PEAK Investment Services has entered into an agreement with the Mutual Fund Dealers Association of Canada (MFDA), thereby concluding discussions that have been going on for several years.
MFDA had raised compliance-related breaches that occurred from 2011 to 2018 in connection with the branch audit program, reports required for MFDA’s Member Event Tracking System (METS) and the conduct of some internal supervision investigations.
“We are satisfied with the agreement,” said Robert Frances, President of PEAK, who also pointed out that “no clients were affected by the breaches.”
PEAK responded to MFDA’s requests by deploying significant resources to rectify each of the irregularities noted. For example, it has added significant organizational and financial resources in compliance, conducted an in-depth review of its policies and procedures, and further enhanced its compliance controls. It has also established a senior management committee to assess compliance issues that may arise from time to time and to take the appropriate corrective action quickly.
The agreement approved yesterday acknowledges that PEAK had no history of such breaches and that the firm cooperated fully with the regulator throughout the process. Under the agreement, the firm agrees to pay an administrative penalty of $75,000, plus $15,000 in fees, for all breaches.
Mr. Frances concluded by reiterating that PEAK will continue to be committed to its values of integrity, independence, and innovation that have been at the core of its mission since its foundation.