Straight Talk  

CIBC Mellon revises its trade instruction deadlines to meet regulatory trade-matching milestones

On January 12, 2007 the Canadian Securities Administrators published National Instrument 24-101—Institutional Trade Matching and Settlement (Instrument).  The Instrument is effective April 1, 2007 and requires industry participants to adapt their policies and procedures to meet the progressive trade-matching milestones identified in the Instrument.

The progressive trade-matching milestones begin on October 1, 2007 when 80 per cent of institutional trades are to be matched by noon on T+1, and end on January 1, 2010 when 95 per cent of trades are to be matched by 11:59 p.m. on T. 

Institutional investors whose investment decisions are made from a geographical region outside of the western hemisphere are given an additional 24 hours to match their trades.  For example, on October 1, 2007 these investors are required to match 80 per cent of their trades by noon on T+2.

To conform with the Instrument, CIBC Mellon has revised its trade instruction deadlines for Canadian trades that settle on a T+3 basis. As a result, the following trade instruction deadlines will be in effect as of April 1, 2007: 

CIBC Mellon will continue to adjust its trade instruction deadlines to conform with the Instrument’s progressive trade-matching milestones.  If you have any questions on the revised deadlines, please contact your relationship manager or your client advisor service group representative. 

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