Securities Law & Instruments

Headnote

Exemption pursuant to section 4.1 of OSC Rule 31-502 Proficiency Requirements for Registrants from requirements in subsection 3.3(4) whereby the designated registered representative, partner or officer shall be employed at the same location as the associate representative, partner or associate officer whose advice must be approved.

Rules Cited

Ontario Securities Commission Rule 31-502 Proficiency Requirements for Registrants.

June 16, 2009

IN THE MATTER OF

THE SECURITIES ACT,

R.S.O. 1990, c. S.5, AS AMENDED

(THE ACT)

AND

IN THE MATTER OF

UNITED FINANCIAL CORPORATION

 

DECISION

(Subsection 3.3(4) of Ontario Securities Commission

Rule 31-502 -- Proficiency Requirements for Registrants)

UPON the Director having received the application of United Financial Corporation (the Applicant) for a decision pursuant to subsection 3.3(4) of Ontario Securities Commission Rule 31-502 -- Proficiency Requirements for Registrants (Rule 31-502) granting the Applicant relief from the provision requiring an associate representative to be supervised by an advising officer, partner or representative who is employed at the same location as the associate representative;

AND UPON considering the application and the recommendation of the staff of the Ontario Securities Commission (the Commission);

AND UPON the Applicant having represented to the Director as follows:

1. The Applicant is registered as an investment counsel and portfolio manager and limited market dealer pursuant to subsection 26(1) of the Act. The Applicant's head office is located in Toronto, Ontario with other office locations in Calgary, Alberta, Abbotsford and Vancouver, British Columbia, Winnipeg, Manitoba, Halifax, Nova Scotia and St. Laurent, Québec.

2. Mr. Sean Harry Whitfield May is seeking registration as an associate advising representative with the Applicant. Mr. May will work from an office location of the Applicant in Kingston, Ontario.

3. Staff of the Commission have confirmed that Mr. May meets the proficiency requirements for registration as an associate advising officer or has been granted an exemption therefrom.

4. The Applicant does not currently have any registered advising officers, partners or representatives located in Kingston and therefore proposes that Mr. May be supervised by Gary Gallant, the Applicant's Vice President, Private Client Management, registered as an advising officer, who works from the Applicant's Toronto head office location.

5. Rule 31-502 requires that the registered advising officer, partner or representative be employed at the same location as the associate advising representative, partner or officer whose advice must be approved (the requirement for supervision from the same location).

6. The Applicant has provided a detailed description of the supervisory mechanisms combined with the use of modern technology it will undertake to adequately facilitate the supervision of Mr. May by Mr. Gallant despite the physical distance between the primary working locations of Mr. May and Mr. Gallant.

AND UPON the Director being satisfied that to do so would not be prejudicial to the public interest;

IT IS THE DECISION of the Director, pursuant to subsections 3.3(4) and 4.1 of Rule 31-502 that the Applicant is granted an exemption from the requirement for supervision from the same location for so long as:

A. The Applicant continues to be registered in the categories of investment counsel and portfolio manager and limited market dealer in the province of Ontario; and

B. Mr. May continues to be employed by the Applicant.

"Donna Leitch"
Assistant Manager, Registration Regulation
Ontario Securities Commission