IIAC asks for cut in fees because of COVID-19By The IJ Staff | April 20 2020 10:50AM
The Investment Industry Association of Canada (IIAC) has written to its members, asking they find ways to reduce marketplace fees for the current year.
In a letter to Nasdaq Canada, Omega ATS, Canadian Securities Exchange, NEO Stock Exchange, TMX Group, IIROC and CIPF, IIAC president Ian Russell says the COVID 19 pandemic has had unprecedented and wide-ranging effects on all aspects of the financial industry.
Dealers are key sectors
The letter states that Canadian investment dealers ensure that key sectors of the financial and investment ensure capital continues to flow and investors are able to access and manage their assets and meet the demands of their clients. IIAC member firms believe further adjustments will have to be made in the future.
The letter states that the various fees charged by marketplaces represent a significant expense item for Canadian investment dealers and asks that the investment industry be given a break in their fees.
Discounts needed to help firms through the pandemic
“Although fee discounts and waivers represent a sacrifice, these unprecedented difficult times make a strong case -- both to support the intermediation efforts of investment dealers in a crisis period, and to help these dealers to retain existing personnel and infrastructure at individual firms to contribute to a solid economic rebound once the post-peak stage of the pandemic has passed.”