The Canadian Depository for Securities Limited and CDS Clearing and Depository Services Inc. – s. 147
Section 147 of the Securities Act (Ontario) – application for an exemption from the Commission's order recognizing The Canadian Depository for Securities Limited and CDS Clearing and Depository Services Inc., as clearing agencies – requested order issued.
Applicable Legislative Provisions
Securities Act, R.S.O. 1990, c. S.5, as am., ss. 21.2(0.1), 147.
IN THE MATTER OF THE SECURITIES ACT R.S.O. 1990, c. S.5, AS AMENDED (Act)
IN THE MATTER OF THE CANADIAN DEPOSITORY FOR SECURITIES LIMITED
CDS CLEARING AND DEPOSITORY SERVICES INC.
EXEMPTION ORDER (Section 147 of the Act)
WHEREAS the Ontario Securities Commission (Commission) issued an order dated July 4, 2012, which was varied and restated on December 21, 2012, varied on December7, 2012, May 1, 2013, June 25, 2013, June 24, 2014, January 27,2015, March 27, 2015, December 20, 2016, February 28, 2018, September 25, 2018 and December 4, 2019 recognizing each of The Canadian Depository for Securities Limited (CDS Ltd.) and CDS Clearing and Depository Services Inc. (CDS Clearing) as clearing agencies pursuant to section 21.2 of the Act (CDS Recognition Order);
AND WHEREAS CDS has filed an application (“Application”) with the Commission pursuant to section 147 of the Act for an exemption from the requirement under subsection 10.2(c) of Schedule “B” of the CDS Recognition Order that CDS engage an independent qualified party to conduct a financial risk model assessment every four years;
AND WHEREAS the Commission has determined based on the Application and representations made by CDS that it is not prejudicial to the public interest to grant the requested exemption;
IT IS HEREBY ORDERED, pursuant to section 147 of the Act, that CDS be exempted from the requirement in paragraph 10.2(c) of Schedule B to the CDS Recognition Order to engage an independent qualified party to conduct a financial risk model assessment every four years, on condition that it provide a written assessment of CDS’s financial risk model on request by the Commission, prepared by an independent qualified party acceptable to the Commission.
DATED this 10th day of January, 2023.
Director, Market Regulation