The British Columbia Securities Commission (BCSC) has advised market participants that Multilateral Instrument 91-101 Derivatives: Product Determination and Multilateral Instrument 96-101 Trade Repositories and Derivatives Data Reporting (MI 96-101) as well as amendments to MI 96-101 are targeted to come into force before July 29, 2016, subject to obtaining necessary governmental approvals. That is also the date when mandatory trade reporting begins for clearing agencies and derivatives dealers in Alberta, British Columbia, New Brunswick, Newfoundland and Labrador, the Northwest Territories, Nova Scotia, Nunavut, Prince Edward Island, Saskatchewan and Yukon.
The BCSC has advised clearing agencies and derivatives dealers that the onboarding process with trade repositories may take several weeks to complete. The BCSC also reminded market participants that persons eligible to receive a legal entity identifier (LEI), other than individuals, must obtain a LEI prior to entering into a derivatives transaction that must be reported under MI 96-101.
Note, however, that Blanket Order 96-501 Relief from Certain Derivatives Reporting Requirements, published by the securities regulatory authorities in Alberta, New Brunswick, Nova Scotia and Saskatchewan, provides limited relief from some of the requirements under MI 96-101, including the requirements relating to reporting LEIs of a non-reporting counterparty in certain situations. According to Multilateral CSA Staff Notice 96-301 Matters related to the coming into force of Multilateral Instrument 91-101 Derivatives: Product Determination and Multilateral Instrument 96-101 Trade Repositories and Derivatives Data Reporting, the British Columbia Securities Commission will be issuing limited blanket relief similar to Blanket Order 96-501.
For further information, please see BC Notice 2016/05.