TORONTO, November 26, 2021 / CNW / – The Mutual Fund Brokers Association of Canada (the “MFDA”) announced that it has issued a Notice of Settlement Hearing dated November 19, 2021, concerning the presentation, review and review of a draft settlement agreement by a training panel of the Central Regional Council of the ACFM.
The settlement agreement will be between the staff of the ACFM and Progressive Financial Strategy Capital Group Corp. (the “Respondent”) and relates to matters for which the Respondent may be sanctioned by a Hearing Panel in accordance with the MFDA Rules. The proposed settlement agreement concerns allegations that the Respondent:
- without notifying the MFDA and obtaining prior written approval, having engaged in transactions which would or should reasonably have the effect of depressing the Respondent’s Risk Adjusted Capital (“RAC”) to a level less than zero;
- failed to maintain the minimum required capital and its RAC above zero; and
- failed to immediately notify the ACFM when its CAR had fallen below zero,
contrary to ACFM rules 3.1.1, 3.1.2, 3.4.2 (c) and 2.1.1.
The settlement hearing will be conducted electronically by videoconference on December 9, 2021, starting at 10:00 a.m. (Eastern Time), or as soon as the matter can proceed thereafter. Members of the public for information should contact [email protected].
ACFM Settlement Hearings are generally held in the absence of the public, in accordance with section 20.5 of ACFM By-Law No. 1 and Rule 15.2 (2) of the ACFM Rules of Procedure. . If the Hearing Panel accepts the Settlement Agreement, then the proceeding will be open to the public and a copy of the Hearing Panel Decision and the Settlement Agreement will be available at www.mfda.ca.
The ACFM is the self-regulatory body of Canadian mutual fund dealers, regulating the operations, standards of practice and conduct of the business of its members and their more than 80,000 authorized persons with a mandate to protect investors. and the public interest. For more information on the ACFM’s complaint and enforcement processes, as well as links to “Verify an Advisor” and other tools for investors, visit For investors on the ACFM website.
SOURCE Mutual Fund Dealers Association of Canada
For further information: Charles Toth, Vice-President, Enforcement, 416-943-4619, [email protected]