Released on May 4 by the Alberta Securities Commission (ASC) and Ontario Securities Commission (OSC) Multilateral CSA Staff Notice 96-304 Derivatives Data Reporting Guidance for USD LIBOR Transition, effective on the date of publication, provides guidance to market participants regarding the reporting of over-the-counter (OTC) derivatives data that reference certain interest rate benchmarks.
USD LIBOR will cease to be published on June 30, 2023, OTC derivatives that reference certain tenors of U.S. dollar London interbank offered rate (USD LIBOR) will have to transition under fallback provisions to appropriate alternative reference rates by July 3, 2023. The Alternative Reference Rates Committee (ARRC) has identified the Secured Overnight Financing Rate (SOFR) as the replacement rate for the USD LIBOR.
The USD LIBOR transition is a life-cycle event subject to the derivatives data reporting requirements under Multilateral Instrument 96-101 Trade Repositories and Derivatives Data Reporting and Ontario Securities Commission Rule 91-507 Trade Repositories and Derivatives Data Reporting.
The Staff of both the ASC and OSC is of the opinion that no enforcement action shall be taken against reporting counterparties for late reporting in respect of the USD LIBOR transition provided that the data is reported within five business days of when the life-cycle event occurs.