One of the Canadian investment industry’s top challenges in the move with the United States to a shorter settlement cycle in May 2024 became less of an issue today with the release of a CSA Staff Notice regarding National Instrument (NI) 24-101 Institutional Trade Matching and Settlement. Before making systems and procedural changes to meet the related regulatory requirements, Canadian market participants had called for clarity on the timeline for confirming/matching trade details in Canada. The securities rule-making process is typically long, with final rule changes in this case only expected to be published at the end of this year – a scant five months before implementation. The CCMA believes that today’s CSA Staff Notice, signalling the intention to recommend 3:59 a.m. ET on T+1 as the time by which 90% of trades must be matched/confirmed, goes a long way to providing the certainty that the industry has been pressing for. Read the CCMA’s Announcement expressing appreciation for the Notice’s publication today.
