When a securities regulator in another Canadian province or territory makes certain decisions or agreements, new provisions in Quebec's Securities Act mean that they will now automatically apply in the province.
The objective of these changes is to make the current national reciprocity system for compliance-related decisions and agreements faster and more efficient.
Automatically applicable in Quebec
As a result, any decision made by a Canadian securities regulator, or any agreement entered into by such a regulator which imposes sanctions, conditions, restrictions or obligations on an individual or a company, will now take effect automatically in Quebec as if it had been made or entered into by the Autorité des marchés financiers (AMF) or the Bureau de décision et de révision (BDR), according to their respective jurisdictions.
In the same vein, if a decision or agreement is amended by a securities regulatory authority elsewhere in Canada, that modification or revocation will also apply automatically in Quebec.
Protect Quebec investors
"These new measures are meant to prevent individuals or companies that have committed offenses and been made subject to restrictions in another Canadian province or territory from coming and doing the same thing in Quebec," said the AMF's president and CEO Louis Morisset. "This builds on the Canadian Securities Administrators' efforts at improving processes that are intended to protect investors and consumers of financial products and services, and to ensure market efficiency."
Not in insurance
Contacted by The Insurance and Investment Journal, the AMF confirmed that there have not been any discussions yet about applying similar measures to insurance.