Full name: Investment Industry the Regulatory Organization of Canada
Short name: IIROC
Year of establishment: 2008
Title: Financial Controller
Canadian regulator IIROC is the national body that controls the functioning of the securities markets and debt markets, the activities of brokers, dealers and financial service providers in Canada. The regulator ensures compliance with all legal requirements and regulates almost all transactions that are carried out with securities in Canada.
The main powers of IIROC are:
developing rules and regulations that are binding on accountable companies;
issuance of licenses to brokerage companies and other financial structures;
checking brokers and other companies for compliance with the necessary standards for obtaining a license to carry out financial activities;
setting the minimum allowable level of capital for subordinate companies in order to prevent their insolvency, which can significantly increase the level of protection of individual investors;
checking companies in order to check the level of services provided by a particular broker.
In case of any violations on the part of brokers, IIROC has all the powers to impose penalties, limit the validity of the license for a certain period, or completely deprive the broker of the license for further activities. It is worth noting that if any violations are revealed on the part of the broker, then IIROC will only give recommendations on how to resolve the dispute, but will not directly deal with issues of compensation for any losses incurred by the client. The issue of damages can be resolved in several ways at once:
by contacting the client with OBSI.
The services of this organization are free, and the consideration of complaints starts from the amount of $ 350 thousand.
Quebec residents can file complaints with AMF, an organization that deals with financial crimes in this province of Canada.
Appeal to the Arbitration Court of Canada, which considers claims up to $ 500 thousand.
IIROC partners with CIFF (Investor Protection Fund of Canada).
Within the framework of this partnership, it is possible to protect clients from unscrupulous companies in the event of a loss of funds. Thus, clients who are licensed by IIROC and at the same time cooperate with CIPF can count on compensation for damages of up to
$ 1 million.
Part of this amount is reimbursed by securities.