As part of the Canadian Securities Administrators, the BCSC published proposals today that aim to provide investors with personalized information about the costs and performance of their investments
Patricia discussed this topic from a client perspective in an earlier blog titled: What information must a financial advisor give to their clients. As you can see from that post, these new proposals would shift to a new model that expands the way registered dealers and advisors report to investors.
Under the proposals, investors would receive key information about their account and product-related charges and dealer or advisor compensation. Dealers and advisors would provide this information at relevant times. Additionally, investors would receive reports on the performance of their investments on account statements and annually.
Today, many investors do not receive any information about how their account is performing. If they do, the information is often complex and difficult to understand.
Regulators expect that providing investors with clear and meaningful account performance reporting will assist them in evaluating how well their account is doing and provide them with the opportunity to make more informed decisions about meeting their investment goals and objectives.
During this phase of the project, regulators surveyed 2,000 investors. We also held document-testing sessions to gain better insight into investors’ understanding, and expectations related to fees, performance measurement, and reporting.
BC investors are welcome to provide their feedback on the proposals, which are open for public comment until Sept. 23, 2011. You can find more information in the notice, which is available on the BCSC website.
Last week, I spoke to the Association of Certified Fraud Examiners, the world’s largest anti-fraud organization and premier provider of anti-fraud training and education. There is no more appropriate a group for a preview of the second year of the Be Fraud Aware campaign. The goal of this campaign is to fraud proof […]