The term Exempt Market Dealer (usually shortened to “EMD”), defines a company registered with securities regulators to trade in or underwrite investment securities that have not been qualified by a prospectus; instead, the investments are exempt from the prospectus requirement. Often referred to as ‘private capital’, these investments are often not publicly traded like other stocks and securities.
In 2009, the Canadian Securities Administrator enacted National Instrument 31-103 Registration Requirements, Exemptions and Ongoing Registrant Obligations (“NI 31-103”), creating an investment dealer category called an Exempt Market Dealer (EMD), which would be allowed to trade in prospectus-exempt securities. Under NI 31-103, an EMD must be registered in the province or provinces where they perform dealing activities. Further, NI 31-103 set out fundamental obligations registrants must adhere to including know their investments (often shortened to KYP – Know Your Product), know their clients (KYC – Know Your Clients), suitability and maintain appropriate industry knowledge and proficiencies. These fundamental obligations of registrants include the activities of the EMD and the EMD’s Dealing Representatives. EMDs must also address complaints in a timely fashion and have sufficient insurance.
In addition, under the Securities Act, CVC and our Dealing Representatives must deal fairly, honestly, and in good faith with their clients. It is important that investors ensure that both the firm and the Dealing Representative they work with regarding the purchase of private securities is appropriately registered. You can confirm CVC and your Dealing Representative’s registration on the Canadian Securities Administrators website.
(NOTE: CVC™ Market Point Inc. is not associated with or specifically endorsed or recommended by the CSA or its Members and that although the information contained in their website is believed to be accurate, complete, and up to date when posted, the CSA or its Members cannot guarantee that it is or will remain accurate, complete or current)
For CVC, we are registered in Alberta and British Columbia as an Exempt Market Dealer and all of our Dealing Representatives are accordingly registered in their respective jurisdictions.
The following sources can provide further information:
Local Securities Authorities – some of the relevant authorities
- Alberta Securities Commission
- British Columbia Securities Commission
- Canadian Securities Administrators
(NOTE: CVC™ Market Point Inc. is not associated with or specifically endorsed or recommended by the CSA or its Members and that although the information contained in their website is believed to be accurate, complete, and up to date when posted, the CSA or its Members cannot guarantee that it is or will remain accurate, complete or current)
Industry Associations
The term Exempt Market Dealer (usually shortened to “EMD”), defines a company licensed by securities regulators to trade in or underwrite investment securities that have not been qualified by a prospectus; instead, the investments are exempt from the prospectus requirement. Often referred to as ‘private capital’, these investments are often not publicly traded like other stocks and securities.
In 2009, the Canadian Securities Administrator enacted National Instrument 31-103 Registration Requirements, Exemptions and Ongoing Registrant Obligations (“NI 31-103”), creating an investment dealer category called an Exempt Market Dealer (EMD), which would be allowed to trade in prospectus-exempt securities. Under NI 31-103, an EMD must be registered in the province or provinces where they perform dealing activities. Further, NI 31-103 set out fundamental obligations registrants must adhere to including know their investments (often shortened to KYP – Know Your Product), know their clients (KYC – Know Your Clients), suitability and maintain appropriate industry knowledge and proficiencies. These fundamental obligations of registrants include the activities of the EMD and the EMD’s Dealing Representatives. EMDs must also address complaints in a timely fashion and have sufficient insurance.
In addition, under the Securities Act, CVC and our Dealing Representatives must deal fairly, honestly, and in good faith with their clients. It is important that investors ensure that both the firm and the Dealing Representative they work with regarding the purchase of private securities is appropriately registered. You can confirm CVC and your Dealing Representative’s registration on the Canadian Securities Administrators website.
(NOTE: CVC™ Market Point Inc. is not associated with or specifically endorsed or recommended by the CSA or its Members and that although the information contained in their website is believed to be accurate, complete, and up to date when posted, the CSA or its Members cannot guarantee that it is or will remain accurate, complete or current)
For CVC, we are registered in Alberta and British Columbia as an Exempt Market Dealer and all of our Dealing Representatives are accordingly registered in their respective jurisdictions.
The following sources can provide further information:
Local Securities Authorities – some of the relevant authorities
- Alberta Securities Commission
- British Columbia Securities Commission
- Canadian Securities Administrators
(NOTE: CVC™ Market Point Inc. is not associated with or specifically endorsed or recommended by the CSA or its Members and that although the information contained in their website is believed to be accurate, complete, and up to date when posted, the CSA or its Members cannot guarantee that it is or will remain accurate, complete or current)
Industry Associations
