IFIC Comments on Anti -Money Laundering and Anti-Terrorist Financing Regime Proposals
Toronto, Ontario – May 7, 2012 – The Investment Funds Institute of Canada (IFIC) has published its submission to the Department of Finance Canada in response to reform proposals set out in the Consultation Paper on Strengthening Canada’s Anti-Money Laundering and Anti-Terrorist Financing Regime (the Consultation Paper).
While acknowledging that some of the proposals contained in the consultation paper will indeed enhance the operational efficiency of Canada’s AML/ATF regime, the IFIC letter submits that certain proposals to eliminate existing exemptions and add new requirements would, in fact, create inefficiencies within the mutual fund industry without furthering the government’s public policy objectives.
Stressing that the current regime is working well and provides for the appropriate allocation of responsibilities by mutual fund dealers and managers that reflects the true manner in which the industry operates, IFIC President and CEO Joanne De Laurentiis commented, “Our industry takes its obligations under the anti-money laundering and anti-terrorist financing regimes very seriously. The exemption currently provided to fund managers is well-reasoned and incorporates existing business processes to avoid unnecessary duplication of administration.”
“The result is a very effective system within the mutual funds industry,” added Ms. De Laurentiis. “We would be concerned by any changes that would impact the allocation of responsibilities between our dealer and fund manager Members.”
IFIC’s submission is available on the IFIC website at www.ific.ca.
IFIC is the national association of the investment funds industry, representing 150 mutual fund companies, retail distributors, and industry affiliates. IFIC advocates for responsible public policies that recognize the value, and enhance the growth, of an investment funds based savings culture in Canada. IFIC has contributed to the industry’s development since 1962.
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