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AI your compliance officer can sign off on

Advisors summarize portfolios with it. Analysts model with it. The question isn't whether your firm uses AI — it's what leaves in the prompt on a busy day, and what your next audit shows you did about it.

The duty you carry

A client's holdings, a pending transaction, an account number in a reconciliation note: financial data is identifying, material, and regulated all at once. Privacy law treats financial records as sensitive; regulators expect documented control over where client data flows, including to technology providers staff adopt on their own; and material non-public information carries its own rules the moment it reaches an outside service. "The tool seemed helpful" is not a control framework — a logged, prompt-level safeguard is.

The moment it breaks

Synthetic example. The real version happens on your busiest day.

TypedDraft a portfolio review for Marcus Chen — his RRSP #5521-88410 is overweight after the $1.8M vested-stock deposit last month.
SentDraft a portfolio review for [NAME] — his [ACCOUNT] is overweight after the [HOLDINGS] last month.

The review gets drafted. The client, the account, and the position never leave the firm — and the event is logged for your next compliance review.

Caught, in your vocabulary

Client identities and contacts

Names, emails, and household details that connect a prompt to a client file.

Account and payment numbers

Account, card, and transit numbers riding along in notes, statements, and reconciliations.

Holdings, transactions, and deal terms

Positions, pending trades, and the material non-public information markets care about.

The rules you answer to

01

PIPEDA and provincial privacy law

Financial records are personal information with heightened sensitivity. Safeguards must be demonstrable, not assumed.

02

Regulator guidance on technology risk

Supervisors expect documented oversight of where client data flows — including the AI tools employees reach for without asking.

03

Market conduct and MNPI

Material non-public information in a public AI tool is disclosure you can't take back. Catching it at the prompt is the control.

From our research

Compliance standards that apply

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