For financial institutions subject to regulatory capital and leverage requirements, CCPs improve balance sheet netting, which, in turn, should benefit other users through deeper and more liquid markets and better pricing.
The CDCC worked closely with the Investment Industry Association of Canada, stakeholders in the financial industry, the Bank of Canada and other regulatory authorities to create this new CCP, which began operating on a modest scale in February 2012. A second phase of the CCP for repos was launched in December of 2012.