As you may already know, the purpose of National Instrument 54-101 is to provide greater protection for investors by regulating the sharing of personal data with various organizations, including, among others, issuers of exchange traded funds (“ETFs”).

As part of this initiative, we are required to obtain our clients’ explicit authorization for the transmission of their personal information to these entities, or their refusal to do so. 

Shares of exchange traded funds in Investia nominee accounts are held in Investia’s name with CIBC Mellon, which acts as a custodian. As such, ETF holders may receive various documents and information, such as proxy-related documents from the issuer, about meetings where they can exercise their voting rights on the securities they hold.

However, depending on regulatory needs and requirements, as well as the communication practices specific to each fund issuer, ETF holders may also receive, if they do not object, other important information for as long as they hold ETF units, since they are considered the beneficial owners of the units of these funds. 

Specifically, ETF issuers may request to receive a list of ETF holders who are “Non-Objecting Beneficial Owners” (“NOBO”) (i.e., who do not object to sharing their personal information with ETF issuers) in order to use it for various purposes, such as sending additional documents, other annual reports or financial statements that are not part of proxy documents. 

As such, in accordance with these regulations, if your clients wish to purchase ETFs, we must obtain their consent (or refusal) to be able to send their personal information to ETF issuers. This will enable clients to continue to receive documents relating to these securities, while respecting their choice regarding the transmission of their personal data to fund issuers.

To this end, Administrative Procedure # 59 – Exchange Traded Funds (ETF) has recently been updated, and we invite you to refer to it for future ETF purchases.

In Univeris, the default status of all ETF security holders is “Objecting Beneficial Owner” (“OBO”). For these clients, Investia is not authorized to share client personal information with ETF issuers or third parties. 

 

If the client does not sign a consent document: their status will remain “Objecting Beneficial Owner” “OBO” in the system.

If the client wishes to share their personal information with an ETF issuer: they must sign the consent form (Consent – Exchange Traded Funds) to this effect. The Representative will then need to update the client’s status in Univeris to “Non-Objecting Beneficial Owners” (“NOBO”).

We would like to assure you that your clients’ personal data is treated with the utmost confidentiality and security, and that their decision will be respected in all cases.

If you have any questions or concerns, or if you would like additional information, we invite you to contact our Client Services team, by email at investia@investia.ca , by phone at 1-888-684-5548 or by using the chatbot feature available on the Advisor Centre.