TORONTO, Nov. 27, 2014 /CNW/ - The Canadian Securities
Administrators (CSA) today published for comment Proposed National
Instrument 24-102 Clearing Agency Requirements, which adopts
international standards for Canadian financial market
infrastructures (FMIs). The comment period closes on February 10, 2015.
These standards were first published internationally as the
Principles for Financial Market Infrastructures (PFMIs) by the then
Committee on Payment and Settlement Systems (now Committee on
Payments and Market Infrastructure) and the Technical Committee of
the International Organization of Securities Commissions in
2012, to raise and harmonize the international standards for
payment, clearing, deposit, reporting and settlement systems. FMIs
include clearing agencies serving both securities and derivatives
markets under securities legislation.
"It is critical that Canadian financial infrastructures maintain
the highest standards in today's increasingly interconnected
capital markets," said Bill Rice,
Chair of the CSA and Chair and Chief Executive Officer of the
Alberta Securities Commission. "This proposal brings a harmonized
approach to clearing agency requirements in Canada and aligns them with international best
practices."
In addition to adopting the PFMIs as ongoing requirements for
recognized clearing agencies in the jurisdictions of Canada, the proposed instrument formalizes a
framework for the recognition or exemption of clearing agencies
seeking to carry on business in jurisdictions of Canada. The proposal takes into account
comments received from stakeholders on proposed Local Rule 24-503
that was published in December 2013
in Manitoba, Ontario and Québec, and Multilateral Staff
Notice 24-309 that was published at the same time in British Columbia, Alberta, Saskatchewan, New
Brunswick and Nova
Scotia.
The CSA, together with the Bank of Canada, has also developed supplementary
guidance to clarify certain aspects of the PFMIs in the Canadian
context. This supplementary guidance is included in the companion
policy to the proposed instrument. The CSA and Bank of Canada will continue to work together to
develop further guidance with respect to the PFMIs, as
necessary.
CSA NI 24-102 is available on CSA
members' websites.
The CSA, the council of the securities regulators of
Canada's provinces and
territories, co-ordinates and harmonizes regulation for the
Canadian capital markets.
SOURCE Canadian Securities Administrators