Proposed OTC Central Counterparty Clearing Requirements Published By Canadian Securities Administrators

Summary

On June 20, 2012, the Canadian Securities Administrators ("CSA"), the voluntary umbrella organization of Canada's provincial and territorial securities regulators through its Derivatives Committee ("Committee"), published for public comment a further Consultation Paper 91‐406 Derivatives: OTC Central Counterparty Clearing ("CSA Paper 91‐406") following its initial Consultation Paper 91‐401 Over-the‐ Counter Derivatives Regulation in Canada as part of its commitment to establish a comprehensive framework for over‐the‐counter derivatives regulation and to balance the need to meet international commitments with the needs of individual market participants in Canada. In CSA Paper 91‐406, the Committee aims to meet the commitment of G20 leaders made in Pittsburgh in September 2009 that all standardized over‐the‐counter ("OTC") derivatives contracts should be cleared through central counterparty ("CCP") by end 2012, at latest. The general intent of