Canada clearing paper will not address CCP location question

Canadian regulators are due to publish a consultation on clearing over-the-counter derivatives in the coming months – but the document will not tackle the critical question of whether the country should establish its own central counterparty (CCP).

Like the rest of the Group of 20 (G-20) nations, Canada committed in 2009 to centrally clear all standardised derivatives by the end of this year, but has not yet decided whether to insist that some portion of its OTC market is locally cleared – like