By Staff | August 30, 2006 | Last updated on August 30, 2006
3 min read
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(August 30, 2006) Regulators will have to be more responsive to the concerns of retail investors, the IDA says in its annual report. Citing an investor town hall held last year, the IDA noted the “increasing expectations of retail investors of regulators.”

“In that regard, the IDA and regulators generally will have to review additional remedies for retail investors, including restitution following a finding of regulatory misconduct resulting in loss,” the report states. In addition, the IDA and other SROs and commissions that regulate intermediaries will have to set industry standards for firm complaint resolution rates to ensure investors are not prejudiced in seeking other remedies if they do not get satisfaction from the firm..

The report also revealed that the IDA spent $28 million to set up its new industry association, partially financed by the sale of CSI Global Education, which generated $48 million for the IDA. Proceeds from the sale will also reduce members’ fees by more than 40% a year for two years.

Between April 1, 2005 and March 31, 2006, the IDA issued 58 disciplinary decisions that resulted in 14 permanent bars of individuals. There was also one permanent bar of a member firm, 16 individual suspensions, and two other firm suspensions. The IDA levied fines of $6.4 million, $2.4 million against firms and $4 million against individuals. The IDA continues to lobby for the power to make its disciplinary rulings equivalent of decisions of the superior court.

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Current account surplus slips in Q2

(August 30, 2006) Canada’s current account surplus declined in Q2, dropping by $200 million to $4 billion, according to StatsCan. The decline stemmed from a drop-off in goods traded, and is the second consecutive “important decrease” since the surplus peaked in late 2005.

The trade surplus fell by $3.8 billion to $12.8 billion, with pressure coming from both sides — exports declined as imports increased. Manufactured goods, such as automobiles and machinery, continued to fall off, while energy exports rallied on higher prices for heavy crude.

On the financial front, the deficit on investment income increased by $400 million to $4.4 billion. Canadian investors received increased income from foreign bonds and money-market instruments, while profits from direct investment fell by $800 million. Meanwhile, non-resident investors saw their own profits remain stable.

Canadians continued to invest abroad, purchasing $18.8 billion in foreign securities in Q2, with about two-thirds heading into bonds. In the first six months of the year, Canadians amassed $38.7 billion in foreign securities.

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IFIC names VP member services, communications

(August 30, 2006) Joanne De Laurentiis, president and CEO of IFIC, has announced the appointment of Pat Dunwoody as vice-president, member services and communications.

Dunwoody most recently served as vice-president of market intelligence with International Financial Data Services (IFDS). Prior to that, she worked in customer relationship management with what is now AIM Trimark Investments, as well as with Fidelity Investments.

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Investors Group boosts volunteerism

(August 30, 2006) Investors Group has increased its commitment to Volunteer Canada, a registered charity that promotes volunteerism in Canada. Investors Group has boosted its three-year commitment to $300,000, in appreciation of National Volunteer Week.

“Volunteers play an important role in the daily life of a healthy community,” said Richard Irish, Investors Group assistant vice-president of community affairs and area marketing. “Volunteers are the tireless engines that help so many worthy charitable endeavors to continue to run. Investors Group is committed to working with communities across Canada to help ensure they remain healthy, happy, vital places to live and work.”

National Volunteer Week takes place April 15-21, 2007, with the slogan, “Volunteers Grow Community” as its theme.

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(08/30/06) staff


The staff of have been covering news for financial advisors since 1998.