On March 5, 2025, the Ontario Securities Commission (OSC) announced that it has delegated registration-related powers and duties to the Canadian Investment Regulatory Organization (CIRO), effective April 1, 2025. This delegation includes the registration of investment dealers, mutual fund dealers and futures commission merchants, along with oversight of individuals acting on their behalf. The assignment of these powers to the Investment Industry Regulatory Organization of Canada (IIROC) is revoked.

Key legislative provisions for this delegation come from the Securities Act, the Commodity Futures Act, and National Instrument 31-103. The OSC retains concurrent authority over these functions, ensuring its authority prevails in case of conflicts. CIRO, formed from the merger of IIROC and the Mutual Fund Dealers Association of Canada (MFDA) in 2023, is recognized as a self-regulatory organization responsible for acting in the public interest.

CIRO must adhere to specific terms and conditions, including ensuring proficiency and integrity of registrants, maintaining operational capacity, setting service standards and providing regular reports. The OSC will oversee CIRO’s performance under a risk-based framework to ensure regulatory effectiveness. The goal of this delegation is to streamline the registration process while maintaining strong oversight.

For further information, please contact author Diana Nakka or any other member of our Securities and Corporate Finance group.