A clearer view of investment costs
Starting in 2027, investors in Canada will begin receiving enhanced cost reporting on their investments. This update—often referred to as CRM3 or Total Cost Reporting—is designed to provide a clearer picture of the costs associated with investment funds.
At Compass Wealth Partners, transparency has always been part of how we work. These changes support clearer understanding and more informed conversations about both cost and value.
What is Total Cost Reporting?
Total Cost Reporting is a regulatory update introduced by Canadian securities regulators. It builds on existing reporting by providing more complete information about the ongoing costs built into investment funds.
These costs already exist. What’s changing is how they are presented. You’ll now see them shown more clearly, in both percentages and dollar amounts, making it easier to understand what those costs represent in real terms.
When will this apply?
The rules apply to investment costs incurred starting in 2026.
The first enhanced reports are expected in early 2027, as part of your annual cost and compensation report.
Timing may vary slightly by investment provider.
What will be included?
Your annual report may now show fund-related costs, including:
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Management Expense Ratio (MER)
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Trading Expense Ratio (TER)
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Fund Expense Ratio (FER), which combines these costs
These costs will be shown in dollar amounts as well as percentages, providing a more complete view of the cost of owning investment funds.
What this means for you
Clearer reporting helps you better understand your investments. It allows for more informed questions and more meaningful discussions.
Cost is important, but it is only one part of the picture. Investment decisions also involve risk, diversification, tax considerations, and long-term goals.
Understanding costs more clearly creates an opportunity to look beyond the numbers and focus on how your overall financial strategy supports your family and, where applicable, your business.
Our approach
We believe this enhanced reporting is a positive change. It aligns well with how we already work with clients.
Our relationship is designed to function like a Family CFO—supporting clients with “all things financial,” not just investment management. This often includes guidance across personal and business finances, coordination with other professionals, and ongoing support as circumstances change.
Importantly, this level of support is provided without additional fees beyond the investment management fees we receive. There are no separate charges for planning conversations or ongoing financial guidance.
As Total Cost Reporting makes costs easier to see, it also helps highlight the value of a comprehensive, relationship-based approach.
When your updated report becomes available, we will:
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Review it with you in plain language
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Explain how the costs fit within your broader financial picture
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Discuss whether any adjustments make sense
Our focus remains on clarity, consistency, and long-term planning.
Frequently asked questions
Is this a new fee?
No. Total Cost Reporting does not introduce new fees. It provides clearer visibility into existing costs.
Will my costs increase because of this change?
No. The reporting change itself does not increase costs.
Do I need to do anything now?
No action is required at this time. We will review the report with you when it becomes available.
We’re here to help
If you have questions about Total Cost Reporting or how it applies to your investments, please contact us. We’re happy to walk through it with you.