Ontario Securities Commission announces plan to enhance regulation of Ontario capital markets

The plan aims to align with the evolving needs of investors and market participants
Ontario Securities Commission announces plan to enhance regulation of Ontario capital markets

The Ontario Securities Commission (OSC) recently introduced a new strategic plan to transform its approach to regulation over the next six years.

This initiative is designed to align the OSC's operations with the evolving needs of Ontario investors and participants in the capital markets.

Kevan Cowan, Chair of the OSC board, highlighted the driving forces behind the new strategy. "Technological innovation, as well as changes in investor behaviours and demographics, have led to a substantial shift in today’s capital markets landscape, and the OSC must adapt in response," Cowan explained. He emphasized that the plan is built on recent efforts to modernize the OSC and establishes a responsive and sustainable path forward.

OSC CEO Grant Vingoe also commented on the need for a dynamic regulatory body. “Ontario businesses and investors need an efficient, responsive and proactive capital markets regulator in order to thrive and participate confidently in our markets,” said Vingoe. “To address the growing speed and complexity of our markets, we need to be bold and agile, and equipped to represent the interests of Ontario’s businesses and investors within Canada and internationally.”

The strategic plan outlines six key goals that signify a shift from current regulatory practices, each tailored to address specific market developments and challenges. This roadmap is intended to guide the OSC’s actions and policy decisions, ensuring they are effectively attuned to market trends and stakeholders' expectations.

Over the next six years, the OSC commits to extensive consultation with stakeholders to shape its annual priorities and gather feedback on various policy matters. This collaborative approach aims to continuously refine and enhance the regulatory framework.

The OSC is mandated by law to protect investors from unfair, improper, or fraudulent practices, fostering fair, efficient, and competitive capital markets and contributing to the financial system's stability while reducing systemic risk. As part of its ongoing commitment to transparency and public engagement, the OSC encourages investors to verify the registration of any entity offering investment opportunities and to utilize investor education resources available on its website.