3211. Account appropriateness

Or jump to a Series:

    As described in IIROC Notice 19-0144, this amendment will become effective on September 1, 2020.

    1. Prior to opening an account for a person, the Dealer Member must determine that: 
      1. the account is appropriate for the person, and
      2. the scope of products and account types which the person would have access to within the account are appropriate for the person.
    2. A Dealer Member that has received approval from IIROC to offer order execution only account services to clients is not required to comply with clause 3211(1)(ii), provided that the Dealer Member:
      1. complies with all IIROC requirements applicable to offering order execution only account services, and
      2. provides no recommendation to purchase, sell, hold or exchange any security, including any class of security, or security of a class of issuer.
    3. A Dealer Member is not required to comply with subsection 3211(1), provided that the Dealer Member:   
      1. is a carrying broker and the account appropriateness obligation is carried out by the introducing broker in accordance with section 3211(1), or
      2. carries client accounts for a portfolio manager and the account appropriateness  is carried out by the portfolio manager in accordance with subsection 3211(1).

    There is no history log for this rule.