Why does Canada not have a good public system for displaying bond trading? The country’s banks and fragmented regulatory system are at the root of the issue, according to Maureen Jensen, the executive director and chief operating officer of the Ontario Securities Commission.
On a panel at the OSC’s annual Dialogue conference, the focus turned to why markets other than stocks are still so opaque. We have a lot of data, but it doesn’t make it to investors. Consequently, those who make markets in areas such as bonds can still get away with wider spreads than in stocks
Arguably, the U.S. already has a big lead on Canada in that regard because of the TRACE system that FINRA runs. Dealers have to report corporate bond trades to TRACE. That data is then available to market users through financial information providers.
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Boyd Erman – Globe and Mail – October 16, 2014.
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