In the time it takes you to read this headline, you could have checked to see if your investment adviser or firm is registered. March 19, 2014 is Check Registration Day, and the Canadian Securities Administrators (CSA) are encouraging investors nationwide to help protect themselves from investment fraud by first checking to see if the individual or firm offering them an investment is registered to do so.
Why is registration important? Canadian securities regulators will only register firms and individuals that meet specific qualifications and standards. Checking registration helps to protect investors because it confirms if the person or firm you are trusting with your money is authorized to sell investments or offer investment advice.
“Investors should have confidence in the individual or firm they choose to handle their money and a registration check is a critical initial step in building that confidence,” says Bill Rice, Chair of the CSA and Chair and CEO of the Alberta Securities Commission.
To assist investors, the CSA offers investors the National Registration Search tool–an online search that allows investors to easily check if a firm or individual is registered to sell securities or offer investment advice in their province or territory.
The CSA first recognized Check Registration Day during Fraud Prevention Month in 2013 and is once again encouraging investors nationwide to participate in this event on March 19, 2014. Here’s how investors can get involved:
- Use the National Registration Search at aretheyregistered.ca to see if their financial adviser or investment firm is registered in their jurisdiction; or
- Call their local securities regulatory authorities to verify registration.
Investors should immediately contact their local securities regulatory authorities if they discover that the person or company offering them an investment opportunity is not registered.
The CSA, the council of securities regulators of Canada’s provinces and territories, coordinates and harmonizes regulation for the Canadian capital markets. Their mandate is to protect investors from unfair or fraudulent practices through regulation of the securities industry. Part of this protection is educating investors about the risk, responsibilities and rewards of investing.