Canadian Fund Watch

The Elderly and Investor Protection

It's long been known that seniors are especially vulnerable to the financially devastating impact of adviser abuse, frauds and scams, and there are several reasons for this. A recent study by a researcher from the U.S. Federal Reserve and a professor at the University of Texas...

Why Another Article on Borrowing to Invest?

There have been many articles written on the benefits and risks of borrowing to invest (leveraging). For instance, we've all been told that if you put $100,000 into a mutual fund–using $25,000 of your own money and a $75,000 loan–and the fund gains or loses 10% or $10,000, that would actually be a 40% gain or loss on your original equity–before loan costs. So why another piece on the topic?

Actively Managed ETFs â�� Worth a Look?

The mutual fund industry has been very competent marketers. Over the years, they've invented clone funds, tax-efficient funds, U.S. dollar funds, sector funds and even sub-sector funds like the Internet infrastructure funds. Bay Street never sleeps.

Mutual Fund Loads, Fees and Other Expenses

Mutual fund fees are the costs of running a mutual fund. They are disclosed in the simplified
prospectus. What investors don't readily see or comprehend and aren't readily explained by their salespersons is how the method of sale effects their ongoing trailer commissions and, of course, fund returns.

Fund Facts is Coming

The Canadian Securities Administrators (CSA) has authorized a new disclosure document for
mutual fund investors. It’s called Fund Facts (FF) and you’ll receive it when you’re sold a
mutual fund. It is a dumbed-down version of the detailed simplified prospectus. It highlights key information for investors, including the fund performance, risk and the costs of buying and owning a fund.

G20 High-Level Principles on Financial Consumer Protection

The high-level principles were developed as a response to the G20 Finance Ministers and Central Bank Governors call in February 2011 for the OECD, the FSB and other relevant international organisations to develop common principles on consumer protection in the field of financial services by their 14-15 October meeting.

January 2012 News

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December 2011 News

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November 2011 News

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Principles of Point-of-Sale Disclosure

The International Organization of Securities Commissionsâ�� (IOSCO) Technical Committeeâ��s Standing Committee on the Regulation of Market Intermediaries (TCSC3) and the Standing Committee on Investment Management (TCSC5) (known collectively as the Joint Group) have jointly authored the Principles on Point of Sale Disclosure Final Report. The Report sets out principles that are designed to assist markets and market authorities when considering point of sale disclosure requirements.