TORONTO, Dec. 6, 2012 /CNW/ - The Canadian Securities Administrators
(CSA) today published CSA Staff Consultation 91-301 requesting comment for Model Provincial Rule Derivatives: Product Determination (Product Determination Rule) and Model Provincial Rule Trade Repositories and Derivatives Data Reporting (TR Rule), collectively referred to as the "Model Reporting Rules".
The proposed Model Reporting Rules:
define the types of contracts or instruments that are required to be
reported to a trade repository;
establish requirements for the operation of trade repositories; and,
establish requirements for transaction data reporting.
The reporting of derivatives transactions to trade repositories is one
of the most important components of the G-20 commitments to global
reform of the over-the-counter (OTC) derivatives markets. Since
November 2010, the CSA has published for comment a series of
Consultation Papers that recommend proposals to regulate the OTC
derivatives markets in Canada. These Model Reporting Rules mark the
first policy action resulting from the consultation and will pave the
way for other future rules that are essential to the regulation of OTC
derivatives transactions and the improvement of market transparency.
"Trade repositories and the requirement to report OTC derivatives
contracts to trade repositories will improve transparency in the
derivatives markets, mitigate systemic risk and protect against market
abuse," said Bill Rice, Chair of the CSA and Chair and CEO of the
Alberta Securities Commission.
The Product Determination Rule identifies the contracts or instruments
that are required to be reported to a trade repository. The TR Rule
describes requirements for the operation and ongoing regulation of
designated or recognized trade repositories, and the mandatory
reporting of derivatives transaction data by market participants. In
addition to these Model Reporting Rules, a number of future proposed
model rules will be published for comment that relate to the key areas
addressed by the Consultation Papers. Together, all the model rules
will formulate a proposed regime for the regulation of the OTC
derivatives markets. The model rule process is further described in
CSA Staff Consultation 91-301, which accompanies the Model Reporting
The proposed Model Reporting Rules can be found on CSA members' websites
and the comment period is open until February 4, 2013.
The CSA, the umbrella organization comprising the securities regulators
of Canada's provinces and territories, coordinates and harmonizes the
regulation the Canadian capital markets.
SOURCE: Canadian Securities Administrators
For further information:
Ontario Securities Commission
Alberta Securities Commission
Autorité des marchés financiers
British Columbia Securities
Manitoba Securities Commission
New Brunswick Securities Commission
Nova Scotia Securities Commission
Financial and Consumer Affairs Authority
PEI Securities Office
Office of the Attorney General
Financial Services Regulation Div.
Newfoundland and Labrador
Office of Yukon Superintendent
Nunavut Securities Office