On January 13, IIROC issued final guidance confirming that it is withdrawing its position that clearing arrangements are a type of introducing broker / carrying broker arrangement to which IIROC Dealer Rule 35 applies.
As we've previously discussed, IIROC released draft guidance on the subject in October 2012, with the final version of the guidance describing the characteristics of clearing arrangements and setting out the practical considerations to be addressed when considering entering into a such an arrangement. IIROC has now also released new guidance in respect of outsourcing arrangements, which clearing arrangements are considered to be.
For more information, see IIROC Notice 14-0010 and 14-0009.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
