Regulatory LapDancers Help To Abuse Millions of Investors

The next thing this report claims to disclose is an open door accounting of the costs and fees that are paid on an investor's account.

Public problem #2 is that they left out some the essential costs and fees paid by investors.  The  fees left out of the disclosure to the clients in a cost disclosure document are the trailing commissions and internal management fees of investment products that are sold to the public.  These two links provide some insight into the clever ommissions designed into this client 'disclosure' document. 

https://www.tpcfinancial.com/blog/when-disclosure-fails-to-disclose-crm2/

https://www.ific.ca/wp-content/uploads/2016/06/Preparing-CRM2-Reports-fo...

The cost disclosure that they reveal in their disclosure document only shows how much in fees actually goes to the adviser, or the so-called advisor.  Try and keep up with the vowel-movements in the "advisor" term, as they also form a key part of the regulatory lapdance.

The fee disclosures that they conceal from the public, is in how much in hidden fees and embedded costs are concealed within the products.  The new cost disclosure documents do not have to reveal those fees.  It is like that extra pair of socks you don't declare at the border, they become a 'smuggled' item, like hidden parts on the new "Client Relationship Model" (CRIME2)

 To be accurate, the regulators call it CRM2, "Client Relationship Model", but what they dont tell you is that it is truly a crime against investors to deceive and dupe them, especially when it is done by regulatory agents. I call it CRIME2 because of the clever, dishonest nature of what it deliberately hides from the public.  It says "trust us", while telling lies.  Very expensive lies to the public, but very profitable to the industry...which is who pays the regulators.

Getting back to the fact that 96% of persons who call themselves advisor in Canada, do not hold the proper license or registration to use that term. 

This means that the fake investment advisor who's hiding (concealing) his or her correct license, can be a representative of the dealer, and not a true representative of the interests of the customer, and they do not have to reveal that in a client relationship disclosure document. This is where it gets a bit fraudy, to actually mislead Canadians about ones license, registration and duty of professional care.  It is extremely strange to also find securities regulators who are willing to ride high on that same bankwagon. (I typed "bandwagon", but some smart algorithim corrected it for me)

What that means is that when the so-called advisor has managed to fool vulnerable customers, into believing that they are talking to a financial professional and that the professional must represent the true interest of the customer...it is legally not true, and forms the most profitable "bait and switch" in the world, to my knowledge.

Capitalizing on the bait and switch, they can sell investment products to the duped customers, that earn themselves and their firm more money, and have hidden forms of compensation which they do not have to disclose in the "improved" fee disclosure document.

The end result is characterized well in the Questrade Commercials (30 second video enclosed) and also the victim audio recording, both very short and clear.

How did we arrive at an industry where lying to the customer is the necessary element in order to dupe them properly?  How did we get to a point where government authorized securities commissions will engage in lap dancing...to earn salaries approcahing $750k?

What amazing governance failure by thirteen provincial governments in Canada. By FCAC.  By anyone.  It reminds me of the decades of hidden Hollywood sexual abuse, except financial abusers have a few hundred thousand more handmaidens to keep things hidden...

More lawyers doing "hush-work", so the most powerful abusers in the world, financial abusers, can flourish.