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TORONTO – Facing new regulations that could push many financial advisors out of business, Advocis has commissioned a study to demonstrate the economic and financial contribution small advisors make across the country.

The small and medium-sized segment of the financial advice industry, which consists largely of two and three-person shops, has more impact on the economy in terms of employment and contribution to GDP than the pharmaceutical, motor vehicle manufacturing or aerospace industries, according to the study from PwC to be released Wednesday.

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This “critical subset of the financial advice industry,” which employs 182,000 Canadians and contributes $19-billion to GDP, is facing “unprecedented changes” including current and potential regulatory reforms that could have a “profound effect,” the study says.

Among the national reforms under consideration is a ban on embedded commissions, which would have a huge impact on advisors whose primary business is the sale of mutual funds.