The Department of Finance Canada has released for public comment a revised consultation draft of the Capital Markets Stability Act. This proposed legislation addresses national data collection, systemic risk related to capital markets and criminal enforcement.
The governments of British Columbia, Ontario, Saskatchewan, New Brunswick, Prince Edward Island, Yukon and Canada are looking for comments on the revised consultation draft. Comments can be submitted on the Cooperative Capital Markets Regulatory System website by July 6, 2016.
Read: Ontario budget pushes CCMR and tougher regs
The revised draft of the Act responds to public comments received during the initial consultation that occurred in 2014. For example, the new version proposes:
- targeted powers to manage systemic risks related to capital markets—all entity-level designation powers, except for trade repositories, have been removed;
- stronger protections for confidential information collected by the Capital Markets Regulatory Authority (the Authority) for systemic risk surveillance purposes;
- enhanced procedural provisions; and
- measures to strengthen regulatory coordination between the Authority and other regulators.
Read: Have systemic risks to markets been tamed?
Also, if a province or territory chooses to operate outside the Cooperative Capital Markets Regulatory System, it will have a constructive partner in the new authority, with the ultimate goal of providing efficient access to capital markets.