Insurance And Financial Planning
Three criteria must be met for the advisor to be able to work a second job. Working this other job:
does not contradict their work as /an advisor
does not put them in a situation of conflict of interest () and does not call their objectivity into question
allows them to demonstrate availability and diligence in their work as an advisor. They can therefore work as an advisor on a part-time basis and take on a second job if they are available and diligent for their clients.
As a general rule, due to their nature (relationship of authority or influence) or a high risk of a conflict of interest, certain activities and professions are considered incompatible with work as an insurance representative or financial planner, even if they are practised as a secondary occupation. These include:
- Judge
- Police officer
- Minister
- Funeral director or any other similar position in the funeral field
- Practising bankruptcy trustee activities
- Practising a health profession regulated by the Professional Code ()
- Practising the profession of lawyer or notary
- Practising public accounting activities
- Practising real estate broker activities (except brokerage activities related to loans covered by a property mortgage)
- Directing an organization, other than an advisor organization, a professional association, or holding employee status at such an organization
Financial planners are authorized to practise the following professions and activities:
- Notary or lawyer
- Chartered professional accountant certified in public accounting
Note: people who, without being registered with the Autorité des marchés financiers (the Autorité), hold a degree in financial planning issued by the Institut québécois de planification financière and members of the Ordre des administrateurs agréés du Québec or the Ordre des comptables professionnels agréés du Québec, which are professional bodies that have signed an agreement with the Autorité, may act as financial planners. These individuals are subject to the supervisory power and the applicable rules of their professional body when practising financial planning activities. Also, in terms of ethics and compensation, this professional body is also the competent authority.
Practising the profession of a real estate broker is considered incompatible with practising insurance advisor and financial planner activities.
However, there is an exception for practising brokerage activities related to loans covered by property mortgages.
It is therefore possible for /an advisor to practise brokerage activities for loans covered by property mortgages, more commonly called “mortgage brokerage activities,” concurrently with their advisor activities.
When an advisor practises mortgage brokerage activities, they are subject to the Organisme d’autoréglementation du courtage immobilier du Québec (OACIQ) for the activities in question. However, they remain governed by the Chambre de la sécurité financière for their advisor activities.
It is therefore important for advisors who are also mortgage brokers to understand the rules applicable to each type of activity.
For more information, see the Organisme d’autoréglementation du courtage immobilier du Québec website.