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CRM3 resource hub

CRM3.. Clarity. Value. Trust.

Why this moment matters

A new cost transparency standard took effect on January 1, 2026. Before clients receive their first updated statements in early January 2027, advisors have a valuable window to guide them - to set expectations, reinforce trust, and bring clarity to the role costs play in long-term outcomes.

What CRM3 actually is

Client–Advisor Relationship Model – Phase 3 (CRM3) is an industry wide regulatory update that gives Canadians a clearer and more complete picture of their investment costs. Implemented through Total Cost Reporting (TCR), it shows:

  • Embedded fees inside their investment funds
  • Direct charges applied to their accounts
  • How these costs affect overall returns

What to expect

Same charges
Greater transparency

CRM3 does not add new fees. Instead, existing costs are itemized more thoroughly so clients can easily see what they already pay and how those costs contribute to their overall investment experience.

Which Desjardins products are subject to Total Cost Reporting (TCR)

What advisors uniquely bring

Clarity

Help clients understand exactly what they pay and why

Value

Greater cost transparency helps anchor discussions about disciplined investing and long-term outcomes that advice enables

Trust

Being proactive before the first TCR reports arrive demonstrates leadership and reinforces confidence

How to prepare clients ahead of their first Total Cost Reporting (TCR) compliant reports?

  • Master the new disclosure
    Be ready to break down the enhanced cost information simply and intuitive.
  • Sharpen your narrative
    Use the added transparency to highlight the full value clients receive - beyond products alone.
  • Build a proactive engagement plan
    Prioritize clients who will benefit from early touchpoints and integrate CRM3 into upcoming reviews to reduce confusion before the first TCR reports arrive.

  • Start early to lead the conversation
    Let clients know they’ll receive their first TCR statements in early January 2027.
  • Set the context
    CRM3 does not introduce new fees; it simply lays out existing costs more clearly.
  • Use a streamlined value message
    Reassure clients that your role is to help them interpret the new data and stay aligned with long-term goals — a strong moment to deepen engagement and uncover new planning needs.
  • Clarify what will look different
    Point out the key additions and what each fee supports.
  • Invite questions early
    Early conversations reduce uncertainty and open doors for deeper planning.

Go-to answers for your Total Cost Reporting (TCR) dialogue

These changes were announced by the Canadian Securities Administrators (CSA) with the goal of increasing transparency about the costs paid by clients and disclosing the total expenses associated with regulated investment funds and Guaranteed Investment Funds.

The following information will have to be included in the annual Report on charges and other forms of compensation dated December 31, 2026, for clients who hold Guaranteed Investment Funds:

  • The total amount of a fund’s expenses in dollars, for all investment funds. This includes management fees, operating expenses and trading costs.
  • The total amount of direct fees charged by the fund company (such as guarantee fees or short-term trading fees).
  • Personalized performance data has been added, along with a complete Report on charges.
  • Expressed as a percentage, the fund expense ratio (FER) is equal to the sum of the management expense ratio (MER) and the trading expense ratio (TER).

An explanatory letter will be included with the customer's annual statement in January 2027.

The changes have a bearing only on the annual statement.

No, these changes apply to the entire industry.

It represents fund expenses as an annual percentage. It corresponds to the sum of the management expense ratio (MER) and the trading expense ratio (TER).

Fund expense ratio (FER = MER + TER).

Compensation payable to portfolio managers responsible for investment decisions, portfolio rebalancing and risk management, as well as the commercial development and marketing of the funds.

The fees include operating and administrative expenses, applicable sales taxes and other taxes, and fees related to the basic guarantee.

No, returns are not impacted by the fee disclosure requirements under CRM3. This means that previously reported returns will remain unchanged and unaffected.

The annual Report on charges and other forms of compensation is issued as of December 31 of every year and available in the first few months of the year.