sickness insurance. I've seen what happens when families are given the wrong information before and after the parent(s) die. Something like this should be addressed in your proposal. I'd be pleased to meet with you to discuss this very important issue. Please contact me
July 23, 2021
No questions have been asked about this consultation yet.