32-506 - Exemption from compensation or contingency trust fund [BCI]
| Published Date: | 2007-10-18 |
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| Document(s): |
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British Columbia Securities Commission
BC Instrument 32-506
The British Columbia Securities Commission, having considered that to do so would not be prejudicial to the public interest, orders that the attached BC Instrument 32-506 entitled "Exemption from compensation or contingency trust fund" is made.
October 17, 2007
Douglas M. Hyndman
Chair
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(This part is for administrative purposes only and is not part of the Order)
Authority under which Order is made:
Act and sections:- Securities Act, s. 48
Other (specify):-
BC Instrument 32-506
Exemption from compensation or contingency trust fund
Order under section 48 of the Securities Act
Interpretation
1. Terms defined in the Securities Act and the Securities Rules have the same meanings in this Instrument.
Exemption order
2. Subject to section 3, a dealer is exempt from the requirements in section 23(1) and (2) of the Rules, except:
(a) an investment dealer that is a member of the Investment Dealers Association of Canada, or
(b) a mutual fund dealer that is a member of the Mutual Fund Dealers Association of Canada.
3. A dealer exempted from the requirements in section 23(1) and (2) of the Rules must provide to future clients, before accepting each client, and to existing clients written notice that:
(a) the dealer does not participate in or contribute to a compensation fund or contingency trust fund, and
(b) as a result, clients will not have the benefit of coverage under any compensation fund or contingency trust fund.
Effective date
4. This instrument is effective October 17, 2007.