By this summer, the Financial Services Commission of Ontario (FSCO) is expected to conclude its transfer of regulatory oversight over mortgage brokers to the new Financial Services Regulatory Authority (FSRA). Since the announcement of this transfer, Mortgage Professionals Canada has been working with FSRA on its first important steps.
We are greatly appreciative of FSRA's cooperation with us and the mortgage brokering sector to date. Led by President and CEO, Paul Taylor, Jennie Hodgson, VP, Education, and JP Boutros, Manager, Government Relations and Regulatory Affairs, we have had several meetings with FSRA’s new leadership team, led by CEO Mark White, and comprised of many experts with solid, diverse, and relevant experience.
FSRA will oversee five sectors: Auto Insurance, Credit Unions, Insurance Conduct, Pensions, and Mortgage Brokering. Their overall priority for all sectors falls under two main categories: Burden Reduction and Regulatory Effectiveness. Within the mortgage brokering sector, FSRA’s targeted priorities are:
- to provide Syndicated Mortgage Investment (SMI) oversight;
- to improve licensing effectiveness and efficiency; and
- to adopt an industry Code of Conduct
We are very pleased that FSRA is listening to us and has incorporated or has begun incorporating many of our suggestions. In early February, we presented to FSRA’s Special Purpose Industry Advisory Group. Our presentation to FSRA Board members and staff, along with representatives of CMBA Ontario, led to a lengthy and fruitful discussion, which included:
- An appreciation of the “Fresh Start” after FSCO
- A discussion of FSRA’s targeted priorities for our sector
- A request that FSRA focus on greater burden reduction while ensuring the highest standards
- A clear acknowledgement from FSRA’s Board and staff that they wish to continue to include and rely upon our professional expertise as they learn about our industry and work to improve it
As always, we will keep members informed on further discussions as warranted. Further meetings will occur in advance of FSRA’s target launch of summer 2019.