Office of the Premier
Today the ministers responsible for capital markets regulation in British Columbia, Ontario, Saskatchewan, New Brunswick, and Prince Edward Island and the Minister of Finance of Canada, together representing the Council of Ministers, announced further important steps toward the implementation of the Cooperative Capital Markets Regulatory System.
The Council of Ministers is pleased to welcome Yukon into the Cooperative System. Yukon became the first territory to participate with its signing earlier this month of the Memorandum of Agreement Regarding the Cooperative Capital Markets Regulatory System.
The ministers are also pleased to announce the members of the nominating committee that will recommend candidates for the initial board of directors of the Capital Markets Regulatory Authority.
The members of the nominating committee are:
- Neil de Gelder (British Columbia)
- Susan Wolburgh Jenah (Ontario)
- Grant J. Kook (Saskatchewan)
- David G. Barry (New Brunswick)
- The Honourable Michael Wilson (Canada)
The Council of Ministers, co-chaired by the Michael de Jong, Minister of Finance of British Columbia, and the Honourable Joe Oliver, Minister of Finance of Canada, will appoint the initial board of directors based on the recommendations of the nominating committee. The council will meet this summer in Vancouver to review progress on implementing the Cooperative System.
The initial board of directors will provide direction on the integration of participating securities regulators into the authority.
The public consultation launched in September 2014 marked another important milestone in the drafting of the enabling legislation. Participating jurisdictions will release this summer updated consultation draft provincial and territorial and federal capital markets legislation, along with draft initial regulations, for public comment.
Further information on these developments is available in a backgrounder.
The ministers are renewing their invitation to the governments of other provinces and territories to also join the Cooperative System, which will better protect investors, support and foster efficiency, and manage systemic risk in national capital markets.
Learn More:
More information is available on the Cooperative System: www.ccmr-ocrmc.ca
Two backgrounders follow.
Media Contacts:
Jamie Edwardson
Communications Director
Ministry of Finance
250 356-2821
BACKGROUNDER 1
Cooperative Capital Markets Regulatory System
Changes to the Memorandum of Agreement - Territories
The Council of Ministers has approved amendments to the Memorandum of Agreement Regarding the Cooperative Capital Markets Regulatory System to meet the needs of Yukon and other territorial jurisdictions that may choose to join the Cooperative System. As amended, the Memorandum of Agreement now provides for the maintenance of an office of the Capital Markets Regulatory Authority in each participating territory to address capital markets activity and regulatory and enforcement demands in their respective jurisdictions. These offices can only be relocated with the approval of the Minister responsible for capital markets regulation for that territory.
This is an important development that highlights the collaborative nature of the governments involved in developing the Cooperative System. It illustrates how provinces and territories can come together, with a complementary role for the federal government, to modernize Canada’s capital markets, make them more competitive and better protect investors.
Appointment of the Initial Board of Directors
Under the Memorandum of Agreement, the board of directors of the Capital Markets Regulatory Authority will be composed of at least nine and no more than 12 directors, all of whom must be independent.
As a group, the board of directors will possess the requisite capital markets expertise, including international capital and venture market expertise, and will be broadly representative of the regions of Canada.
Each director will be appointed by the Council of Ministers, on the recommendation of the nominating committee. Directors will initially be appointed to the board of an interim organization that will focus on operational matters relating to the launch of the Capital Markets Regulatory Authority.
Consultation on Legislation
The September 2014 release of consultation drafts of uniform provincial and territorial capital markets legislation and complementary federal legislation marked another important milestone in the implementation of the Cooperative System.
The uniform provincial and territorial legislation seeks to modernize and harmonize existing provincial and territorial securities legislation, while the complementary federal legislation empowers the Authority to collect data and address capital markets-related systemic risk on a national basis.
The public consultation process attracted more than 60 submissions from a wide range of stakeholders in Canada’s capital markets. The majority of submissions supported the underlying objectives of the Cooperative System, while containing proposals for improving the consultation drafts of the provincial and territorial and federal capital markets legislation. The submissions are available on the Cooperative System website (www.ccmr-ocrmc.ca). Participating jurisdictions are reviewing this input carefully.
Many stakeholders proposed that provincial and territorial and federal capital markets legislation and the draft initial regulations be released for public comment as a package. Accordingly, participating jurisdictions will release this summer updated consultation draft provincial and territorial and federal capital markets legislation, together with the draft initial regulations, for public comment for a period of 120 days.
The ministers are committed to taking the time necessary to develop an appropriate legislative and regulatory foundation for the Cooperative System.
Media Contacts:
Jamie Edwardson
Communications Director
Ministry of Finance
250 356-2821
BACKGROUNDER 2
Nominating Committee Biographies
Neil de Gelder, Q.C. (British Columbia)
Neil de Gelder is executive vice-president of Stern Partners Inc., a Vancouver-based private investment firm with a portfolio of over a dozen operating companies across a diverse range of industry sectors. Prior to 2005, he was a leading corporate and securities lawyer at a major Canadian law firm where his practice encompassed a full range of capital market activities. He was the executive director of the B.C. Securities Commission from 1987 - 1990, the vice-chair of Insurance Corporation of British Columbia from 2006 - 2012, and a founding director of FAIR Canada. He remains an independent director of a major Canadian mining company and chair of a B.C.-based venture capital fund.
Susan Wolburgh Jenah, J.D., ICD.D (Ontario)
Susan Wolburgh Jenah is senior advisor, Aird & Berlis LLP and sits on the boards of Aequitas Neo Exchange (chair), Laurentian Bank of Canada, the Financial Industry Regulatory Authority (FINRA) in the United States and is a member of the C.D. Howe Institute's National Council. In 2015, she was a McMurtry fellow and adjunct professor at Osgoode Hall Law School. From 2008 to 2014, she served as president and chief executive officer of the Investment Industry Regulatory Organization (IIROC), overseeing investment dealers and trading activities on Canadian debt and equity marketplaces. Before joining IIROC, she worked at the Ontario Securities Commission in progressively senior capacities, until her appointment as vice-chair in 2004.
Grant J. Kook, C.Dir., S.O.M. (Saskatchewan)
Mr. Grant J. Kook is founder, president and CEO of Westcap Mgt. Ltd, a Saskatchewan-based portfolio manager registered with securities regulators in Saskatchewan, British Columbia and Manitoba. As one of the largest venture and private equity fund managers in Saskatchewan with over half a billion in funds under management his firm has completed investments in over 130 companies in diverse sectors and stages of growth. He has been chairman of the board of SaskTel since 2008, serves on numerous private and public sector boards including, vice president and director of the Canadian Venture Capital and Private Equity Association (CVCA) for the past seven years. Mr. Kook has a chartered director designation from McMaster University DeGroote School of Business and served as a director on The Institute of Corporate Directors (ICD) Saskatchewan Chapter.
David G. Barry, Q.C. (New Brunswick)
Mr. Barry was chair and CEO of the New Brunswick Securities Commission until July 1, 2013, and remained chair of the Financial and Consumer Services Commission until he retired in December 2013. Prior to joining the Commission, Mr. Barry was a senior partner in the law firm of Barry Spalding, practicing in the areas of corporate finance and securities, taxation and information technology. He was appointed Queens Counsel in 1991 and also holds the ICD.D certification from the Institute of Corporate Directors. Mr. Barry is currently a director of Symphony New Brunswick and has been an active leader for a number of professional and community organizations.
The Honourable Michael H. Wilson, P.C., C.C. (Canada)
Michael Wilson is the chairman of Barclays Capital Canada Inc. where he is responsible for managing client relationships in Canada. Previously, he was Canada’s 22nd Ambassador to the United States of America from March 2006 to October 2009. Mr. Wilson has also served as chairman of UBS Canada and vice chairman of RBC Dominion Securities. Mr. Wilson was elected to the House of Commons in 1979 and was appointed Minister of Finance in September 1984, a position he held until May 1991. Mr. Wilson is a Companion of the Order of Canada and has been active in a number of professional and community organizations.
Media Contacts:
Jamie Edwardson
Communications Director
Ministry of Finance
250 356-2821
