Industry

REQUEST FOR COMMENT

INVESTMENT INDUSTRY REGULATORY ORGANIZATION OF CANADA
(IIROC)

PROPOSED AMENDMENTS TO DEALER MEMBER RULES AND FORM 1 REGARDING
THE SECURITIES CONCENTRATION TEST AND DESIGNATED RATING ORGANIZATIONS

IIROC is publishing for public comment proposed amendments to its Dealer Member Rules (DMRs) and Form 1 regarding the securities concentration test and designated rating organizations (the Proposed Amendments). The Proposed Amendments introduce debt securities with a normal margin rate of 10% or less (debt securities margined at <=10%) into the existing securities concentration test. The Proposed Amendments also update the use of credit ratings, and references to credit rating agencies, in the DMRs and Form 1. The primary objective of the Proposed Amendments is to prevent undue concentrations in certain debt securities margined at <=10%.

A copy of the IIROC Notice including the Proposed Amendments is published on our website at http://www.osc.gov.on.ca. The comment period ends on Thursday, November 8, 2018.