Business Leaders Endorse Move To Create Single National Securities Regulator

The Canadian Council of Chief Executives (CCCE) congratulates Finance Minister Jim Flaherty for moving to strengthen Canada's system of financial market oversight by tabling legislation to create a single national securities regulator.

"By proposing to modernize the existing patchwork of provincial and territorial securities regulators with the introduction of a new national regulator, the federal government is acting in the best interests of Canadian shareholders and companies," said The Honourable John Manley, President and Chief Executive Officer of the CCCE.

"The new system will eliminate duplication, enhance oversight and improve enforcement to the benefit of all stakeholders."

Minister Flaherty has allowed provinces that do not wish to participate in the new regulatory system to opt out.  The new national authority will not be established unless and until the Supreme Court of Canada upholds Ottawa's jurisdiction in the area of securities legislation. Even then, provinces will have the right to retain their existing systems.

Still, Mr. Manley said he hopes that, in time, all provinces will see the wisdom of updating and strengthening today's antiquated approach to securities regulation and join in the common national system.

Founded in 1976, the CCCE represents 150 chief executives and entrepreneurs of major Canadian corporations in all sectors and regions of the country. The companies they lead collectively administer $4.5 trillion in assets, have annual revenues of more than $850 billion, and are responsible for most of Canada’s private-sector exports, investment and training.