The Globe and Mail reports in its Monday edition that thanks to a historic ruling from the Supreme Court on Friday, the road is open for Canada to create a national securities regulator. A Globe editorial says that with real momentum on the issue, Ottawa and the provinces should move quickly to take advantage of it, and finish the job.
Of course, this being Canada, the final product will not be a national securities regulator in the way the 19 other countries in the G20 understand it. While those nations have a single body that oversees capital markets, our Constitution made the regulation of markets a provincial jurisdiction.
As a constitutional workaround, in 2013, Ottawa and six less obdurate provinces and territories proposed the Capital Markets Regulatory Authority, a co-operative body that would be overseen by a council of ministers from participating jurisdictions. Friday s court ruling effectively says those provinces which oppose the national regulator cannot block the agency from getting to work in provinces that welcome it.
It is now up to Ottawa and the participating provinces and territory to adopt the necessary legislation and to get this much needed agency up and running.
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