Oversight framework

As provided for under its constituting Act This link will open in a new window, part of the AMF’s mission is to:

“Supervise stock market and clearing house activities and monitor the securities market, in particular, by administering the controls provided by law as regards access to the public capital market, ensuring that the issuers and other practitioners involved in the financial sector comply with the obligations imposed on them by law and taking any measure provided by law for those purposes; and

“Supervise derivatives markets, including derivatives exchanges and clearing houses and ensure that regulated entities and other derivatives market practitioners comply with the obligations imposed by law.”

In addition to exchanges and clearing houses, the AMF oversees the activities of the other markets, self-regulatory organizations (SROs), contingency funds, and other entities that it has recognized, designated, authorized or exempted for the purpose of carrying on securities or derivatives activities in Québec. All these entitiesExcept the Chambre de la sécurité financière and the Chambre de l’assurance de dommages. constitute market structures.

Oversight approach

In light of the above, the AMF has developed an oversight framework that describes its approach to market structures oversight.

The AMF conducts ongoing monitoring of these market structures, including regularly inspecting their operations and reviewing their rules and rule changes. Usually, this work is carried out with the AMF’s Canadian Securities Administrators partners and, in some cases, the Bank of Canada.

As practices are constantly evolving, the AMF expects the decision-making bodies of the market structures that it regulates to remain current on and adopt best practices. Consequently, the effectiveness and appropriateness of implemented strategies, policies and procedures and the quality of oversight and control provided by the board of directors and senior management are also assessed as part of the AMF’s supervisory activities.

The framework is updated periodically based on developments in the financial sector, best oversight practices and regulations, emerging trends, and risks identified as a result of oversight activities.

Market structures oversight framework (pdf - 481 KB)This link will open in a new windowUpdated on January 28, 2021The AMF, through the Surintendance des marchés de valeurs (“AMF Securities Markets”), supervises the securities and derivatives markets in Québec by, among other things, ensuring compliance with applicable laws and regulations.