Snow And Settling – CSA Finalizes Changes To Trade Matching Rule

Earlier this month, the Canadian Securities Administrators (CSA) finalized amendments to National Instrument 24-101 Institutional Trade Matching and Settlement, which we wrote about most recently in our August bulletin here. The amendments facilitate the shortening of the settlement cycle for equity and long-term debt market trades from T+2 to T+1, which will occur on May 27, 2024, and the amendments are expected to come into force on the same date.

The amendments: (i) change references to T+1 from T+2; (ii) change the ITM deadline as mentioned below; and (iii) change some times for data reporting by clearing agencies and matching service utilities. As a result of comments received, the institutional trade-matching deadline will be 3:59 a.m. ET on T+1 (the ITM Deadline) instead of noon on T+1 in the current Instrument or 9:00 p.m. on T as originally proposed.