The Canadian Securities Administrators (CSA) body that represents the various regulatory provinces in Canada has published some much needed (if somewhat late) guidance on how firms reporting under the Canadian Derivatives Data Reporting rules should deal with the interim period between the CFTC ReWrite and the Canadian rules being revised.
The CFTC ReWrite is implemented in less than a month on 5 December and the Canadian rules revision, proposed here, is anticipated to be introduced in 2024.
The Canadian proposals for the most part, align with the CFTC revisions as I discussed in a recent blog. But given some of the trade repositories support both CFTC & CSA reporting there is the potential impact on Canadian reporting in the interim.
The CSA guidance is intended to clarify what firms should do for the next couple of years, but given the proximity to 5 December, it isn’t likely to materially impact any firms’ reporting solutions as they are in the final stages of testing and ready to go-live next month.
This guidance therefore for the most part just provides assurance but will still be welcome, as anything that provides regulatory clarity is always a step in the right direction.
Spoiler alert, the guidance basically says follow the CFTC for the most part, apart from where you don’t!
- For a conversation with Alan or one of our regulatory specialists about the quality of your Canadian or CFTC reporting or any of the topics mentioned above, please contact us.