The uncertainty around the extent of the extra-territorial reach
of the Dodd-Frank Act into the business of Canadian and other
non-U.S. market participants has been a major concern. Regulators
are well aware of this concern and have their own reasons to want
to reduce regulatory conflict. It is top of their agenda as well.
To that end, on November 28, regulatory authorities from various
international jurisdictions (including the OSC and AMF) met in New York to discuss reform of the
cross-border OTC derivatives market. It looks as though progress
was made but much work is yet to be done.
While the authorities noted that complete harmonization across
jurisdictions would be difficult, their joint release identified
the need to reduce regulatory uncertainty and reduce the
application of conflicting rules. Ultimately, the meeting, which
included representatives from the Ontario Securities Commission,
Quebec's Autorité des marchés financiers, the Australian Securities and
