OSC Sets The Pace And Releases Service Standards

In its 2025 annual service commitment review, the Ontario Securities Commission (OSC) set out its timing for dealing with various matters such as applications and registrations when it acts as the principal regulator. The OSC releases a quarterly report on its performance against its service standards, with an explanation where a target has not been met.

With respect to regulatory compliance matters, this year's service commitment document indicates the following:

1. New Business Submissions:

i. Acknowledge application:

• Within 5 working days after receipt
• 95 per cent or more of all filings received

ii. Provide initial comments on firm registration application:

• Within 30 working days of receipt of complete application
• 80 per cent or more of all filings received

iii. Decision on routine applications:

• Within 120 working days of receipt of complete application
• 80 per cent or more of routine filings received

2. Individual Dealing Representative Applications:

i. Decision on routine applications (new & reactivation, not part of new business):

• Within 10 working days of receipt of complete application
• 80 per cent or more of routine filings received

3. Advising Representatives, Associate Advising Representatives, and Chief Compliance Officers:

i. Decision on routine applications (new & reactivation, not part of new business):

• Within 30 working days of receipt of complete application
• 80 per cent or more of routine filings received

In order for these individual registration timing goals to apply, prescribed conditions must be met, including that all staff questions are answered with sufficient detail, all regulatory obligations are met, there are no concerns with the applicant's fitness for registration, and requests for information are responded to in a timely manner.

Matters that are complex, or raise new policy issues, will take longer, and staff indicates they will provide touchpoints to advise of their progress for these types of matters at a minimum of every two weeks.

These service standards will also not apply to certain other registrations. As of April 1, 2025, the OSC has delegated the registration function for firms registered as investment dealers, mutual fund dealers and futures commission merchants (and the individuals who act on their behalf), to the Canadian Investment Regulatory Organization (CIRO). It is specifically mentioned in the service commitment documents that registration-specific standards that relate to OSC decisions will continue to follow extended timelines during this transition for firms applying for registration and membership with CIRO and for individuals applying as a dealing representative or chief compliance officer in a category where the registration function is delegated to CIRO, combined with a category that has not been delegated.

Risk-based compliance reviews of registrants will be completed, and findings communicated for ordinary course compliance reviews within 14 weeks of the initial meeting with the registrant (target is for 80 per cent or more of all reviews, excluding sweeps which do not have a specified service commitment).