The regulator said it was informed on Saturday that Christopher Callahan, the sole director, officer and shareholder of Traynor, was dead.
His death leaves Traynor without a director or officer in charge of the firm.
"As a result, the three dealers have potential losses totalling approximately C$85 million ($61.27 million) to C$95 million," the regulator added, without naming the dealers.
The firm and one of Callahan's colleagues listed on its website did not immediately respond to requests for comment.
A Toronto police spokesperson said Callahan's death was not considered suspicious and they were not investigating.
Persons:
Traynor, Christopher Callahan, Nia Williams, Jamie Freed
Organizations:
The Ontario Securities Commission, Inc, OSC, CIBC, Markets Inc, Canadian Imperial Bank of Commerce, TR1, Thomson
Locations:
Toronto, British Columbia