ComplianCe BeSt exeCution

Trading Learn from the experts: Scott Peacock, Gain valuable insiGht from ComplianCe & BeSt exeCution Summit Wednesday October 7th and Thursday October 8th, 2009 | Hyatt Regency Toronto | Toronto, ON new regulations | trade-through update | soft Dollars | atss meaningful Disclosure | Csas | best execution | technology solutions 12 Regulator and Industry Peers: 1 2 3 4 osC bCsC nssC autoritè des marchès financiers iiroC rbC asset management 7 8 9 10 11 12 tD asset management ubs investment bank highstreet asset management knight equity markets Commission Direct inc. integrity research Deputy Director Compliance and Enforcement, nova scotia securities Commission Meg Tassie, Senior Advisor, 5 6 b.C. securities Commission Felix Mazer, Policy Counsel, take away iiroC 11 Practical Solutions on: 1 6 Trade-through Rules: How ATSs: Ensuring best execution with multiple exchanges commission payment process Using CSAs: Streamline your Technology Solutions: Take your firm forward to achieve best execution to work within a new regulatory framework 7 Sharon Persia, Global Head of Commission Management, 2 8 Achieving Best Execution: Know what it takes and how to get there ubs investment bank 3 Meaningful Disclosure: What it requires from you are in line with CSA regulations 9 Gatekeeper Obligations: Know where the responsibility lies Silver Sponsor: Panel Sponsor: 4 Accountability: Ensure you Soft Dollars: How to use them most effectively 10 Trade Management Oversight: Develop robust processes 5 11 Commission Recapture: Learn about a vital tool for growth Supported by: To register call: 1-866-298-9343 • E-mail: registrations@strategyinstitute.com With the new trading rule (NI 23-101), new soft dollars rule (NI 23-102) and new trade-through rules NOW BECOMING A TOP PRIORITY, compliance officers, trade and operations administrators from across Canada need to be FULLY prepared! Join a gathering of experts who will share information, provide options, and address your top concerns in a highly INTERACTIVE conference environment. the challenges are considerable – take proactive steps to prepare yourself! Your first step – this conference! take away Gain valuable insiGht from 6 11 Practical Solutions on: 1 Trade-through Rules: How ATSs: Ensuring best execution with multiple exchanges 12 Regulator and Industry Peers: 1 2 3 4 5 6 7 8 9 10 11 12 commission payment process 2 Using CSAs: Streamline your Technology Solutions: Take your firm forward to achieve best execution to work within a new regulatory framework 7 8 Achieving Best Execution: Know what it takes and how to get there 3 Meaningful Disclosure: What it requires from you are in line with CSA regulations 9 Gatekeeper Obligations: Know where the responsibility lies 4 Accountability: Ensure you Soft Dollars: How to use them most effectively 10 Trade Management Oversight: Develop robust processes 5 11 Commission Recapture: Learn about a vital tool for growth osC bCsC nssC autoritè des marchès financiers iiroC rbC asset management tD asset management ubs investment bank highstreet asset management knight equity markets Commission Direct inc. integrity research 5 ADDITIONAL Extraordinary Benefits from This Exclusive Event: take away EssEntial 1. Q&a with leading regulators 2. a peer-to-peer forum to share the collective expertise of the group 3. extensive buy-side and sell-side interaction 4. Conference binder to take home the insight gained over two days 5. meet all the right people in one place Take this opportunity to see how your colleagues are doing; share your experiences and exchange ideas and strategies! If you want to meet with your peers and form valuable alliances, this is your best opportunity this year. Pre-Conference Workshops Offer Hands-On Training: workshop a: Trading 101: Essential Tool for Compliance Officers Overseeing Securities Trading workshop b: Key Accounting Hazard Areas for Wealth Managers and Compliance Officers: Disclosure Best Practices from a Forensic Accounting Specialist register today – space is limited and sure to sell out Don’t miss your chance to participate in these critical discussions and to network with the leaders in this rapidly growing field. Register for our limited spaces by calling 1-866-298-9343 or emailing registrations@strategyinstitute.com today. Attend this high-level educational summit BUYSIDE: catered to the unique needs of Buy-Side and Sell-Side: Retail Investment Management Firms, Private Investment Management Firms, Institutional Investors, Pension Funds, Insurance Companies Chief Compliance Officer (CCO) | VP Trade Management | Operations Director/Manager | Risk Management | Senior Trade Supervisor | Compliance Manager/Director • • • • • Uphold compliance with leading industry strategies Implement the latest standards with direct insight from top regulators Network and connect with sell-side, regulators, legal counsel, and other experts Understand new trade-through rules and what impact they will have Hear about new regulations directly from Canadian regulators and other leading experts • Source technology solutions for best execution SELLSIDE: customized sponsorship/exhibit packages. For more information, contact George Pollard at 1-866-298-9343 ext. 272 or pollard@strategyinstitute.com. Ensure a strong presence and position yourself as an industry leader by sponsoring this event – take advantage of our Investment Dealers, Securities Firms, Brokers Chief Compliance Officer | Director Compliance and Trade | Global Commission Management | Institutional Sales • • • • Implement the leading CSA strategies to streamline your compliance process Network with the buy-side and investment managers Learn from the leaders formulating and updating regulations Gauge the market and make invaluable contacts with top Canadian buy-side firms Bring your team and benefit from special pricing: Develop strategies to ensure successful compliance! Ensure that your compliance department shares a common understanding of the issues at hand by sending your entire team to this premier event. Take advantage of special team pricing and get the maximum benefit for your investment – see back page for details. Trading Technology Firms, ATSs, Exchanges CEO | President | Business Development | Sales | Analyst • • • • Get on the short-list when decision-makers are considering their options Present your firm’s expertise to a select audience of senior decision-makers Gauge the competition and determine opportunities for potential growth Learn what obstacles the buy-side and sell-side are facing and what solutions they are looking for What your peers had to say about past events: “Very excellent selection of experienced and relevant speakers” Frances Yip, Risk Controls Analyst, Philips hager and north Lawyers and Consultants Partners | Associates | Advisors • • • • Demonstrate your expertise to leaders in the Canadian securities industry Build your practice in the securities area Engage growth opportunities by meeting potential future clients Enhance your grasp of regulatory issues with direct feedback from all participants “A good way to get up to speed on current issues quickly” Kathy Leavens, Compliance Officer, CC&l “Very good presenters and very knowledgeable” Mary Irvine, Compliance Coordinator, highstreet asset management About this conference: The third Strategy Institute event on Trading Compliance & Best Execution Summit comes at a timely moment, ensuring that this leading event delivers practical value to you. By gathering the right mix of regulators, trade administrators, compliance officers, and case studies, Strategy Institute’s goal has been to send you home with a firm understanding of what new and existing regulations mean and how to acheive best execution – with real, tangible strategies to implement in your compliance departments now. About Strategy Institute: Strategy Institute has been a proud facilitator of information sharing for the securities industry for over 15 years. We strive to strengthen the foundation of Canada’s financial services process through annual events that provide practical solutions to the challenges of implementing new rules, enhancing operations and ensuring the best interests of the Canadian investing public. DAY 1 October 7, 2009 11:15 AM Developing reliable best execution Processes: meet fiduciary obligations and adhere to industry standards Trading in inter-listed securities, dark pool liquidity, and ATSs make the obligation to provide best execution increasingly complicated. As new trading systems and technological innovations grow in the Canadian market, the impact on best execution must be weighed in order to develop reliable processes for buy-side firms to protect the best interests of their clients. This session will provide insights on how to do so most effectively. • Examining the benefit of order management systems • Applying pre- and post-trade analytics Put a pragmatic and tested process in place to ensure your firm is meeting NI 23-101 obligations with this industry-leading session. 7:30 AM registration opens 8:20 AM opening remarks from the Chair 8:30 AM Regulatory Panel Session: Hear Directly From the Regulators! With significant changes to trading regulations now on the horizon, it is imperative for compliance professionals and other stakeholders to remain fully informed and prepared for the necessary changes. Attend our opening panel session: • Hear directly from the regulators on new rules and what to expect in 2010 • Stay ahead of the curve and understand your responsibilities as a compliance officer more clearly • Get the perspective of the OSC, BCSC, NSSC and other regulatory agencies Attend the opening session and hear from regulatory bodies across Canada – get current information on changes to the regulatory environment in trading. Milos Vukovic, VP Investment Policy rbC asset management 12:00 PM networking luncheon Join the conference speakers and your peers for a relaxing and convivial luncheon. 1:30 PM update on Client Commission Scott Peacock, Deputy Director Compliance and Enforcement Accountant Market Regulation Jonathan Sylvestre, arrangements in the u.s.: aiding the Compliance officer’s search for accountability CCAs have been described as a positive development for the industry, in that they help separate the purchasing processes between research and execution. A reassessment of the benefits they have brought to one of the leading global investment bank and securities firms is invaluable. Learn more about their potential for your firm, including: • Protecting your client’s best interests and your firm’s vulnerability to regulatory enforcement • SEC Guidelines on broker-dealer to broker-dealer arrangements • The use of commission pools and other best practices to manage research costs Learn what this innovative method of distributing and measuring commissions can offer to your investment management firm. nova scotia securities Commission ontario securities Commission Meg Tassie, Senior Advisor Serge Boisvert, Regulatory Analyst b.C. securities Commission autoritè des marchès financiers 9:15 AM Q&a for the regulator’s Panel Bring all your most pressing questions and get direct answers from the regulators! 10:00 AM networking break Continue the discussion with your peers while enjoying a refreshing break. Tim Conway, Director Commission Management knight equity markets (new Jersey) 10:30 AM examining NEW trade-through rules: hear from regulatory organizations on how new rules will impact you As an integral aspect of trade regulations in Canada, tradethrough rules are intended to protect the interests of clients. With new rules now out on trade-through, it is vital to remain up to speed on what this will mean for your firm. Learn about: • How changes to trade-through rules may affect your business • Weighing the visible benefits against the less visible costs • Grasping the new rule with in-depth insight from Canadian regulators Ensure your investment management firm complies with new trade-through regulations and fully comprehend the relationship between trade-through and best execution. 2:15 PM Csa aggregation: employing a valuable tool to make Commission Payments easier for the sell side This approach to CSAs pools makes things considerably simpler by pooling commissions with one broker rather than having to make multiple individual payments. This session takes a close look at the CSA aggregation tool, giving you a better grasp on whether it is for your firm: • Pooling all trading information with a single broker • Ease of use and reduction of the likelihood of error • Looking at examples of its use in the industry Consider whether to use this innovative method for your firm’s commission distribution by attending a content-driven session on CSA aggregation. Felix Mazer, Policy Counsel Tracey Stern, Assistant Manager, Market Regulation Patrick McEntyre, VP Sales, iiroC osC itG Canada 3:00 PM networking break Continue the discussion with your peers while enjoying a refreshing break. DAY 2 7:30 AM registration opens October 8, 2009 3:30 PM Gatekeeper obligations: Clarifying the investment firm’s responsibilities and the importance of training in this area Gatekeeper obligations mainly rest with registrants – primarily with investment firms, their traders and salespeople. In the past years, the investment industry has witnessed numerous enforcement actions that specifically cite gatekeeper failures. Ensure that you avoid the risk that such failures can expose your firm to by attending: • A brief review of the gatekeeper requirements for the Canadian investment industry • A look at some of the past enforcement actions in this area • Some lessons for today and indications for the future Get a crash course on how to avoid gatekeeper failures and the enforcement actions that may follow from a leading industry expert. 8:20 AM opening remarks from the Chair 8:30 AM achieving ‘meaningful Disclosure’ under Proposed ni 23-102: ensure that you operate within the Parameters To effectively respond to new regulatory requirements compliance officers must develop a clear understanding of disclosure requirements. This session addresses the issue of how to provide clients with ‘meaningful disclosure’ by answering these key questions: Leo Purcell, President Comarm solutions • What is currently required under NI 81-106 for investment funds? • What do we expect from the proposed NI 23-102 on disclosure? • Is there anything we can glean from the UK and US experience on disclosure? Develop a clear understanding of the proposed requirements under the proposed NI 23-102 and gain practical tips on soft dollar disclosure. (Former CCO, GMP Private Client) 4:15 PM the impact of alternative trading systems: ensuring your use of atss maintains Compliance with trading rules The complexities introduced by the rise of ATSs in Canadian markets make the responsibility for best execution more challenging for both the buy-side and sell-side. This session will examine recent developments in the proliferation of ATSs, and the resultant need for the industry to adjust to multiple markets. • Strategies to ensure you remain compliant with CSA and IIROC rules while using ATSs • Understanding the expanding range of ATS choices • How proposed trade-through rules by the CSA place the onus on marketplaces, including ATSs End the day with a primer on the impact of ATSs and what implication they have for compliance. Ellen Lee, Vice President, Risk Management tD asset management inc. 9:15 AM learning from Commission sharing arrangements in the united kingdom Money management firms have made effective use of commission sharing arrangements in the U.K., under the regulation of the Financial Services Authority (FSA). Attend this session to gain insight from across the Atlantic on: • The regulatory role of the FSA and MIFID on unbundling and commissions • Has this been a positive experience? Examining pros and cons • What the Canadian domestic market gains from understanding the UK experience Gain international perspective on regulating commissions with this exclusive case study that puts your role as a compliance officer into a broader perspective. Cindy Petlock, General Counsel and Corporate Secretary CnsX markets inc. (Manager, Market Regulation, Ontario Securities Commission, 2001-2007) Randee B. Pavalow, alpha trading systems Sharon Persia, Global Head of Commission Management Head of Operations and Regulatory Matters ubs investment bank Dan Verrastro ubs investment bank 5:00 PM Conference adjourns to Day two 10:00 AM networking break Interact with conference speakers and fellow attendees. evening social activities Network with industry leaders and stakeholders while enjoying some of the best Toronto has to offer. Start by joining fellow delegates and speakers for complimentary appetizers in the hotel lounge.** DAY 2 Continued 10:30 AM Case Study October 8, 2009 trade management oversight Process: Defining Clear Parameters for trading Compliance It is imperative to have a strong structure in place that oversees key areas: trade policies and processes, disclosures and record keeping. All this is necessary to ensure best execution, and this session will provide methods to ensure your trade management oversight process is effective and covers all the required areas. • Clear guidelines on broker selection • Proven trade management oversight processes that have worked • Understanding the value of strong oversight Attend this valuable case study session to comprehend the value of a strict trade management oversight process. 2:15 PM effective use of Commission recapture: how new regulations will impact its use and how to maximize its Potential for your firm Commission recapture allows institutional investors to track the amount of commission dollars and, in prescribed circumstances, receive back a certain percentage. The practice raises questions about whether best execution is impeded if incentives do not act in the best interests of the client. Attend this session to understand what is at stake. • Whether using commission recapture services is a good option and how best to employ them • Examining the pros and cons A must-attend session for clear understanding of what commission recapture services offer and how they impact your NI 23-101 and NI 23-102 obligations. Vidis Vaiciunas, VP and Head of Trading highstreet asset management 11:15 AM Comparative analysis of top Csa Providers: source your best fit Regulatory developments have helped spur the growth of CSAs, and the proliferation means that firms must carefully assess their CSA provider to find an appropriate fit. Integrity Research recently conducted a survey of 105 investment firms, including hedge funds, mutual funds and investment advisors to determine their usage, preferences, and projected use of commission arrangements. Learn about the findings and determine your own best option: • Buy-side demand trends for CSAs • Factors seen as most important in selecting CSA brokers • Industry initiatives driven by market concerns about CSAs • Strengths and weaknesses of CSA brokers used by the firms Gauge the future of CSAs and the wider impact this has on best execution and the compliance officer’s role – and what it means to you. Wayne McAlpine, President Commission Direct inc. 3:00 PM networking break Interact with conference speakers and fellow attendees. 3:30 PM Preparing for usa Capital market harmonization As capital markets grow increasingly interconnected, it is vital to understand the resultant impact on best execution – how it is defined and how it can be achieved practically. Attend this session to gain a broad perspective on: • The specific impacts of harmonization on Canadian and U.S. markets • The differences between regulated environments in the U.K. and North America – examining the jurisdictional issues • Applicable strategies for your firm to adapt to increasing harmonization Ready yourself for the rapid pace of global market integration and what impact this will have on the compliance role with this high-level information session. Michael W. Mayhew, Chairman/Global Director of Research integrity research (new york) 12:00 PM networking luncheon Join the conference speakers and your peers for a relaxing lunch. 1:30 PM break-out session: interactive Peer-to-Peer forum – Compare and Contrast best Practices in Commission management Attendees will assess best practices learnt from the day as well as internal practices from their companies, and evaluate best practices in commission management and best execution. One person from each table will be nominated to share findings at the end of the session. The exchange will facilitate greater peer-to-peer collaboration and creative solutions. Barri Bogner, Counsel arnold and Porter llP (new york) 4:15 PM Conference adjourns CHECk OUT the value added workshops Pre-Conference Workshops: october 6, 2009 w w ksh or o 9am ~ 12pm A trading 101: essential tool for Compliance officers overseeing securities trading ksh or o 1pm ~ 4pm B This intensive three-hour workshop provides an introductory crash course in trading, to assist compliance professionals and other non-traders in understanding some of the key concepts and processes that traders apply. Developing a sound understanding of trading enables compliance professionals and others to do their job more effectively and better understand where the potential for violation arises and risks exist. This will aid in ensuring that a stringent trade management oversight process can be put in place. key accounting hazard areas for Compliance officers and wealth managers: Disclosure best Practices from a forensic accounting specialist Source 6 key learning objectives:  Develop a better understanding of trading jargon – take part in the key debates with greater ease  Learn the insider’s perspective on how regulations impact the trading process  Find out where traders most often fall into error and prepare your policies accordingly  Communicate more effectively with your trading department and coordinate your strategy with an understanding of their perspective  Improve your decision-making processes and fulfill professional obligations  Help identify where risk and your weakest link exists Advance your understanding of the trading environment and benefit from an essential primer on the industry before attending the conference itself – maximize your learning experience! Wayne McAlpine, President Commission Direct inc. our Conference venue: Hyatt Regency Toronto on king Experience Hyatt Regency Toronto on King’s location in the center of the city’s vibrant downtown. Fresh from a multi-million dollar renovation, our sparkling new Toronto downtown hotel showcases is your perfect hub for business or pleasure travel. Explore attractions like the Royal Ontario Museum or the Opera House – our Hyatt Toronto hotel is adjacent to the Theatre District. Take a shopping trip to Eaton Centre, trendy Queen Street, or exclusive Yorkville. Whether you are visiting the Hyatt Regency Toronto on King for business or pleasure, our associates are ready to provide you with exceptional service and personal attention. hyatt regency toronto on king 370 King Street West, Toronto, Ontario, Canada M5V 1J9 | Tel: +1 416 343 1234 P Accounting practices can provide major challenges to wealth managers and for compliance officers who must take preventive action against faulty accounting. Prepare yourself for another facet of compliance and round out your conference take-aways by attending! This intensive workshop presents solutions for both groups by examining some of the key areas of disclosure and accounting where errors occur. Get 7 immediately applicable solutions to take back to your office:  A checklist of likely questionable accounting practices that often lead to trouble down the road  Understanding ‘fair presentation’  When to classify and when to disclose  Understanding the challenges of segmented disclosure  Making the distinction between ‘financial position’ and ‘condition’  The Accounting Pendulum: what it means for compliance  ‘The Going Concern’ assumption anthony is a founding partner of Veritas Investment Research. In 2004, Anthony was appointed to the CICA's Emerging Issues Committee and in 2006 was awarded the Award of Distinction by the Institute of Chartered Accountants of Ontario for his impact and leadership in the accounting profession. Anthony is currently on the CICA's User Advisory Council. P Anthony Scilipoti, Founding Partner/EVP veritas research staying at the hotel has ADvANTAGES for you!  The entire conference will take place inside the Hyatt Regency Toronto. You will be just steps away from all the sessions and networking action!  Specially arranged evening SOCIAL ACTIVITIES to facilitate peer-to-peer interaction and networking will be taking place in the hotel. mention “trading Compliance summit by strategy institute” you will pay only $195/night for a standard room in this luxurious hotel.  save $70.00 per night! With the special room block  World class amenities! Experience Hyatt Regency Toronto’s dining, swimming pool and fitness facilities. hub. Take in a show!  Located in the Theater district and city's entertainment  Bring your spouse and enjoy a mini vacation while attending the conference. Trading ComplianCe ATTENTION MAILROOM: If undeliverable to addressee, please forward to: Chief Compliance Officer (CCO), VP Trade Management, Operations Director, Global Commission Management, Institutional Sales Why you Should Attend  new regulations  trade-through update  soft Dollars  atss  meaningful Disclosure  Csas  best execution  technology solutions & BeSt exeCution Summit Wednesday October 7th and Thursday October 8th, 2009 | Hyatt Regency Toronto | Toronto, ON hoW to ReGISteR E-Mail: registrations@strategyinstitute.com Telephone: 416-944-9200 1-866-298-9343 (Toll-free) Fax: 416-944-0403 1-866-298-9344 (Toll-free) Mail: Strategy Institute 401 Richmond St. West, Suite 401 Toronto, Ontario M5V 3A8 Please register this person for: Trading Compliance & Best Execution Summit 1 2 ConferenCe PriCinG EaRly Bird SAVE $250 July 31 st EaRly Bird SAVE $100 register by register by September 10th Regular Investment REGISTRATION FEE: The registration fee for the Trading Compliance & Best Execution Summit is $1,795.00 plus GST. This investment includes luncheon, refreshments, networking breaks, continental breakfast, and original course materials. Payment is required in advance and can be made by company cheque, VISA, MasterCard, or American Express. Please make cheques payable to Strategy Institute Inc. Conference Only Conference + 1 Workshop Conference + 2 Workshops Workshop Only (each) ❏ ❏ ❏ ❏ $1,545 $1,840 $2,135 $ 395 ❏ ❏ ❏ ❏ $1,695 $1,990 $2,285 $ 395 ❏ ❏ ❏ ❏ $1,795 $2,090 $2,385 $ 395 Group Discount send 3 delegates and the 4th delegate attends for free! GROUP DISCOUNT: A Group Discount is offered for this conference (not in combination with any other offer). To be eligible for the Group Discount, delegates MUST register at the same time. The total discount per delegate (including applicable group discounts, etc.) MUST not exceed 25% of the regular conference cost. ContaCt Details DELEGATE NAME: COMPANY/FIRM: ADDRESS: CITY: TELEPHONE: ( MOBILE: ( APPROVING MANAGER’S NAME: ) ) EMAIL: TITLE: PROV/STATE: FAX: ( ) POSTAL CODE: TITLE: 3 methoD of Payment ❏ VISA ❏ MasterCard ❏ American Express ❏ Payment Enclosed CARD HOLDER’S NAME: CARD NUMBER: SIGNATURE: EXPIRATION DATE: GST# R 1 3 8 7 9 0 6 6 2 ❏ Please Invoice Me (Invoice due upon receipt) CANCELLATIONS: Cancellations must be received in writing by September 23rd, 2009. Cancellations received by this date will be eligible for a prompt refund less a $495.00 administration fee. If you register for the program and do not attend, you are liable for the full registration fee unless you cancel according to the terms stated above. If you are unable to attend, delegate substitution is permitted up to, and including, the day of the conference. **Evening Social Activities: You are responsible for own consumption costs. / CONFERENCE CODE: 109013