Ontario Title Protection Legislation

In accordance with the Financial Professionals Title Protection Act¸ 2019, only individuals who hold an approved credential from an approved credentialing body are permitted to use the titles associated with the approved credential (either a Financial Planner or Financial Advisor credential).

FP Canada has been approved by FSRA as a credentialing body, and both CFP certification and QAFP certification have been approved by FSRA as Financial Planner credentials.

Accordingly, all CFP professionals and QAFP professionals are permitted to use the newly regulated “Financial Planner” title and any of the following “restricted variations” of the Financial Planner title, which have likewise been restricted by FSRA to individuals who hold an approved Financial Planner credential:

• any variation in spelling or abbreviation of Financial Planner (e.g. FP)
• ________ Financial Planner (e.g. Senior Financial Planner, Qualified Financial Planner, etc.)
• Financial ________Planner (e.g. Financial Wealth Planner, Financial Investments Planner, etc.)
• Financial Planner _________ (e.g. Financial Planner Investments)
• Financial Planning _________ (Advisor, Adviser, Coach, Consultant, Counsellor, Guru, Manager, etc.)
• any variation of the above titles in another language

FSRA has asserted that all credential holders with a “nexus to Ontario” are included in the scope of the title protection framework. Working with FSRA for clarity purposes, a “nexus to Ontario” can be considered to exist if the credential holder:

• Is principally resident in Ontario
• has an office or other place of business in Ontario
• provides financial planning and advising services to clients in Ontario
• holds out to consumers in Ontario that they are a credential holder, regardless of whether the credential holder has a direct or indirect presence in Ontario. An indirect presence in Ontario includes communicating with actual or potential Ontario clients via mail, telephone, email or any other method

Notwithstanding the transition period (outlined below), FSRA has indicated that they expect oversight of credentialing bodies to commence when a credentialing body is approved. Through the approved credentialing bodies, the oversight over credential holders under the title protection framework will start at this moment as well.

For FP Canada and CFP professionals and QAFP professionals, that date is April 11, which was the date of FP Canada’s approval as a credentialing body, and approval of CFP certification and QAFP certification as Financial Planner credentials, under the framework.

No. The Financial Professionals Title Protection Act regulates who has permission to use the titles Financial Planner and Financial Advisor; it does not compel their use. Therefore, just because you hold an approved Financial Planner credential (i.e. CFP certification or QAFP certification), it does not mean you must use that corresponding title.

However, given the consumer awareness campaigns beginning in the fall that will focus on the consumer protection benefits associated with regulated Financial Planner title we are strongly encouraging all CFP professionals and QAFP professionals to use one of the regulated titles.

This will make it easier for consumers to identify that you have the knowledge, skills, experience and ethics to provide the holistic financial planning advice they need.

No. Provided you maintain your CFP certification or QAFP certification in good standing, you do not need to take any action as a result of FSRA’s title protection framework.

No. CFP certification and QAFP certification have been approved as Financial Planner credentials.

Only individuals who hold an approved Financial Advisor credential may use the Financial Advisor title, or one of the following restricted variations of the Financial Advisor title:

• any variation of spelling or abbreviation of Financial Advisor (e.g. Financial Adviser, FA)
• ________ Financial Advisor (e.g. Senior Financial Advisor, Qualified Financial Advisor, etc.)
• Financial ________Advisor/Adviser (e.g. Financial Wealth Advisor/Adviser, Financial Investments Advisor/Adviser, etc.)
• Financial Advisor _________ (e.g. Financial Advisor Investments)
• Financial Advising ________ (Coach, Consultant, Counsellor, Guru, Manager, etc.)
• any variation of the above titles in another language

Therefore, unless you also hold a credential that has been approved by FSRA as a Financial Advisor credential, you cannot use the Financial Advisor title (or a restricted variation).

Unless you also hold a credential that has been approved by FSRA as a Financial Advisor credential, you will need to change your title, in accordance with FSRA’s transition rules.

Per FSRA’s transition rules, if you are a CFP professional or QAFP professional who was using the Financial Advisor title (or a restricted variation) on or before January 1, 2020, you may continue to use that title for two years from the date the legislation came into force (March 28, 2022). After that, you will either need to obtain an FSRA-approved Financial Advisor credential to continue using the title, or change your title to Financial Planner or another title that is not restricted by FSRA’s title protection framework.

Per FSRA’s transition rules, if you are a CFP professional or QAFP professional who started using the Financial Advisor title after January 1, 2020, you are only permitted to use the title once you hold an approved designation or license from a FSRA-approved credentialing body. You may change your title to Financial Planner or another title that is not restricted by FSRA’s title protection framework.

The Financial Professionals Title Protection Act, 2019, specifically restricts the titles Financial Planner and Financial Advisor (and the variations of each identified above). It does not restrict the use of any other titles. Therefore, anyone using any other title is not required to change that title or take any other action as a result of FSRA’s title protection framework.

CFP professionals and QAFP professionals may wish to voluntarily switch to using the regulated Financial Planner title to communicate their value to consumers and validate their education and expertise.

Once you obtain your CFP certification or QAFP certification you will immediately be permitted to use the Financial Planner title (or a restricted variation).

Until then, FSRA has set transition rules for the new framework that include rules for individuals who do not yet hold an approved Financial Planner credential, the core elements of which are as follows:

• If you do not hold a Financial Planner credential, but were using the Financial Planner title (or a restricted variation) on or before January 1, 2020, you may continue to use the title for four years from the date the legislation came into force (March 28, 2022). After that, if you have not obtained your certification, you will no longer be permitted to use the Financial Planner title
• If you do not hold a Financial Planner credential, and you were not using the Financial Planner title (or a restricted variation) on or before January 1, 2020, you are required to change your title effective immediately to another title that is not restricted by FSRA’s title protection framework.

FSRA has published a dedicated page for transition information online at: www.fsrao.ca/industry/financial-planners-and-financial-advisors/transition

FSRA has also created the following transition chart to help practitioners understand the implementation of the new framework:

FP Canada has also developed the following scenarios to help you understand the implementation of the new framework.

Transition Scenarios for CFP Professionals and QAFP Professionals

• Action Required to Comply with the Framework: None. You may continue to use your Financial Planner title (or a restricted variation) as long as you maintain your certification in good standing.

• Action Required to Comply with the Framework: Unless you hold an approved Financial Advisor credential, one of the following may apply:
• If you started using the title on or before January 1, 2020, you may continue using your title until March 28, 2024.
• If you started using the title after January 1, 2020, you are only permitted to do so once you have obtained an approved Financial Advisor credential from a FSRA-approved credentialing body. You may alternatively use the Financial Planner title or any other title not restricted by FSRA’s title protection framework.

• Action Required to Comply with the Framework: None. The title protection framework speaks only to the use of the titles Financial Planner and Financial Advisor, and their restricted variations.

• Action Required to Comply with the Framework:Action Required to Comply with the Framework: None. Regardless of whether you work directly with clients, as a CFP professional or QAFP professional, under the title protection framework you still have permissive use of the Financial Planner title (and restricted variations). You are not compelled to use them, however.

Transition Scenarios for Students and Candidates on the Path to CFP Certification or QAFP Certification

• Scenario 1: I am a student or candidate on the path to certification and currently use the Financial Planner title (or a restricted variation).
• Action Required to Comply with the Framework: FSRA has developed transition rules for individuals currently working to obtain their Financial Planner credential:
• If you started using the title on or before January 1, 2020, you may continue using your title until March 28, 2026.
• If you started using the title after January 1, 2020, you are only permitted to do so once you have obtained an approved Financial Planner credential from a FSRA-approved credentialing body. You may use any other title not restricted by FSRA’s title protection framework.
• If you are successful in obtaining your CFP certification or QAFP certification, all CFP professionals and QAFP professionals are permitted to use the newly regulated Financial Planner title and any of the previously identified restricted variations of the Financial Planner title, which have likewise been restricted by FSRA to individuals who hold an approved Financial Planner credential.
• Scenario 2: I am a student or candidate on the path to certification and currently use the Financial Advisor title (or a restricted variation).
• Action Required to Comply with the Framework: Unless you hold an approved Financial Advisor credential, one of the following may apply:
• If you started using the title on or before January 1, 2020, you may continue using your title until March 28, 2022.
• If you started using the title after January 1, 2020, you are only permitted to do so once you hold an approved Financial Advisor credential from a FSRA-approved credentialing body. You may use any other title not restricted by FSRA’s title protection framework.
• Scenario 3: I am a student or candidate on the path to certification and currently use a title other than Financial Planner, Financial Advisor, or a restricted variation of either.
• Action Required to Comply with the Framework: You may continue to use your title in accordance with FSRA’s title protection framework.

Yes. Individuals who hold an approved credential are permitted to use abbreviations and translations in French and other languages of the Financial Planner title.

The Financial Professionals Title Protection Act, 2019, regulates who has permission to use the Financial Planner and Financial Advisor titles; it does not compel their use.

Therefore, while employers may wish to embrace these titles given the value to consumers, they are not required to use these titles, or allow their use internally.

Going forward, FP Canada will work diligently to promote the value of the Financial Planner title to industry firms for the benefit of consumer clarity.

The financial professionals fee structure has been designed based on the estimated resources required to fulfill FSRA’s regulatory requirements under the FSRA Act, while enabling FSRA’s continued transformation into a principles-based, independent and transparent regulator through its priorities and operating activities.

Similar to other sectors regulated by FSRA, costs associated with FSRA’s regulatory oversight of the financial professionals sector must be recovered from the sector now that regulation has commenced.

Accordingly, there will be a mandatory fee to cover FSRA’s oversight that will be passed on to credential holders.

FSRA has published a Fee Rule detailing assessments and fees associated with the title protection framework. Please see: Amended FSRA Fee Rule

FSRA and credentialing bodies are still in the early stages of the fee assessment process and there needs to be greater understanding of the pool of credentialing bodies and associated credential holders that FSRA will be assessing for cost recovery purposes.

While FSRA has developed fee formulas it will use to assess fees, the fee amounts associated with the new framework will ultimately depend on the number of credentialing bodies that apply for approval under the framework.

The assessment for the first year is still being finalized by FSRA.