Once the key to a Bay Street career, what’s next for the Canadian Securities Course under new licensing regime?

The Canadian Securities Course (CSC), for decades the foundational financial services industry credential, is no longer the entry ticket to a Bay Street career after changes that took effect at the beginning of this year.

As of Jan. 1, the Canadian Investment Regulatory Organization (CIRO) moved to an exam-based proficiency regime that doesn’t require candidates to complete courses to become advisors at investment dealers.

Before the change, candidates had to complete the CSC – offered by financial education firm the Canadian Securities Institute (CSI) – to be registered as a securities advisor. Launched in 1964, the CSC gives students a broad understanding of financial markets, investment products and economic and financial concepts.

Advisors looking to work for mutual fund dealers can still become registered by completing the CSC, but many choose the Investment Funds in Canada (IFC) course, another credentialing option. The IFC, which the CSI also offers, is less comprehensive than the CSC but also costs less than half the price.

U.K.-based Fitch Learning, which bought CSI last year, says that enrolment for the CSC has ranged between 10,000–12,000 registrations annually in recent years, with the majority of those being financial advisor trainees or those already working at investment dealers. Fitch Learning is part of Fitch Group.

Enrolment is likely to decrease as candidates move to new CIRO exam preparatory courses offered by other financial education providers, says Andreas Karaiskos, chief executive officer of Fitch Learning.

As part of a deal with CIRO to design and administer its new proficiency exams announced in 2024, Fitch Learning cannot provide preparatory courses for those exams.

Nevertheless, the CSC will continue to play a role in the Canadian financial education marketplace, Mr. Karaiskos says.

“Our [financial services industry] clients are saying we still want the CSC, so it is imperative for us to keep providing it, but I think it’s going to change,” he says.

Finance professionals will still need to complete the CSC to obtain the chartered investment manager, personal financial planner and other CSI designations and certificates, Mr. Karaiskos says. “We don’t see the need to disrupt those pathways.”

Regime change

CIRO published guidance on its new proficiency model in April, after the regulator completed a multi-year review of its licensing regime. CIRO’s existing contract with CSI as course provider ended on Dec. 31.

(Candidates who enrolled in the CSC before Dec. 31 can still become financial advisors under the previous CIRO licensing regime if they complete the course by the end of 2026 and meet other requirements.)

CIRO’s new proficiency regime requires candidates to complete one or more of nine exams, depending on the proficiency category, and meet baseline education or experience, dealer training, conduct training and continuing education requirements.

Advisor candidates looking to trade securities need to complete the Canadian Investment Regulatory Exam (CIRE), while those looking to trade and provide advice on securities would have to complete both the CIRE and the Retail Securities Exam (RSE).

The new proficiency regime gives learners more flexibility in terms of how to prepare for exams, and “allows us to be more agile in how we respond to industry changes and incorporate them into the proficiency model,” says Elsa Renzella, senior vice-president, member compliance and registration with CIRO.

Last year, Fitch Learning announced it was acquiring Moody’s Analytics Learning Solutions, a global provider of credit education, as well as CSI, which was owned by Moody’s, eight months after it had reached a deal with CIRO to provide exam administration.

Mr. Karaiskos says the deal for CSI was “strategically important,” even though CSI can no longer provide the securities advisor licensing course. Instead, Fitch Learning will look to build out and improve CSI’s designations.

CSI will also examine ways to adapt and update the CSC curriculum so that it continues to serve as “the bridge” to designations, Mr. Karaiskos says, and to address any educational gaps.

“That’s the bit where there’s still a lot of value [in the CSC],” Mr. Karaiskos says. “It provides you with the competency to reach the next level of the other designations.”

New exam prep

Meanwhile, several financial education providers – including FP Canada and SeeWhy Learning Inc. – have launched CIRE and RSE exam preparation courses, seeking to take advantage of the opportunity in the market.

Alexandra Macqueen, vice-president of learning, development and professional practice at FP Canada, says that while some candidates might be able to attempt CIRO exams on their own, she believes most will look to learn through preparatory courses.

“Simply reading [the material] isn’t sufficient,” Ms. Macqueen says. “You have to be able to apply it in client-facing scenarios.”

Cory Snyder, vice-president of operations at SeeWhy Learning, says that under CIRO’s new proficiency regime, candidates will benefit from the flexibility to choose how to prepare for exams.

“The learner population is large enough to support multiple [course] providers,” Mr. Snyder says.