Notice of Commission Approval - Proposed IDA Regulation 100.22, Regulation 2500 and Policy No. 10 Regarding Day Trading and Intra-Day Exposures

THE INVESTMENT DEALERS ASSOCIATION OF CANADA (IDA)

PROPOSED REGULATION 100.22, REGULATION 2500

AND POLICY NO. 10

NOTICE OF COMMISSION APPROVAL

The Ontario Securities Commission approved proposed IDA Regulation 100.22, Regulation 2500 and Policy No. 10 regarding Day Trading and Intra-Day Exposures. In addition, the Alberta Securities Commission approved and the British Columbia Securities Commission did not object to the proposed regulations. The proposed regulations impose sales conduct requirements on investment dealers to ensure that they will only promote a day trading strategy to suitable clients based on their risk tolerance and financial position, and impose margin requirements on all pattern day traders to address intra-day financial risk. A copy and description of the proposed regulations were published on October 31, 2003, at (2003) 26 OSCB 7203. The IDA received one comment letter, but no changes were required to the revised Regulation. The IDA's summary of comments and responses is published in Chapter 13 of this Ontario Securities Commission Bulletin -- SRO Notices and Disciplinary Proceedings.