IIROC rolls out AdvisorReport service

Googling yourself is so passé. If you’re an IIROC-registered broker, there’s a new way to dig up your background. It can prove you’re squeaky clean, or lay your past bare, warts and all.

Investors looking for a broker now have a new tool for checking out past conduct, thanks to IIROC’s new AdvisorReport.

The service provides information on IIROC-registered advisors’ educational background what functions or roles the advisor has received IIROC approval to perform their disciplinary history, if any.

“Recent frauds and Ponzi schemes that have victimized investors underscore the need to give investors better tools to verify that their financial advisor is registered with and regulated by a securities industry regulator,” said Susan Wolburgh Jenah, IIROC president and CEO.

“That’s why we are taking steps to help investors readily access relevant information about an individual or firm.”

Of course, the site is only helpful for clients who deal with an IIROC-registered advisor. The site may cause unwarranted concern among those who accidentally search for their MFDA- registered advisor, only to be told:

The IIROC AdvisorReport tool only searches for advisors who are currently registered at an IIROC-regulated firm. To search enforcement actions for advisors who are no longer employed at IIROC-regulated firms, or to search for any disciplinary information regarding an IIROC-regulated dealer firm rather than an advisor, search IIROC Consolidated Enforcement Actions.

The site does allow users to search outside of IIROC, leading them to a list of various other regulators that may cover their advisor. Under Mutual Fund Dealers, however, there are only two options: current disciplinary cases and completed disciplinary cases.

“In addition to IIROC AdvisorReport, we have developed a new brochure Why IIROC Matters to You, the Investor, that describes the benefits of working with an IIROC-regulated firm and approved registrant,” Wolburgh Jenah said.

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(08/30/10)