DTCC Connection

Oct 29, 2014 • DTCC Connection

DTCC Expands Global Derivatives Trade Reporting Footprint with Canadian License

by Lilia Tira

The Depository Trust & Clearing Corporation (DTCC) continues to play a key role in global efforts to mitigate risk in the derivatives market with the addition of a Canadian license to its global trade repository business. 

DTCC Data Repository (U.S.) LLC was designated an authorized trade repository for Canadian derivatives trade reporting by the Ontario Securities Commission,  the Autorité des marchés financiers in Quebec and the Manitoba Securities Commission in September.

Canada is the seventh jurisdiction in which DTCC will provide trade reporting services to the derivatives community. It follows the implementation of similar requirements in the U.S., Japan, Hong Kong, Singapore, Australia and the European Union.

Under the Canadian rules, which were finalized in December 2013, reporting of trades involving a dealer or a clearing agency will begin on October 31, 2014, while other counterparties, such as buy-side firms, have until June 30, 2015 to comply with reporting requirements. Nova Scotia, Alberta, New Brunswick, British Columbia and Saskatchewan have legislation pending allowing supervisory authorities in each of those provinces to regulate derivatives reporting.

Canadian banks play an important role in facilitating trading in the global derivatives marketplace, and the implementation of the derivatives reporting rules is expected to have a meaningful impact in increasing transparency in the derivatives markets across the globe.

“We are extremely pleased to be designated a trade repository by the three supervisory authorities to support trade reporting requirements for dealers and buy-side firms in Canada,” said Marisol Collazo, Managing Director and CEO, DTCC Data Repository (US). “We have long-standing, established relationships with Canadian firms, and we look forward to working with them and the regulatory authorities to help ensure that the phased reporting of derivatives trades progresses smoothly.”

About The Global Trade Repository

DTCC’s Global Trade Repository (GTR) is the only global trade repository supports reporting in multiple jurisdictions and for all five major derivatives asset classes, including credit, interest rate, equity, FX and commodity derivatives. Despite differences in local reporting requirements, DTCC has built a robust and flexible infrastructure to provide trade reporting to multiple regulators in multiple formats across the globe.

Over the past 24 months, DTCC’s global trade repository has on-boarded 3,400 firms and provided them with access to trade reporting infrastructure, in addition to connecting to more than 220 vendors and middleware providers globally. On a weekly basis, GTR processes hundreds of millions of submissions on behalf of 100,000 distinct accounts, covering all over-the-counter and exchange traded derivatives (where applicable) across 33 countries.

The world’s top 30 banks and over 80% of the top 100 banks[1] are using DTCC’s reporting services to fulfill their reporting requirements, alongside large numbers of corporates and asset managers in jurisdictions which require dual reporting.

“The past 24 months have been a significant undertaking for the industry,” said Chris Childs, President and CEO DTCC Deriv/SERV. “As the reporting jigsaw nears completion, attention will turn towards converting this data into meaningful information and we look forward to continuing to play a constructive role in this process.”



[1] Source FT Banker database

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