This list is published quarterly and identifies securities that qualify for a reduced margin rate of 30% for client positions and 25% for Dealer Member (inventory) positions which are:
- listed on the Toronto Stock Exchange (TSX), TSX Venture Exchange (TSXV), Cboe Canada, Canadian Securities Exchange, or
- inter-listed on the TSX and on a U.S. exchange.
The reduced margin rate represents the prescribed minimum regulatory margin requirement. For the purposes of margin lending, Dealer Members may set higher “house” margin rates at their discretion.
The LSERM margin requirements are set out in subsection 5310(1) of the Investment Dealer and Partially Consolidated Rules (IDPC Rules), and the list's eligibility criteria are provided below.
Options Clearing Corporation (OCC) options
Securities against which options issued by the Options Clearing Corporation (“OCC”) are traded are also eligible for the reduced margin rates referenced above. Dealer Members are responsible for identifying these securities as CIRO only identifies inter-listed securities that have options issued by the OCC.
A separate section of this list details those Canada or United States inter-listed securities that have qualified for inclusion on the LSERM solely because they have OCC issued options. CIRO compiles this section of the LSERM on a best efforts basis.
Convertible or exchangeable securities
Although not included on this list, there are securities that are convertible or exchangeable into securities on the LSERM. These convertible or exchangeable securities are margined according to subsection 5330(1), which adds the conversion loss, if any, to the reduced margin rate requirement.
Eligibility criteria
The security must meet the following requirements to be eligible for inclusion on the list:
General inclusion requirements | |
---|---|
Price volatility measures |
|
Liquidity measures |
OR An equivalent average daily traded value amount for each month in the quarter ended >= $1,000,000 per day (to accommodate high price securities) |
Listing requirements | Listed on a Canadian exchange eligible for margin for six months OR Listed on a Canadian exchange eligible for margin less than six months, with:
|
Other inclusion requirements | |
A new security listing resulting from an issuer reorganization that:
For the purposes of this requirement, the term “substantially the same” means a new security listing that represents between 80% and 120% of the public float of a previous security listing. | |
A Canada/United States inter-listed security against which options issued by the OCC are traded. | |
A security that is senior to a security that meets the General inclusion requirements or Other inclusion requirements above, or is a related common security from that same issuer. |
LSERM
Release date | Quarter-end date | LSERM | Effective date |
---|---|---|---|
November 7, 2024 | September 30, 2024 | November 28, 2024 | |
August 7, 2024 | June 30, 2024 | August 28, 2024 | |
May 6, 2024 | March 31, 2024 | May 28, 2024 | |
February 5, 2024 | December 31, 2023 | February 27, 2024 | |
November 6, 2023 | September 30, 2023 | November 27, 2023 | |
August 10, 2023 | June 30, 2023 | August 31, 2023 | |
May 5, 2023 | March 31, 2023 | IIROC Notice 23-0062 | May 29, 2023 |
February 3, 2023 | December 31, 2022 | IIROC Notice 23-0011 | February 27, 2023 |
November 4, 2022 | September 30, 2022 | IIROC Notice 22-0169 | November 25, 2022 |
August 5, 2022 | June 30, 2022 | IIROC Notice 22-0124 | August 26, 2022 |
June 7, 2022 | March 31, 2022 | IIROC Notice 22-0088 | May 26, 2022 |
May 4, 2022 | March 31, 2022 | IIROC Notice 22-0067 | May 26, 2022 |
February 4, 2022 | December 31, 2021 | IIROC Notice 22-0021 | February 25, 2022 |
November 4, 2021 | September 30, 2021 | IIROC Notice 21-0206 | November 25, 2021 |
August 4, 2021 | June 30, 2021 | IIROC Notice 21-0142 | August 25, 2021 |
May 6, 2021 | March 31, 2021 | IIROC Notice 21-0093 | May 31, 2021 |