Compliance and Governance for Exempt Market Dealers

Specifically designed for EMDs, Dealing Representatives and issuers of prospectus exempt securities, this one (1) day in class course provides the Exempt Market professional with an advanced understanding of the obligations and regulations dealing with Exempt Market participants and its products, including OTC derivatives.

Gain a thorough understanding of:

  • Who qualifies to deal with an EMD?
  • Now that the investor threshold has changed for participation, does this mean increased regulation in this market and by whom?
  • What are the compliance requirements governing the Exempt or Private Capital Markets?
  • What are the obligations of the participants in each category?
  • Why is the outlook positive, yet the regulators concerned?
Compliance and Governance for Exempt Market Dealers

Day 1
  • Who qualifies to deal with an EMD
  • NI 31-103 Amendments implemented in July 2015
  • Breakdown of NI 31-103 and EMD obligations
    • Registration requirements
    • Delivering financial information
    • EMD activities
  • Compliance obligations
    • Dealing with Clients
    • Conflicts of interest
    • Suitability
    • KYC Requirements
    • Offering Memorandums and Subscriptions
  • All entities allowed to issue securities without a proper prospectus and will include:
    • Crowd Source funding
    • Issuers
    • EMDs
    • Fund companies
    • ICPMs
    • Others
  • Regulatory Reporting
  • OTC Derivative Processing Requirements
  • EXAM


Compliance and Governance for Exempt Market Dealers

This course should be of particular interest to those:

  • Interested in understanding the Exempt or Private Capital Markets & how it differs from other markets.
  • Interested in trading Exempt products or adding exempt products to their portfolio.
  • Interested in the strategies involved in this product.
  • Interested in the governance and regulatory oversight of the exempt market.
Compliance and Governance for Exempt Market Dealers


The benefit to the student is:

  • Gain a practical understanding of the composition and applications of Exempt Market products and how they are used by the savvy investor.
  • Gain an understanding of the different types of Exempt products, where, how and why they are traded, and which ones are most widely traded.
  • Gain a practical understanding of using Exempt portfolio strategies.
  • Understand the compliance and regulatory oversight of the Exempt Market. 

No advance preparation required, however follow-up courses recommended are:

  • Global Securities: Trading & Settlements
  • Inside Canada’s Securities Industry
  • Compliance

Compliance and Governance for Exempt Market Dealers
Note:  Location of classes will be confirmed closer to the date of the course.

Instructor: Alexander Daschko


After completing his honours degree in Political Science, summa cum laude, Alexander moved to Ottawa where he served as an Executive Legislative Assistant for a former federal cabinet minister. Thereafter, he earned a law degree at the University of Windsor. Between his 1st and 2nd year of studies, he acted as a Provincial Prosecutor in Thunder Bay, Ontario. He was called to the Bar in Ontario in 1991.

Alex is widely recognized for his expertise in the capital markets industry. He has served in senior and executive roles in regulatory and compliance areas, including such positions as Associate Counsel at Midland Walwyn Capital, the General Counsel of Charles Schwab Canada, CCO and interim CEO for CMC Markets Canada and General Counsel, Corporate Secretary and Head of Operations of Market Regulation Services, the successor of the Toronto Stock Exchange Market Regulation Division. He was also Head of Compliance, Retail Division with BMO Financial Group, Private Client Group.

He has a passion and facility for teaching and designing continuing education courses in the securities industry as evidenced with his primer on Canadian Securities Regulation, a seminar on Partners, Directors and Officers and a seminar on Ontario Securities Regulations to the Chinese Securities Regulatory Agency in Shenzhen, mainland China in 2000.

From late 2011 until 2013, he was senior counsel and client relationship consultant with the Hamilton law firm Evans Philp, where he focused on corporate governance, securities and compliance - including overseeing the firm’s legal advice to McMaster University. Alex continues to provide compliance consulting to a number of major financial institutions in Ontario and Quebec.

He is a leader and community builder, both at his alma mater and in the wider community.

He has been a member of the board of directors of a number of United Way funded groups, including:
• Planned Parenthood;
• Toronto Children’s Own Museum; and
• The Toronto Christian Resource Centre which provides a variety of successful support programs for those who are marginally housed or experiencing homelessness in Toronto’s Regent Park neighbourhood.

He was the Chair and President of the St. Demetrius Development Corporation, a long-term seniors’ care home and an independent senior’s apartment.

He has also been a member of Canadian delegations that acted as observers in the Ukrainian presidential and parliamentary elections in 2004, 2007, 2010, 2013 and, under the auspices of the Organization for Security and Co-operation in Europe’s (OSCE) Office for Democratic Institutions and Human Rights, one of the world’s principal regional human rights bodies, in October of 2012 and May of 2014. Most recently, he was a long term observer for the Parliamentary elections held in fall of 2014.

Alex has maintained his strong relationship with McMaster University, as a founding member of the MSU Alumni Association (MSUAA) in 1986, president of the McMaster Alumni Association in 1995-96 having served as on its board for 7 years. He was inducted into the McMaster University Alumni Gallery in 2006 and received the MSUAA Lifetime Leadership Achievement Award in 2013.

Compliance and Governance for Exempt Market Dealers