CANADA: Canadian Securities Administrators Publish Proposals for Mandatory Post-Trade Transparency of Bonds

Friday May 25 2018

On 24^th May 2018, the Canadian Securities Administrators (CSA) published the CSA Staff Notice 21-323 Proposal for Mandatory Post-Trade Transparency of Trades in Government Debt Securities, Expanded Transparency of Trades in Corporate Debt Securities and Proposed Amendments to National Instrument 21-101 Marketplace Operation and Related Companion Policy.

The proposed amendments would introduce mandatory post-trade transparency requirements for government debt securities (Proposed Government Debt Framework), and  would expand transparency requirements for corporate debt securities (Expanded Corporate Debt Proposal). The amendments would also align the post-trade transparency regimes for government and corporate debt securities.

Under the proposal made for Government Bonds, dealers, interdealer bond brokers (IDBBs), marketplaces and Schedule I, II and III banks would be required to report details of their government debt transactions to the information processor  (IP).If implemented for Corporate Bonds  then mandatory post-trade transparency requirements of trades in corporate debt securities would apply to entities beyond dealers, marketplaces and IDBBs and would include Schedule I, II and III banks.

Detailed descriptions of the proposed changes can be found in Annex A of the notice, which is available on CSA members’ websites. Comments should be submitted in writing by August 29, 2018.

 For additional information please click the link above.