Guidance for members regarding amendments to NI 31-103 related to custody of client assets

Published: 05 June 2018

On 27 July 2017, the Canadian Securities Administrators (CSA) published the final version of the amendments to registrants’ obligations with respect to the custody of client assets, among other changes, under National Instrument 31-103 Registration Requirements, Exemptions and Ongoing Registrant Obligations (NI 31-103). Rules relating to the custody of client assets, including assets of investment funds, came into force on 4 June 2018.

AIMA is pleased to present this guidance for members, prepared by the law firm Davies on behalf of AIMA Canada's Legal & Finance Committee. We recommend that all registered firms review their custodial arrangements including their disclosure to clients, prime brokerage and custodial agreements and their policies and procedures with respect to custody of client assets to ensure compliance with the new rules. For more information, contact Claire Van Wyk-Allan at AIMA Canada.