A federal panel in Canada recommended today that the country establish a single securities regulator that would strengthen enforcement and better serve investors. The panel presented its report today to Finance Minister Jim Flaherty in Vancouver.
CEP News reports that according to panel chair Tom Hocklin, “the recent turmoil in capital markets has made it even clearer that Canada needs a single securities regulator that can move with greater speed alongside other domestic and international regulators to address financial instability.”
It may be three years or more, however, before a single federal regulator can be up and running in Canada, CEP News reports, as it could be a year between the introduction of enabling legislation and the time in which it becomes law, followed by another two-year transition period.
In addition, although the provinces can choose not to participate, the report proposes allowing market participants the option of joining the national system and quitting their provincial regulatory bodies. Presently only three provinces – Ontario, Nova Scotia and British Columbia – are reportedly ready to sign on with the federal regulator.