CIRO to match SEC on trading increments

Aligning Canadian Markets with Global Standards for Investor Access and Efficiency.

The Proposed Changes

The CIRO is proposing to update the trading rules for inter-listed securities in Canada. These changes aim to align the Canadian market with the U.S. market, which is currently the largest and most liquid market in the world. The proposed changes would bring Canada’s trading rules in line with those of the U.S., ensuring that Canadian investors have access to the same investment opportunities as U.S. investors.

Key Objectives

Align trading requirements for inter-listed securities

Ensure Canadian investors have access to the same investment opportunities as U.S. investors

Increase market efficiency and liquidity

The Impact on Canadian Investors

The proposed changes would have a significant impact on Canadian investors. Some of the key benefits include:

Increased access to U.S. investment opportunities

Improved market efficiency and liquidity

Enhanced investor protection

For example, a Canadian investor who wants to invest in a U.S.-listed stock may currently face restrictions on buying or selling the stock. However, with the proposed changes, these restrictions would be lifted, allowing Canadian investors to access the same investment opportunities as U.S.

Potential Challenges

Ensuring that Canadian investors are aware of the changes and can adapt to the new rules

Addressing concerns about market volatility and potential risks

Ensuring that Canadian investors have access to the same level of investor protection as U.S.

SEC Proposes Reforms to Increase Transparency and Promote Competition in Financial Markets.

The reforms aim to increase transparency and reduce costs for investors, while also promoting competition and innovation in the market.

Market Structure Reforms: A New Era for Investors

The U.S. Securities and Exchange Commission (SEC) has announced significant market structure reforms, which are set to take effect on November 3, 2025. The proposals are a response to the changing needs of investors and the evolving nature of the financial markets.

Key Objectives of the Reforms

Increase transparency and reduce costs for investors

Promote competition and innovation in the market

Enhance investor protection and confidence

Improve the overall efficiency of the market

How the Reforms Will Work

The reforms will be implemented through a series of changes to existing rules and regulations. These changes will include:

Simplified disclosure requirements: The SEC will introduce new rules that simplify the disclosure requirements for publicly traded companies. This will reduce the burden on companies and make it easier for investors to access relevant information. Increased use of technology: The SEC will encourage the use of technology to improve the efficiency and transparency of the market. This may include the use of blockchain technology, artificial intelligence, and other digital tools. Improved investor education: The SEC will introduce new programs to improve investor education and awareness.

Harmonizing with the U.S. Market

CIRO is taking a significant step towards harmonizing its trading rules with those of the U.S. market. The proposed changes aim to bring CIRO’s trading rules in line with those of the Securities and Exchange Commission (SEC) in the United States. This move is expected to enhance the efficiency and transparency of CIRO’s trading platform. Key aspects of the proposed changes include: + Adopting 0.5¢ trading increments for inter-listed stocks + Aligning the trading rules with those of the SEC + Harmonizing the trading platform with the U.S. market

Benefits of Harmonization

The proposed changes to CIRO’s trading rules are expected to bring numerous benefits to the platform and its users. Some of the key advantages include:

Improved efficiency: Harmonization with the U.S. market is expected to reduce trading costs and increase the speed of trades. Enhanced transparency: The adoption of 5¢ trading increments will provide more accurate and detailed information about trades, making it easier for users to track their positions and make informed decisions. Increased competitiveness: By aligning its trading rules with those of the SEC, CIRO will be able to compete more effectively with other U.S.-based exchanges. ## Timeline and Comment Period*

Timeline and Comment Period

The proposed changes to CIRO’s trading rules are currently out for comment until January 27, 2025.

state and territory, and will provide a list of approved trading partners for each state and territory.

CIRP and the New Trading System

The Commission on International Relations of the Philippines (CIRO) has announced its plan to establish a new trading system, which will replace the existing system. The new system aims to promote trade and economic growth in the Philippines, and will be implemented in phases.

Key Features of the New Trading System

Designation of Trading Increments: CIRO will designate the applicable trading increment for each U.S. state and territory, allowing businesses to trade more efficiently. List of Approved Trading Partners: The commission will provide a list of approved trading partners for each state and territory, ensuring that only trusted partners are allowed to trade with the Philippines. Streamlined Process: The new system will streamline the trading process, reducing the time and effort required for businesses to comply with regulations. ## Benefits of the New Trading System**

Benefits of the New Trading System

The new trading system is expected to bring several benefits to the Philippines, including:

Increased Trade Volume: The new system will promote trade and economic growth, leading to an increase in trade volume. Improved Trade Facilitation: The streamlined process will reduce the time and effort required for businesses to comply with regulations, improving trade facilitation. Enhanced Economic Growth: The increased trade volume and improved trade facilitation will lead to enhanced economic growth, benefiting the Philippines as a whole.