CIBC Mellon, Scotiabank, and financial services group Manulife have jointly completed Canada’s first domestic buy side triparty repo trade, reports Securities Finance Times. CIBC Mellon’s chief client officer Richard Anton describes the trade as “a transformative step in enhancing liquidity, efficiency, and collateral optimisation for Canadian institutional investors”.
The trade was executed through the Canadian Collateral Management Service (CCMS), the country’s first domestic triparty collateral management solution. Launched in 2023, CCMS is the result of a collaboration between Clearstream and financial services company TMX Group. It aims to “increase liquidity and minimise exposure risk for Canada’s secured finance industry”.
Anton continues, “This development reinforces the importance of robust post-trade infrastructure in adapting to market shifts and delivering greater flexibility for institutional investors.”
Ciaran Dayal, head of CMF Canada at Scotiabank says, “By providing Canadian triparty repo capabilities, we’re adding attractive investment options in an operationally efficient manner to clients and also helping push forward repo liquidity across asset classes to the broader market.”
