In the past year, the MFDA engaged in extensive consultations with all its stakeholders to identify priorities and areas of focus for our new 2018-2022 Strategic Plan.
The issues, trends and challenges that evolved as themes are common to all regulators both here in Canada and globally. It is evident that keeping up with the rapid changes in technologies, investment options, business models, aging investor and advisor demographics and cybersecurity will provide both challenges and opportunities for our Members over the coming years. In particular, the increased focus on cybersecurity and the need for greater controls in this area will put new demands on our membership as they adapt to stay ahead and innovate in this complex and challenging digital age.
Under our new 2018-2022 Strategic Plan, we are committed to supporting Member innovation, strengthening collaboration with key stakeholders, enhancing Member and advisor education and assessing and updating regulatory standards and internal processes to ensure effective and efficient regulation that protects the investing public. The new Strategic Plan sets out our strategic priorities for the next five years and contains concrete and meaningful initiatives that focus on the goal of promoting and fostering a compliant and healthy industry that protects and serves the Canadian investor.
MFDA Members have been implementing new technology to offer new products such as exchange-traded funds and services such as electronic reporting, electronic signatures, onboarding and advisory services to clients and the MFDA has been active in assisting its Members in these areas. Also, the MFDA will continue to focus on cybersecurity and provide guidance and assistance to its Members to strengthen their cybersecurity practices. The MFDA is currently developing a Cybersecurity Plan that involves engaging the services of a consultant to perform and provide individualized assessments and recommendations, respectively, of each Member’s cybersecurity risks and related controls, on a voluntary basis.
2018 marks the 20th anniversary of the establishment of the MFDA as Canada’s national self-regulatory organization for the distribution side of the mutual fund industry. It is gratifying to see how the MFDA has contributed to the financial well-being of Canadian investors by upholding public confidence in Canada’s mutual fund distribution industry. The MFDA and its Members have worked to raise the standard of regulation in key areas of investor protection such as suitability and Know-Your-Client, Know-Your-Product and due diligence, supervision and supervisory structures, complaint handling and outside business activities. We remain committed to maintaining, promoting and fostering a high level of compliance for the protection of investors.
In closing, I would like to acknowledge the Board of Directors for their continued stewardship and guidance throughout the past year. I would also like to thank our dedicated professional and hardworking staff for their continued support and look forward to working with you as we advance the initiatives set out in our new Strategic Plan.
Mark T. Gordon, LL.B.
President & Chief Executive Officer