The Canadian Securities Administrators (CSA) has published a Notice and Request for Comment on proposed amendments to National Instrument 23-101 Trading Rules and related Companion Policy changes aimed at keeping Canadian trading in Canadian securities that are inter-listed on U.S.-registered national securities exchanges competitive. If adopted, the proposals would continue aligning the Canadian trading fee cap with the United States fee cap for U.S. inter-listed securities priced at CAD 1.00 or more.

The proposals respond to the United States Securities and Exchange Commission’s final rules announced on September 18, 2024, which reduced trading fee caps for National Market System (NMS) stocks and reduced minimum pricing increments for certain NMS stocks priced at USD 1.00 or more per share. In Canada, the Canadian Investment Regulatory Organization separately published proposed amendments to the Universal Market Integrity Rules that would conform minimum pricing increments with the SEC final rules for U.S. inter-listed securities priced at CAD 1.00 or more.

Comments on the CSA proposals are due within 60 days, by March 24, 2025. The CSA proposals and the proposed UMIR amendments would not be implemented in Canada before the SEC final rules are implemented in the United States, noting the SEC’s planned implementation date of November 3, 2025 was stayed on December 12, 2024 pending completion of judicial review.

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