Becoming a Dealer Member

General Information

Under securities regulations, to carry on business in Canada, investment dealers and mutual fund dealers are required to become CIRO Dealer Members. A firm is eligible for membership in CIRO if:

  • it is formed under Canadian federal, provincial or territorial law. A firm outside Canada would need to create a Canadian entity that would apply for CIRO membership;
  • it proposes to carry on business in Canada as a dealer;
  • it is registered or licensed in each jurisdiction in Canada where the nature of the business requires registration or licensing;
  • it is in compliance with applicable securities legislation and the requirements of any securities regulatory authority having jurisdiction over it; and
  • the firm and its directors, partners, officers, employees and agents, will comply with the By-laws, Rules, and Policies of CIRO.

Firms should only submit their membership application if they intend to commence their dealer business upon obtaining CIRO approval, or shortly after.

Membership Application Process

The process for applying for CIRO membership is outlined below. If you have questions or need further assistance, please contact [email protected].

    Prepare the Application

    1. Complete the Membership Application Readiness Questionnaire (PDF) to self-assess the firm’s preparedness for applying for CIRO membership.

    The Readiness Questionnaire will assist the firm in determining whether it has the required infrastructure, capital, policies & procedures, systems, and key personnel to begin the process of applying for membership.

    2. Review the Guidance for Applicants (PDF) and the New Membership Application – Documentation Checklist (PDF) for information on the materials that applicants must prepare.

    The Guidance for Applicants (PDF) describes what CIRO staff will review for a membership application. The Documentation Checklist (PDF) sets out the additional materials, forms and supporting documents that must be included with the application.

    Applications for membership undergo an extensive review by CIRO staff. This includes review and analysis of the materials submitted, and discussions with the applicant’s management and technical personnel. Reviewing the above guidance ahead of time will help the firm assess whether it is ready to begin the membership application process.

    We encourage applicants to seek guidance from a compliance consultant or legal counsel specialized in Canadian securities legislation and CIRO rules, to ensure they are well prepared to apply for CIRO membership.

    3. Contact CIRO’s Membership Intake team at [email protected] to book an introductory meeting.

    During the introductory meeting, CIRO staff will guide the firm through the application process, discuss relevant timelines, and identify key areas of the firm’s business that will be assessed during the review. The meeting is also a helpful venue for CIRO staff to meet the applicant’s principals and obtain information regarding the applicant’s overall business plan.

    Submit the Application

    4. Submit a fully completed Membership Application (PDF) and the required supporting materials to CIRO.

    Once the applicant is ready to apply for membership, contact [email protected] to receive a ShareFile link and instructions for uploading the membership application package. Incomplete applications or applications with material deficiencies will not be accepted for review.

    Applicants can avoid unnecessary delays in the review and processing of their membership application by:

    Once CIRO staff have determined the submission to be substantially complete, CIRO will provide a written confirmation to the firm that their application has been accepted for review.

    5. Apply for registration as a Dealer with the securities regulatory authority in the applicable jurisdictions.

    In Canada, becoming registered as an investment dealer, a mutual fund dealer, or a dual-registered firm, is a two-pronged process. The firm must:

    • apply to become a member of CIRO; and
    • apply for registration with the applicable securities regulatory authority of the Canadian Securities Administrators (CSA) in each jurisdiction the firm intends to operate.

    Information on how to apply for dealer registration with the CSA can be found on the websites for each jurisdiction. Please refer to the Regulatory Links below.

    6. Pay application review deposit.

    Once CIRO accepts a membership application for review, the applicant must pay a non-refundable application review deposit. CIRO staff will provide the wire transfer instructions for submitting the payment.

    The amount of the non-refundable deposit is specific to the type of Dealer:

    • $1,500 non-refundable deposit for a Level 1 Mutual Fund Dealer
    • $3,000 non-refundable deposit for a Level 2 or Level 3 Mutual Fund Dealer
    • $5,000 non-refundable deposit for a Level 4 Mutual Fund Dealer
    • $25,000 one-time entrance fee for an Investment Dealer or Dual-Registered Dealer ($10,000 of this is a non-refundable deposit required at the time the application is made).

    Refer to the Fee Model Guidelines for Investment Dealers (PDF) and Mutual Fund Dealer Membership Fees (PDF) for further information on membership fees.

    While Your Application is Under Review

    7. File Monthly Financial Reports (MFRs) starting the month the membership application is accepted for review.

    Please contact Heather Barclay at [email protected] or Nellie Gomes at [email protected] to be set up on SIRFF.

    8. Respond to follow-up information requests from CIRO staff during the review process.

    All membership applications undergo an extensive review with respect to financial & operations compliance, business conduct compliance, trading conduct compliance and registration requirements. Applicants will not be admitted to membership until they can demonstrate that they can meet these requirements.

    Generally, the time for review of a membership application is approximately six months. However, applications for firms with complex or novel business models can take much longer. Also, the completeness of the firm’s membership application and their responsiveness to information requests from CIRO staff will impact the time it will take to process the application. As such, it is important that applicants are prepared to provide timely and fulsome responses to follow-up requests from CIRO staff.

    In accordance with CIRO’s Internal Fee Model Guidelines and CIRO By-law No. 1, paragraph 3.5(4), if CIRO’s review or consideration of an application requires excessive attention, time and resources, CIRO’s Board of Directors may require the applicant to reimburse CIRO for its costs and expenses attributable to the review of the application.

    Note that during the review process, you will also be requested to submit filings related to individual registrants through the National Registration Database (NRD) in accordance with NI 33-109.

    Application Approval

    9. Wait for CIRO confirmation of membership approval.

    If CIRO staff are satisfied that the application meets membership requirements, the application will be submitted to CIRO’s Board of Directors for consideration. The Board will decide whether to:

    • approve the membership application;
    • approve the membership application with terms and conditions; or
    • reject the application.

    CIRO will notify the applicant in writing of the Board’s decision. Once the Board approves the application, the firm will be admitted to membership once administrative requirements have been finalized (e.g., payment of any remaining fees), and the applicable CSA jurisdictions have confirmed approval of the firm's registration.

    10. Ongoing membership requirements.

    Once accepted into membership, the Dealer Member can commence business and will be subject to various ongoing requirements, including regulatory and financial reporting. Many of these reporting requirements have filing deadlines and, in some cases, CIRO can charge late filing fees.

    Dealer Members must also inform CIRO of any material changes to information originally submitted to CIRO in the firm’s membership application or for individual application materials. Examples of material changes with respect to the Dealer Member include:

    • change in business activities, such as adding new products or services;
    • change of name or address for service;
    • change in registration or licensing with the relevant securities commission;
    • changes in ownership and control;
    • reorganizations, mergers, and amalgamations;
    • civil proceedings; and
    • change in, or refusal of, insurance bond.

    Many of these changes require prior notification to CIRO or prior approval from CIRO. Members should refer to CIRO By-laws and the Investment Dealer and Partially Consolidated Rules or the Mutual Fund Dealer Rules, as applicable, to determine the reporting requirements applicable to their firm.

    Additional Resources

    Regulatory Links

    Quick Links