Dealers should be expected to consider data on dependants and clients’ potential vulnerabilities, CAC said in its submission, and called for additional guidance around account-type suitability and the requirement to consider a “reasonable range” of alternatives.
“We believe that the proposed guidance would benefit from additional specificity regarding the KYC information to be collected as it relates to the suitability determination, as it currently may have the unintended result of encouraging the gathering of client information simply as a compliance exercise,” the CAC said.
Seniors advocacy group CARP also called on IIROC to go further than the minimum standards imposed by the CFRs, saying that it “fully supports any initiative that would move IIROC KYC and investment suitability standards closer to the creation of making financial advice-giving a true profession.”
Among other things, CARP called for heightened guidance around risk, the use of leverage and complaint processes.
The RIA’s stance was echoed in a submission from Morningstar Research Inc., which also said that investors’ ESG preferences should be captured as part of the basic KYC process.
“If the intent of the client-focused reforms is indeed to put the client’s interests first, then a complete investor profile would include their desire to invest in line with their values and beliefs and intention to invest sustainably,” it said in its submission.
Additionally, the firm noted that ESG risks “can often be financially material,” and so taking them into account would be prudent, particularly for clients with sustainable investing preferences, Morningstar said.
Finally, it noted that research shows that retail investors who align their portfolios with their personal values are more likely to stay invested in rough markets, leading to better outcomes in the long term.
“This was observed in Canada during the Covid-19 pandemic sell-off in March,” it said. “We believe that capturing a client’s preference toward responsible or sustainable investments would be of no detriment to the investor, would allow for a more meaningful relationship between the client and the advisor, and would further encourage capital flow into sustainable projects in the future.”
Industry trade group the Investment Industry Association of Canada outlined its own set of concerns with the proposed guidance, including sections where it worried that additional requirements are being imposed thorough guidance, and areas where IIROC’s expectations may deviate from the Canadian Securities Administrators’.
IIAC detailed several areas where it believes the proposed guidance needs “additional clarification” or where differences from the CSA’s approach “should be harmonized.”
For instance the IIAC said that guidance on keeping KYC information current “appears to be imposing new KYC requirements for [discount brokerage] accounts and carrying brokers” as it doesn’t differentiate between these sorts of dealers and full-service firms.
It also said that IIROC appears to be taking a different approach from the CSA when it comes to assessing suitability on a combined basis for multiple accounts.
While the CSA allows dealers to conduct suitability assessments for multiple accounts on a household basis, the IIROC guidance takes a more limiting approach, the IIAC said.
“The IIAC is of the view that it is overly restrictive to require a client to be the same individual for all accounts in order to conduct suitability on a combined basis,” it said in its submission.
The KYC and suitability provisions of the CFRs take effect at the end of the year. The consultation on IIROC’s proposed guidance closed on Aug. 20.
TORONTO – Canada’s main stock index was up more than 250 points in late-morning trading, led by strength in the base metal and technology sectors, while U.S. stock markets also charged higher.
The S&P/TSX composite index was up 254.62 points at 23,847.22.
In New York, the Dow Jones industrial average was up 432.77 points at 41,935.87. The S&P 500 index was up 96.38 points at 5,714.64, while the Nasdaq composite was up 486.12 points at 18,059.42.
The Canadian dollar traded for 73.68 cents US compared with 73.58 cents US on Thursday.
The November crude oil contract was up 89 cents at US$70.77 per barrel and the October natural gas contract was down a penny at US2.27 per mmBTU.
The December gold contract was up US$9.40 at US$2,608.00 an ounce and the December copper contract was up four cents at US$4.33 a pound.
This report by The Canadian Press was first published Sept. 19, 2024.
Losing a loved one is never easy, and the legal steps that follow can add even more stress to an already difficult time.
For years, families in Vancouver (and Canada in general) have struggled with a complex probate process—filled with paperwork and legal challenges.
Thankfully, recent changes to Canada’s probate laws aim to make this process simpler and easier to navigate.
Let’s unearth how these updates can simplify the process for you and your family.
What is probate?
Probate might sound complicated, but it’s simply the legal process of settling someone’s estate after death.
Here’s how it works.
Validating the will. The court checks if the will is legal and valid.
Appointing an executor. If named in the will, the executor manages the estate. If not, the court appoints someone.
Settling debts and taxes. The executor (and you) pays debts and taxes before anything can be given.
Distributing the estate. Once everything is settled, the executor distributes the remaining assets according to the will or legal rules.
Probate ensures everything is done by the book, giving you peace of mind during a difficult time.
Recent Changes in Canadian Probate Laws
Several updates to probate law in the country are making the process smoother for you and your family.
Here’s a closer look at the fundamental changes that are making a real difference.
1) Virtual witnessing of wills
Now permanent in many provinces, including British Columbia, wills can be signed and witnessed remotely through video calls.
Such a change makes estate planning more accessible, especially for those in remote areas or with limited mobility.
2) Simplified process for small estates
Smaller estates, like those under 25,000 CAD in BC, now have a faster, simplified probate process.
Fewer forms and legal steps mean less hassle for families handling modest estates.
3) Substantial compliance for wills
Courts can now approve wills with minor errors if they reflect the person’s true intentions.
This update prevents unnecessary legal challenges and ensures the deceased’s wishes are respected.
These changes help make probate less stressful and more efficient for you and other families across Canada.
The Probate Process and You: The Role of a Probate Lawyer
(Image: Freepik.com)
Working with a probate lawyer in Vancouver can significantly simplify the probate process, especially given the city’s complex legal landscape.
Here’s how they can help.
Navigating the legal process
Probate lawyers ensure all legal steps are followed, preventing costly mistakes and ensuring the estate is managed properly.
Handling paperwork and deadlines
They manage all the paperwork and court deadlines, taking the burden off of you during this difficult time.
Resolving disputes
If conflicts arise, probate lawyers resolve them, avoiding legal battles.
Providing you peace of mind
With a probate lawyer’s expertise, you can trust that the estate is being handled efficiently and according to the law.
With a skilled probate lawyer, you can ensure the entire process is smooth and stress-free.
Why These Changes Matter
The updates to probate law make a big difference for Canadian families. Here’s why.
Less stress for you. Simplified processes mean you can focus on grieving, not paperwork.
Faster estate settlements. Estates are settled more quickly, so beneficiaries don’t face long delays.
Fewer disputes. Courts can now honor will with minor errors, reducing family conflicts.
Accessible for everyone. Virtual witnessing and easier rules for small estates make probate more accessible for everyone, no matter where you live.
With these changes, probate becomes smoother and more manageable for you and your family.
How to Prepare for the Probate Process
Even with the recent changes, being prepared makes probate smoother. Here are a few steps to help you prepare.
Create a will. Ensure a valid will is in place to avoid complications.
Choose an executor. Pick someone responsible for managing the estate and discuss their role with them.
Organize documents. Keep key financial and legal documents in one place for easy access.
Talk to your family. Have open conversations with your family to prevent future misunderstandings.
Get legal advice. Consult with a probate lawyer to ensure everything is legally sound and up-to-date.
These simple steps make the probate process easier for everyone involved.
Wrapping Up: Making Probate Easier in Vancouver
Recent updates in probate law are simplifying the process for families, from virtual witnessing to easier estate rules. These reforms are designed to ease the burden, helping you focus on what matters—grieving and respecting your dead loved ones’ final wishes.
Despite these changes, it’s best to consult a probate lawyer to ensure you can manage everything properly. Remember, they’re here to help you during this difficult time.
TORONTO – Canada’s main stock index was higher in late-morning trading, helped by strength in energy stocks, while U.S. stock markets also moved up.
The S&P/TSX composite index was up 34.91 points at 23,736.98.
In New York, the Dow Jones industrial average was up 178.05 points at 41,800.13. The S&P 500 index was up 28.38 points at 5,661.47, while the Nasdaq composite was up 133.17 points at 17,725.30.
The Canadian dollar traded for 73.56 cents US compared with 73.57 cents US on Monday.
The November crude oil contract was up 68 cents at US$69.70 per barrel and the October natural gas contract was up three cents at US$2.40 per mmBTU.
The December gold contract was down US$7.80 at US$2,601.10 an ounce and the December copper contract was up a penny at US$4.28 a pound.
This report by The Canadian Press was first published Sept. 17, 2024.
