SOURCE: Advocis

Advocis

April 06, 2016 14:23 ET

Advocis Responds to Financial Advisory Policy Recommendations

Advisors Must Be Involved in Their Own Regulation

TORONTO, ON--(Marketwired - April 06, 2016) - Yesterday, the Expert Committee to Consider Financial Advisory and Financial Planning Policy Alternatives released its preliminary policy recommendations on its review of the regulation of financial advisors and financial planners in Ontario.

Upon initial review, Advocis agrees with the gaps and inconsistencies that the committee has identified. We also agree with the committee's observation that regulatory duplication could be disadvantageous to both industry and consumers. However, we strongly believe that the solution needs to be holistic in nature with financial advisors directly involved in their own regulation, similar to other professions such as law and medicine. Absent that, the problems the committee has been tasked to address will continue.

Additionally, Advocis is unclear on the use of the terms "Financial Planner" and "Financial Planning" throughout the report in place of "Financial Advisor" and "Financial Advice." All financial advisors are involved in financial planning, and we believe the language used going forward should reflect this point in order to avoid consumer confusion in respect to professional titles and duties.

"We are open to being a part of the ongoing process in determining appropriate oversight of financial advisors, including planners," says Greg Pollock, president and CEO, Advocis. "In regard to the proposed Financial Services Regulatory Authority, certain accountabilities could be offloaded to other institutions such as professional associations."

Advocis intends to provide its response to the interim report to the expert committee in June.

About Advocis

Advocis, The Financial Advisors Association of Canada, is the association of choice for financial advisors and planners. With more than 11,000 members in 40 chapters across the country, Advocis is the definitive voice of the profession, advocating for professionalism and consumer protection. Advocis works with decision-makers and the public, stressing the value of financial advice and working toward an environment in which all Canadians have access to the advice they need. Follow us on Twitter @advocis or visit www.advocis.ca.

Contact Information

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    Darlene Francis
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    416-342-9896 / 1-800-563-5822, ext. 9896
    dfrancis@advocis.ca