"
MICS & market
share on the rise
2014 Annual Information Returns (AIR) show the
growth and risks of brokering in Ontario
BY SHERI-LYNNE LJUCOVIC
Every March, all brokerages in Ontario must
submit information about their business to the
Financial Services Commission of Ontario
(FSCO). A year later, FSCO releases a summary
of the results. Here are the highlights from 2014
with information collected from 1,148 mortgage
brokerages.
$148
billion
in 2014
$102 billion in 2013
Amount of mortgage business arranged in ON
84
new MICs added in
2014, with 188 total*
*fastest growing lender segment
Supervision
15% of brokerages do not
have an on-site supervisor
or manager!
TREND: 16% increase in offices that
are located more than 100 km away
from the Principal Broker's work
(poten al source of supervisory risk)
"
FSCO views syndicated mortgages
as a high-risk investment that is not suitable for all
investors. The 23 brokerages that reported more than
90% of syndicated mortgages as part of their overall
portfolio are considered potentially high-risk entities.
25%
turnover rate with 2940
brokers & agents qui ng
their posi ons
(2% higher
than in 2013)
Only 25 brokerages reported they
had terminated a broker or agent
for cause
26% of brokerages accepted non-monetary
remunera on from lenders like: reward points, trips,
gi s or event ckets
CMB MAGAZINE cmba-achc.ca summer 2016 | 39
INFOGRAPHIC:
SHERI-LYNNE
LJUCOVIC
