IIROC has finalized rules that restrict investment firm employees’ ability to act as a power of attorney, trustee or executor for clients.

Employees of IIROC-regulated firms will not be able to act as a power of attorney, trustee or executor for clients “unless they are related to the client and, for certain registrants, have the firm’s approval,” says a release from the the self-regulatory body for investment dealers.

Read: Should you be a client’s executor?

Firms have six months to unwind any existing arrangements. IIROC says the new rule will come into force October 6, 2017.

IIROC says some existing arrangements may be complex and challenging to unwind, and it “will assist firms in these situations on a case-by-case basis.”

After consulting on the issue, IIROC previously withdrew initially proposed amendments published in April 2014.

Also read:

Advisors could be clients’ executors, says IIROC

Ottawa overhauls trust rules

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