When can an individual legally start selling mutual funds?

An individual is legally permitted to engage in registrable activities, such as selling mutual funds, only after their registration has been approved by the applicable provincial or territorial securities regulator. Passing exams, filing applications, and paying fees are necessary prerequisites, but they do not grant the legal authority to act. The official notification of registration from the securities administrator is the final confirmation that the individual is authorized to deal with the public.

A. Continuing education is a requirement to maintain registration, not to initially obtain the legal authority to sell.
C. Filing an application and paying a fee are initial steps in the process; approval from the regulator must be granted before selling can commence.
D. Successfully completing the proficiency examination is a core requirement for registration but does not in itself confer the right to sell.

1. Canadian Securities Administrators. (2009). National Instrument 31-103 Registration Requirements, Exemptions and Ongoing Registrant Obligations. Part 2, Section 2.1(1) states, "a firm must not act as a dealer...unless the firm is registered in that category".

2. Canadian Securities Institute. (2023). Investment Funds in Canada. Chapter 13: The Registration Process, Section 13.2, "Getting Registered". The text clarifies that registration is granted by the securities commissions and is not automatic upon completing proficiency or application requirements.