New initiative will create a collaborative
market-driven approach to risk rating securities
TORONTO, April 1, 2015 /PRNewswire/ - TMX Group today
announced the introduction of TMX Security Risk Ratings, a new
reference data product designed to support Canadian investment
firms in conducting client suitability assessments, an Investment
Industry Regulatory Organization of Canada (IIROC) requirement.
In today's increasingly fast-paced and complex marketplace, the
Canadian investment community faces the escalating challenge of
addressing large volumes of client suitability assessments.
Expected to launch later this year, TMX Security Risk Ratings will
provide an independent and standardized approach to client
suitability. The service will include the most widely-held Canadian
and U.S. securities, each with a unique identifier and risk rating,
ready to use as a reference point or within automated compliance
screening programs.
"TMX Security Risk Ratings is designed to help our customers
deal confidently and consistently with client suitability
assessments, while improving the quality of service they offer to
their clients," said Jean Desgagné, President and Chief Executive
Officer of The Canadian Depository for Securities Limited (CDS).
"We are excited at the prospect of bringing industry leaders and
subject matter experts together to help us deliver an independent
solution with important and wide-reaching benefits to the
investment industry."
TMX Security Risk Ratings is being developed for the Canadian
investment community by CDS and will leverage an independent
advisory board from across capital markets, who will contribute
thought leadership to the methodologies at the core of TMX Security
Risk Ratings.
Advisory Board Chair
TMX Group is also pleased to announce Barbara Amsden as Chair of the TMX Security Risk
Ratings Methodology Advisory Board. Ms. Amsden has more than 20
years of demonstrated success in the Canadian financial and
investment industry and comes to the role after serving as Managing
Director of the Investment Industry Association of Canada. She will draw on her wealth of
experience and wide range of roles within the industry to
effectively lead the inaugural Board and oversee the principles of
its charter.
"With the complexity and sheer volume of securities in capital
markets, and more demanding regulatory requirements, the difficult
role of assessing risk has become an even bigger challenge," said
Barbara Amsden, inaugural Chair of
TMX Security Risk Ratings. "I look forward to working together with
my peers in the industry to advise on standards that work to enable
firms to better serve investors across the country."
For more information about TMX Security Risk Ratings, please
visit our site, www.tmxsrr.com.
About TMX Group (TSX:X)
TMX Group's key subsidiaries operate cash and derivative markets
and clearinghouses for multiple asset classes including equities,
fixed income and energy. Toronto Stock Exchange, TSX Venture
Exchange, TMX Select, Alpha Group, The Canadian Depository for
Securities, Montréal Exchange, Canadian Derivatives Clearing
Corporation, NGX, BOX Options Exchange, Shorcan, Shorcan Energy
Brokers, Equicom and other TMX Group companies provide listing
markets, trading markets, clearing facilities, depository services,
data products and other services to the global financial community.
TMX Group is headquartered in Toronto and operates offices across
Canada (Montréal, Calgary and Vancouver), in key U.S. markets (New York, Houston, Boston and Chicago) as well as in London, Beijing and Sydney. For more information about TMX Group,
visit our website at www.tmx.com. Follow TMX Group on Twitter at
http://twitter.com/tmxgroup.
SOURCE TMX Group Inc.