Canadian regulators are looking at ways to tamp down market timers. David Brown, chair of the Ontario Securities Commission is mulling over changes in compliance procedures to accomplish the goal. The OCS is the equivalent of the SEC in the United States.

"The most important lesson is one that is clear to all in the industry: The investors' interests must be paramount," Brown told a lunch audience of the Economic Club of Toronto last week. His proposals mirror recommendations made last summer by the Investment Funds Institute of Canada (IFIC), the trade association for Canadian funds.

Specific changes for Canadian funds may include:

Requiring all funds to have a compliance program

Mandating short-term trading fees

Mandating fair value pricing

Adding to prospectus disclosures

"We see a lot of these working together. We don't see one single fix that we should be doing," said Brown in response to reporters' questions.  

Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE