Canadian securities regulators extend exemptions to facilitate OEO trailer ban transition


Toronto – The Manitoba Securities Commission (MSC), Ontario Securities Commission (OSC) and Autorité des marchés financiers (AMF) announced today the extension of local blanket orders that provide temporary exemptions from the order-execution-only (OEO) trailer ban.

Local blanket orders This link will open in a new window took effect in all CSA jurisdictions on June 1, 2022, to initiate an investor-centric transition away from mutual fund series with trailing commissions. They provide temporary exemptions from the OEO trailer ban to facilitate dealer rebates of trailing commissions to clients holding mutual funds in OEO dealer accounts and process client transfers.

The local blanket orders published by the MSC, OSC and AMF will be extended following their expiration on November 30, 2023 to ensure investors are not negatively impacted by the transition to the OEO trailer ban. Other CSA jurisdictions with local blanket orders that expire on November 30, 2023 will also be seeking to extend their blanket orders.

In Ontario, the extended local blanket order will expire on May 31, 2025. The local blanket orders for the other CSA jurisdictions, including extended orders may be revoked at a future date.

Market participants can view the local blanket order extensions on the MSC, OSC and AMF websites This link will open in a new window and are encouraged to contact their local regulator with any questions.

Investors should contact their OEO dealer with any questions or to request more information.

The CSA, the council of the securities regulators of Canada’s provinces and territories, co-ordinates and harmonizes regulation for the Canadian capital markets.

For media inquiries, please contact:

Ilana Kelemen
Canadian Securities Administrators
[email protected]

JP Vecsi
Ontario Securities Commission
[email protected]

For investor inquiries, please contact your local securities regulator This link will open in a new window.

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