WORLD TRADE  
ORGANIZATION  RESTRICTED 
S/FIN/W/12/Add.7/Rev.1  
10 November 1997 
 (97-4942) 
Committee on Trade in Financial Services Original:   English 
  
 
COMMUNICATION FROM CANADA 
Revised Offer on Financial Services 
Revision 
 The following communication is circulated at  the request of Canada to Members of the 
Committee on Trade in Financial Services. 
_______________ 
 Canada hereby presents a revised offer of specific commitments in financial services. 
 The Canadian revised offer reaffirms Cana da's commitment to working constructively 
towards achieving a successful conclusion of  the GATS financial services negotiations. 
 The revised offer binds Canada's existing open  financial services regime and also provides for 
the following liberalization commitments: 
· Canada will allow foreign banks to branch directly into Canada; and 
· Foreign bank subsidiaries operating in Canada and originating from a non-NAFTA 
country will no longer have to seek authorization from the Minister of Finance to open more than one branch.  NAFTA-origina ted subsidiaries are not subject to this 
requirement. 
 In addition, technical adjustments and corrections are made to a number of federal and 
provincial measures. 
 The revised Canadian offer is conditional upon the level of liberalization commitments 
undertaken by other WTO members by the December 12 deadline.  Canada reserves the right to make 
technical changes and to correct any errors, omissi ons or inaccuracies respecting items at federal or 
sub-national levels.  
 S/FIN/W/12/Add.7/Rev.1 
Page 2 
CANADA - SCHEDULE OF SPECIFIC COMMITMENTS  
 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
7. FINANCIAL SERVICES 
Measures applicable to all Sectors in Financial Services 
1. Commitments in this Chapter are undertaken in accordance with  the Understanding on Commitments in Financial Services ("Under standing§"). 
2. For greater certainty, market access commitments with re spect to the "cross- border" and "consumption abroad" supply of services (as described in paragraphs 2(a) 
and 2(b) of Article 1 of the General Agreement of Trade in Services) apply only to the transactions indicated in paragraphs 3 a nd 4 of Market Access of the 
Understanding.  It is understood that paragraph 4 of that section of the Understanding does not impose any obligation to allow non-resident financial services 
suppliers to solicit business. 
3. The commitments on "commercial presence" are bound according to the Understanding. 
4. The commitments on "presence of natura l persons" are scheduled in accordance with the Understanding  and bound according to the general limitations applicable 
to all sectors in this schedule (Part I). 
5. Otherwise, the commitments in this Ch apter are subject to the general conditions or limitations applicable to all sectors in  this schedule. 
 (1), (2) None (1), (2) None, other than: 
(i)  Certain supplies between members of a 
closely-related group of corporations which includes a financial institution 
may be treated as ex empt supplies under 
value-added taxes.  Imported supplies do not qualify for this treatment. 
(ii) Supplies between resident and non-
resident branches or representative offices of a financial institution are 
treated as supplies between separate 
persons for the purposes of value-added taxes.   
  S/FIN/W/12/Add.7/Rev.1
 Page 3 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 (3) None, other than: 
 Federally-regulated financial institutions 
having capital in excess of $750 million are required, within five years of having 
reached the threshold, to have 35 per cent 
of their voting shares widely-held and listed and posted for trading on a Canadian 
Stock Exchange. (3) None, other than: 
(i) Certain supplies between members of a 
closely-related group of corporations which includes a financial institution 
may be treated as ex empt supplies under 
value-added taxes.  Imported supplies do not qualify for this treatment.   
 S/FIN/W/12/Add.7/Rev.1 
Page 4 
 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
  (ii) Supplies between resident and non-
resident branches or representative 
offices of a financial institution are treated as supplies between separate 
persons for the purposes of value-added 
taxes. 
Federally regulated institutions (i.e. insurance, 
banks and trust and loan): A minimum of one 
half of directors must be either Canadian citizens ordinarily resident in Canada or 
permanent resident ordinarily resident in 
Canada. 
The Government of Ontario Management Board 
Directive and Industrial Development Review 
Process provides for a pri ce preference of up to 
10 per cent for Canadian content based on 
value-added in Canada for certain government 
purchases.  The Management Board Directive 
applies on the basis of the nationality of the 
individual service provider.   
  S/FIN/W/12/Add.7/Rev.1
 Page 5 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 (4) See paragraph 4 of headnote on Financial 
Services. (4) See paragraph 4 of headnote on 
Financial Services.  
A. Insurance and Insurance-
Related Services  
(CPC 812* + 814 ) 
(a) Life, accident and health 
insurance services 
(CPC 8121) 
(b) Non-life insurance 
services (except deposit 
insurance and similar 
compensation schemes) (CPC 8129) (1) None, other than: 
 Direct insurance (federal):  Services must 
be supplied through a commercial presence 
with the exception of marine insurance. 
 (All provinces, excluding Newfoundland):  
Services must be supplied through a 
commercial presence. 
 Reinsurance and retrocession (federal):  
Services must be supplied through a 
commercial presence. 
 (All provinces, excluding Alberta and New 
Brunswick):  Services must be supplied 
through a commercial presence. (1) None 
   
 S/FIN/W/12/Add.7/Rev.1 
Page 6 
 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
(c) Reinsurance and 
retrocession 
(CPC 81299*) 
 (2) None, other than: 
 Reinsurance and retrocession (federal, 
Alberta and Newfoundland):  The 
purchase of reinsurance services by a 
Canadian insurer, other than a life insurer 
or a reinsurer, from a  
 non-resident reinsurer is limited to no 
more than 25 per cent of the risks 
undertaken by the insurer purchasing the reinsurance. (2) None, other than: 
 Direct insurance other than life, personal 
accident, sickness or marine insurance 
(federal):  An excise tax of 10 per cent is 
applicable on net premiums paid to non-
resident insurers or exchanges in regard to a contract against a risk ordinarily 
within Canada, unless such insurance in 
deemed not to be available in Canada.  
  Direct insurance (Alberta):  A fee 
payable to the province of 50 per cent of 
the premium paid and regulatory 
notification are required on insurance of risks in the province by unlicensed 
insurers. 
(Saskatchewan): A fee payable to the 
province of 10 per cent of the premium 
is required on insurance of risks in the province by unlicensed insurers.   
  S/FIN/W/12/Add.7/Rev.1
 Page 7 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 (3) None, other than: 
 Direct insurance and reinsurance and 
retrocession (federal):  The solicitation of 
insurance services in Canada can only be 
effected through: 
 (i) a corporation incorporated under 
 federal or provincial laws; (3) None, other than: 
 (Ontario):  Capital requirements for 
mutual insurance companies do not apply to certain mutual insurance 
companies incorporat ed in Ontario.  
  (ii) a corporation incorporated by 
 or under the laws of another  jurisdiction outside Canada  
 (i.e., a branch of a foreign 
 corporation);  (Quebec):  Three quarte rs of directors must 
be Canadian citizens and a majority must reside in Quebec.  
 (iii) an association formed on the plan 
known as Lloyds. 
(iv) reciprocal insurance exchanges   
 A controlling number of shares of a Canadian 
insurance subsidiary must be held directly by 
the foreign insurance company incorporated 
in the jurisdiction where the foreign insurance company, either dir ectly or through a 
subsidiary, principally carries on business. (Quebec): Every corpor ation not corporated 
under an Act of Quebec has, in respect of the 
activities it carries on in Quebec, the rights and 
obligations of an insurance company or mutual association incorporated  under Acts of Quebec 
as the case may be. It can also exercise 
additional activities provided for in the law. However, the activities of such corporation will 
be limited to those allowed under its constituting 
legislation.   
 S/FIN/W/12/Add.7/Rev.1 
Page 8 
 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 A branch of a foreign insurance company 
must be established directly under the foreign 
insurance company in corporated in the 
jurisdiction where the foreign insurance 
company, either dir ectly or through a 
subsidiary, principally carries on business.   
 (All provinces):  Insurance activities can only 
be provided through: 
(i) a corporation incorporated under 
provincial statutes; 
(ii) an extra-provincial insurance 
corporation, i.e., an insurer incorporated by, or under the laws of another 
jurisdiction (including a federally-
authorized branch of a foreign corporation);   
 (iii) an association formed on the plan known 
as Lloyds; 
(iv) (excluding Manitoba, Quebec and Prince 
Edward Island):  Reciprocal insurance exchanges.    
  S/FIN/W/12/Add.7/Rev.1
 Page 9 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 (Alberta and Prince Edward Island):  
Subsidiaries of foreign insurance corporations 
must be federally-authorized. 
(Quebec):  Non-residents can acquire, either 
directly or indirectly, no more than 30 per 
cent of the voting shares of any Canadian-controlled and Quebec-chartered company 
without ministerial approval.   
 (Quebec): Upon any allo tment or transfer of 
voting shares of the capital stock insurance 
company "SSQ, Société d'assurance-vie inc" 
or of the holding company "Groupe SSQ inc", the minister may ask such companies to prove 
that the shares were offered by preference to 
Quebec residents and subsequently to other Canadian residents, but that no offer was 
made or was acceptable.   
 (Federal):  The purchase of reinsurance 
services by a Canadian insurer, other than a 
life insurer or reinsurer, from a resident reinsurer is limited to no more than 
75 per cent of the risks undertaken by the 
insurer purchasing the reinsurance.    
 S/FIN/W/12/Add.7/Rev.1 
Page 10 
 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 (British Columbia):  Incorporation, share 
acquisition or application for business 
authorization, where any person controls or will control 10 per cent or more of the votes 
of the company, is s ubject to ministerial 
approval.   
 (Non-life insurance (Ont ario):  Reciprocal 
insurance exchanges must maintain guarantee 
fund of $50,000 unless an auto or fire insurer has principal office in Ontario, then $25,000 
is required. 
(Motor vehicle insurance):  (Quebec, 
Manitoba, Saskatchewan and British 
Columbia):  Mandatory component of  motor 
vehicles insurance is provided by public monopoly. 
(4) See paragraph 4 of headnote on Financial 
Services. (4) See paragraph 4 of headnote on 
Financial Services.   
  S/FIN/W/12/Add.7/Rev.1
 Page 11 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
(d) Services auxiliary to 
insurance (including broking 
and agency services)  (CPC 8140) 
 (1) None, other than: 
Intermediation of insurance relating to 
maritime shipping, comm ercial aviation, space 
launching, freight (incl. satellites) and goods 
in international transit (all provinces):  
Services must be supplied through a 
commercial presence in the province in which 
the service is provided. (1) None  
 (Ontario and Prince Edward Island):  Non-
resident individual adjusters are prohibited 
from being adjusters in the province.   
 (Manitoba): Licenses to act as insurance 
agents and brokers are not issued to non-
residents of Canada. 
(Alberta and Manitoba): A license to act as a 
special broker authoriz ed to place insurance 
coverage with unlicensed insurers is restricted 
to residents of the province, as the case may 
be.    
 (British Columbia): Licenses for general 
insurance shall be issued only to residents of the province. 
    
 S/FIN/W/12/Add.7/Rev.1 
Page 12 
 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 (Prince Edward Island): Licenses to act as 
insurance agent or adjusters are not issued to 
non-resident of the province. 
(Saskatchewan): Fire or hail insurance contracts 
have to be signed or countersigned by a 
licensed agent who resides in the province. Where there is disagreement concerning hail 
insurance, such damages are to be estimated by 
an appraiser who is a taxpayer of the province.   
 (2) None (2) None, other than: 
Intermediation of insurance relating to 
commercial aviation, space launching, freight 
(including satellites) and goods in 
international transit (federal):  An excise tax 
of 10 per cent is applicable on net premiums 
paid to non-resident insurers or exchanges in 
regard to a contract against a risk ordinarily 
within Canada, unless such insurance is 
deemed not to be available in Canada.  The 
excise tax is also applicable on net premiums payable with regard to a contract entered into, 
through a non-resident broker or agent, with 
any insurer authorized under the laws of Canada or of any province to carry out the 
business of insurance.   
  S/FIN/W/12/Add.7/Rev.1
 Page 13 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 (3) None, other than: 
(Ontario):  No licence is provided to a 
corporation to act as an insurance broker, agency or adjuster if the majority of the voting 
rights are in shares owned by non-residents.  A 
corporate agency or adjuster or insurance broker which is majority (3) None 
  
 Non-resident-owned and licensed as a  result of 
grandfathering cannot expand through purchase of assets or business or merger or 
amalgamation with any other broker, agent or 
adjuster.  No licence is provided to a 
corporation or partnership which is an 
insurance agency or adjuster if the head office 
is outside Canada or if any partner is resident outside Canada.   
 (4) See paragraph 4 of headnote on Financial 
Services.  (4) See paragraph 4 of headnote on Financial 
Services.  
B. Banking and Other Financial 
Services (excl. insurance)  
(CPC 81115 to 81119 + 813) 
(a)  Acceptance of deposits and 
other repayable funds from the public (CPC 81115- 81119)  
 (1) None 
(2) None  (1) None 
(2) None   
 S/FIN/W/12/Add.7/Rev.1 
Page 14 
 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
(b) Lending of all types, 
incl., inter alia, 
consumer credit, 
mortgage credit, factoring and financing 
of commercial 
transactions (CPC 8113) 
(c) Financial leasing 
(CPC 8112)  
 (3) None, other than: 
Banks:  Foreign banks must incorporate 
subsidiaries in Canada to undertake the 
business of banking. 
No one person (Canadian or foreign may own 
more than 10 per cent of any class of shares of 
a Schedule I bank. 
Trust and loan companies (federal and all 
provinces):  Federal or provincial 
incorporation is required. 
 (3) None, other than: 
Trust and loan companies  
(Alberta):  At least three quarters of the 
directors must be ordinarily resident in Canada. 
(New Brunswick): At least two of the 
directors must be resident in New Brunswick. 
(Nova Scotia):  A majority of directors 
must be resident in Canada and at least 
two resident in Nova Scotia. On February 14, 1997, the 
Government of Canada 
announced its intention to 
implement a new foreign bank entry regime that will allow 
foreign banks to branch 
directly into Canada. By June 30, 1999, Canada will modify 
its Schedule to incorporate the 
results of the implementation of this regime, including any 
limitations, conditions or 
qualifications that may be required under Article XVI or 
XVII. 
(d) All payment and 
money transmission services  
(CPC 81339*) 
 (Ontario, Quebec and Manitoba):  The direct 
or indirect acquisition of Canadian-controlled companies by foreign persons is restricted to 
10 per cent individually and 25 per cent 
collectively.   
(e) Guarantees and 
commitments 
(CPC 81199*) 
 (Saskatchewan):  Individual and collective 
foreign ownership of Canadian-controlled and 
provincially incorporat ed companies can be no 
more than 10 per cent of shares.   
 (British Columbia):  Incorporations, share 
acquisition or application for business 
authorization, where any person controls or 
will control 10 per cent or more of the votes of the company, are subj ect to ministerial 
approval.    
  S/FIN/W/12/Add.7/Rev.1
 Page 15 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 (Ontario, New Brunswick and Nova Scotia):  
Incorporation or registration will be refused 
unless authorities are satisfied that there exists a public benefit and advantage for an 
additional corporation. 
(Ontario): Consent to change in control or 
transfers of 10 per cent or more of voting 
shares may be refused if it would be in the 
public interest to do so.  (Manitoba and Ontario):  Foreign persons 
may not exercise the voting rights attached 
to shares if they are not registered as shareholders in respect of the shares. 
(Manitoba): Majority of directors 
must be resident in Canada. 
  
 Banks and trust companies (federal):  A 
controlling number of shares of a Canadian 
bank or trust company subsidiary must be held 
directly by the foreign banks or trust company 
incorporated in the jurisdiction where the foreign bank or trust company, either directly 
or through a subsidiary, principally carried on 
business. (Quebec):  Three quarte rs of the directors 
must be Canadian citizens and a majority must reside in Quebec. 
Credit unions and caisses populaires 
(Ontario):  Directors of credit unions must be Canadian citizens or permanent resident. 
 Credit unions, caisses populaires and 
associations or groups th ereof (all provinces):  
Must incorporate in the jurisdictions in which 
they operate. (British Columbia):  Directors and 
subscribers of credit unions must be 
residents of the province. 
   
 S/FIN/W/12/Add.7/Rev.1 
Page 16 
 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 Mortgage brokers (Ontario):  Must incorporate 
under the laws of Canada, Ontario or of 
another province.  Ownership of a corporation by foreign persons must not exceed 10 per 
cent individually and 25 per cent collectively 
of the total number of equity shares. (All provinces except British Columbia, 
Ontario and Quebec):  Credit unions and 
caisses populaires are exempt from the corporate capital tax. 
(Alberta):  Directors of credit unions must be 
Canadian citizens or permanent residents of Canada and three quarters must at all times 
be ordinarily resident in the province. 
  
  (Manitoba and Nova Scotia): Directors of 
credit unions must be Canadian citizens.  
 (Nova Scotia):  Must incorporate under the 
laws of Canada or Nova Scotia. (Quebec):  Founding members of caisses 
populaires must have a residence, place of 
business or employment in the territory 
mentioned in the caisse's statutes.  
 (Saskatchewan):  Must maintain a business 
office in the province. Community bonds corporations (Manitoba, 
New Brunswick and Saskatchewan):  
Directors of Community Bonds Corporations 
must be resident of the province.   
  S/FIN/W/12/Add.7/Rev.1
 Page 17 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
 Loan and investment companies (Quebec):  
Federal or provincial incorporation. 
Co-operative corporations (New foundland and 
Ontario):  Must incorporate under the law of the 
applicable province or under federal law.  
Lending of all types (Nova Scotia):  Must 
incorporate under the laws of Canada or Nova 
Scotia. 
Acceptance of deposits (Quebec):  The 
acceptance of deposits of public and para-public 
institutions is provided by a public monopoly. Venture capital corporations (federal and all 
provinces):  Measures that result in a 
different tax treatment with respect to an investment in a venture capital corporation as 
prescribed pursuant to the Income Tax Act of 
Canada and provincial laws.  
 (4) See paragraph 4 of headnote on Financial 
Services, and: 
Mortgage brokers (Ontario):  Must be Canadian 
citizens or permanent residents of Canada and 
are ordinarily resident in Canada. (4) See paragraph 4 of head note on Financial 
Services.  
 (Nova Scotia):  Must be resident in the province.    
 S/FIN/W/12/Add.7/Rev.1 
Page 18 
 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
(f) Trading for own account 
or for account of 
customers whether on an exchange, in an 
over-the-counter market 
or otherwise, the following: (1) None, other than: 
Advisory and auxiliary financial services (Alberta, 
British Columbia, Nova Scotia, Ontario, Quebec 
and Saskatchewan):  Services must be supplied 
through a commercial presence in the jurisdiction 
in which the adviser is providing advice. (1) None  
- money market 
instruments (cheques, 
bills, certificate of deposits, etc.) (CPC 
81339*); Asset management (Alberta, British Columbia, 
Nova Scotia, Ontario, Quebec and Saskatchewan):  
Services must be supplied through a commercial presence in the jurisdiction in which the service is 
provided.   
- foreign exchange 
(CPC 81333*); 
- derivative products 
incl. but not limited to, futures and options 
(CPC 81339*) 
 (Quebec):  The management of pension funds of 
public and para-public institutions in Quebec is 
provided by public monopoly. 
Advisory and auxiliary fina ncial services and Asset 
Management (Quebec): The establishment must be 
managed by a Quebec resident and the 
responsibility for opening up accounts is to be 
managed by a Quebec resident.   
 Custodial services (All provinces):  Mutual funds 
which offer securities in Canada must use a 
resident custodian.  A non-resident sub-custodian 
may be used if it has shareholders equity of at least 
$100 million.    
  S/FIN/W/12/Add.7/Rev.1
 Page 19 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
- exchange rate and 
interest rate 
instruments, incl. products such as swaps, 
forward rate 
agreements, etc.  (CPC 81339*) 
 (2) None, other than. 
Trading in securities and commodity futures - 
persons (all provinces):  There is a requirement 
to register in order to trade through dealers and 
brokers that are neither resident nor registered 
in the province in which the trade is effected. (2) None  
- transferable  securities 
(CPC 81321*) 
- other negotiable 
instruments and financial assets, incl. 
bullion (CPC 81339*) (3) None, other than: 
Securities dealers and brokers (British 
Columbia, Ontario, Saskatchewan, Yukon):  
Must be incorporated, formed or continued under federal, provincial or territorial laws. 
(Quebec):  Only broker age firms incorporated 
under federal, provincial or territorial laws may be members of the Montreal Exchange. 
Membership for individuals is limited to 
Canadian residents. (3) None 
Trading in securities and commodity 
futures and advisory and auxiliary 
financial services - dealers, brokers, and 
advisers:  (Alberta, Ontario, 
Newfoundland, Nova Scotia, Manitoba 
and Saskatchewan):  A director or officer of an applicant firm must have been a 
resident of Canada for a period of at least 
one year prior to the application.   
 S/FIN/W/12/Add.7/Rev.1 
Page 20 
 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
(g) Participation in issues 
of all kinds of 
securities, including underwriting and 
placement as agent 
(whether publicly or privately) and 
provision of  service 
related to such issues (CPC 8132) 
(h) Money broking  
(CPC 81339*) Advisory and auxiliary financial services 
(British Columbia):  Must be incorporated, 
formed or continued under federal, provincial or territorial laws. 
Asset management (Quebec):  The 
management of pension funds of public and 
para-public institutions in Quebec is provided 
by a public monopoly. 
(4) See paragraph 4 of headnote on Financial 
Services  (4) See paragraph 4 of headnote on Financial 
Services  
(i) Asset management, 
such as cash or 
portfolio management, all forms of collective 
investment 
management, pension 
fund management, 
custodial depository and trust services 
(CPC 8119*, 81323*)  Trading in securities and commodity 
futures and advisory and auxiliary financial 
services - dealers, brokers and advisers:  
(all provinces except British Columbia and 
New Brunswick):  An individual applicant 
for registration is required to have been a 
resident of Canada for a period of at least 
one year prior to the application and a resident of the province in which he/she 
wishes to operate at th e date of application.   
  S/FIN/W/12/Add.7/Rev.1
 Page 21 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
(j) Settlement and clearing 
services for financial assets, 
incl. securities, derivative products, and other 
negotiable instruments 
(CPC 81339*, 81319*) 
  (Quebec):  An individual acting as a 
representative of a dealer or adviser, subject 
to certain exemptions, must be a resident of the province.  
(k) Advisory, intermediation 
and other auxiliary financial services on all the 
activities listed in 
Article 5(a)(xvi) of the Annex on Financial 
Services, incl. credit 
reference and analysis, investment and portfolio 
research and advice, advice 
on acquisitions and on 
corporate restructuring and 
strategy (CPC 8131*, 8133*) 
     
 S/FIN/W/12/Add.7/Rev.1 
Page 22 
 
Modes of supply:  (1)   Cross-border supply      (2)   Consumption abroad    (3)   Commercial presence     (4)  Presence of nat ural persons  
Sector or subsector Limitations on market access Limitations on national  treatment Additional commitments 
(l) Provision and transfer of 
financial information, 
and financial data processing and related 
software by providers of 
other financial services  (CPC 8131*, 842*, 843*, 
844*)    
  
  S/FIN/W/12/Add.7/Rev.1
 Page 23CANADA - LIST OF ARTICLE II (MFN) EXEMPTIONS  
 
Sector or subsector Description of measure indicating 
its inconsistency with Article II Countries to which the measure 
applies Intended duration Conditions creating the need for 
the exemption 
Insurance Intermediation: 
Agency Services Preferential access to the Ontario 
insurance services market is 
provided to non-resident 
individual US insurance agents. All states in the United States Indeterminate Reciprocity 
Financial Services, 
including lending of 
all types and trading for own account of 
certain securities by 
loan and investment companies. Preferential treatment in Quebec 
for allocation of licences is 
provided by the Province of Quebec to loan and investment 
companies incorporated under the 
laws of the Parliament of the United Kingdom and Ireland for 
purposes of obtaining a licence to 
carry on business. Great Britain and Northern Ireland, 
Republic of Ireland Indeterminate Maintenance of existing historical 
preference