The Mutual Fund Dealers Association of Canada (MFDA) is a Canadian
self-regulatory organization
A self-regulatory organization (SRO) is an organization that exercises some degree of regulatory authority over an industry or profession. The regulatory authority could exist in place of government regulation, or applied in addition to governmen ...
(SRO) that provides oversight to dealers that distribute
mutual funds
A mutual fund is a professionally managed investment fund that pools money from many investors to purchase securities. The term is typically used in the United States, Canada, and India, while similar structures across the globe include the SICAV i ...
and exempt
fixed income
Fixed income refers to any type of investment under which the borrower or issuer is obliged to make payments of a fixed amount on a fixed schedule. For example, the borrower may have to pay interest at a fixed rate once a year and repay the prin ...
products. It is licensed under all Canadian provincial securities regulators (except Quebec, where it cooperates with the
AMF instead). Its members consist of the distribution side of the industry that typically provide mutual funds and exempt fixed income products to Canadians through
financial planners
A financial planner or personal financial planner is a qualified financial advisor. Practicing in full service personal finance, they advise clients on investments, insurance, tax, retirement and estate planning.
As a general rule, a financial p ...
.
It works in parallel to another Canadian SRO, the
Investment Industry Regulatory Organization of Canada
The Investment Industry Regulatory Organization of Canada (IIROC; ''Organisme canadien de réglementation du commerce des valeurs mobilières'' or ''OCRCVM'' in French) is a non-profit, national self-regulatory organization (SRO). Established thro ...
(IIROC), which is responsible for the distribution of equities,
ETFs, and other exchange traded products such as
closed-end fund
A closed-end fund (CEF) is a fund that raises capital by issuing a fixed number of shares which are not redeemable, and then invest that capital in financial assets such as stocks and bonds. Unlike open-end funds, new shares in a closed-end fund ...
s.
History
The MFDA was created in June 1998 through an initiative by the
Canadian Securities Administrators
The Canadian Securities Administrators (CSA; , ACVM) is an umbrella organization of Canada's provincial and territorial securities regulators whose objective is to improve, coordinate, and harmonize regulation of the Canadian capital markets.
...
(CSA) in response to the rapid growth of mutual funds in Canada in the late 1980s.
As of July 2013, the MFDA represented 115 mutual fund dealer members. These members include 81,134 approved persons and 359.4 Billion dollars in investor assets, commonly referred to as Assets under Administration (AUA).
As of September 2018, the MFDA represented 91 mutual fund dealer members. These members include 80,177 approved persons and $561 Billion in Assets under Administration ("AUA") https://mfda.ca/members/membership-statistics/
As of October 2019, the MFDA represented 90 mutual fund dealer members. These members include 79,789 approved persons and $570.968 Billion in Assets under Administration ("AUA") https://mfda.ca/members/membership-statistics/
As of February 2020, the MFDA represented 91 mutual fund dealer members. These members include 78,256 approved persons and $573.664 Billion in Assets under Administration ("AUA") https://mfda.ca/members/membership-statistics/
Purpose and structure
The MFDA regulates the operations, standards of practice and business conduct of its Members and their representatives with a mandate to enhance investor protection and strengthen public confidence in the Canadian mutual fund industry.
The mutual fund Dealerships collectively and formally represent themselves to the MFDA through the Federation of Mutual Fund Dealer
FMFD
See also
*
Canadian securities regulation
Canadian securities regulation is managed through the laws and agencies established by Canada's 10 provincial and 3 territorial governments. Each Provinces and territories of Canada, province and territory has a securities commission or equivalent ...
+
*
Autorité des marchés financiers (Québec) Autorité des marchés financiers may refer to:
*Autorité des marchés financiers (France)
*Autorité des marchés financiers (Québec) Autorité des marchés financiers may refer to:
*Autorité des marchés financiers (France) Autorité des marchà ...
External links
*
References
Financial regulatory authorities of Canada
Business organizations based in Canada
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