Request for Comment – Proposed Amendments Respecting Mandatory Close-Out Requirements – Canadian Investment Regulatory Organization (CIRO)

CIRO rule review and notices
Download document

CIRO is publishing for public comment proposed amendments to the Universal Market Integrity Rules (UMIR) and Investment Dealer Partially Consolidated Rules respecting mandatory close-out requirements (Proposed Amendments).

The Proposed Amendments would require applicable Dealer Members that are Investment Dealers to:

  • close out a fail-to-deliver position in the event of a settlement failure in a listed security at the recognized clearing agency by specified timelines by buying or borrowing shares,
  • pre-borrow the affected security where there has been a failure to close out by specified timelines,
  • provide certain reporting and notifications in connection with mandatory close-out requirements, and
  • have a reasonable expectation to settle on settlement date for Investment Dealer Members that are not Participants under UMIR.

A copy of the CIRO Bulletin, including the text of the Proposed Amendments, is also available on the Commission’s website at www.osc.ca. The comment period ends April 10, 2025.