The exempt market in Canada

Unfortunately, we are forced to rely here again on deductions based on limited evidence: So incomplete are the data about the exempt market that we lack even complete information on the type of issuers, investors and securities, or the volume and duration of the securities and the level of redemptions. [...] This repository should allow for segmentation by industry, size of issuer, and by whether it is a reporting issuer or not, and it should provide detail on the size of each issue, the types of security, the intended use of the capital, and the liquidity and duration of the security, as well as requiring notification of redemptions. [...] CAPITAL MARKETS AND THE ROLE OF SECURITIES REGULATORS5 Since this paper is about the “exempt market,” it is important to provide some context for the role of a securities regulator in the exchange of capital between the saver (investor) and the user (firm). [...] In this scenario, one could even say that the role of the securities regulator is minimal since it is in the self-interest of both the firm and the investor to ensure that there is adequate information. [...] Based on the above, one may concede that the role of a securities regulator is to ensure an optimum level of regulation so that small investors are reasonably assured that the information provided to them is relevant, accurate and timely and that the penalty for providing false and late information is significant; this may be especially true in the case of small and unknown firms and if the issues