Canadian Investment Regulatory Organization proposes guidance to broaden educational tools that order execution only dealers can provide without making recommendations

The Canadian Investment Regulatory Organization has published proposed guidance intended to expand the range of educational resources and decision-making supports that Order Execution Only (OEO) dealers can offer clients, while preserving the core requirement that OEO firms must not make recommendations. The proposal is framed as a way to provide do-it-yourself (DIY) investors with more regulated information and warnings in response to growing reliance on unregulated online sources. Under the proposal, OEO dealers would be permitted to provide informative resources and decision-making supports as long as they do not endorse a specific investment decision and appropriate safeguards are in place. The guidance would also allow targeted, proactive communications to clients where the content is purely educational and does not endorse any investment decision. Examples of decision-making supports include alerts and notifications, self-assessment tools, sample portfolios, and informative or educational material, supported by safeguards such as clear disclosure on proper use and limitations, addressing or avoiding material conflicts of interest, and regular monitoring and updates of the supports provided.