Proposed Amendments Respecting Net Asset Value Orders and Intentional Crosses

The Canadian Investment Regulatory Organization (CIRO) is proposing to amend the Universal Market Integrity Rules (UMIR) to: 

• increase transparency around the execution of certain orders in Exempt Exchange-traded Funds (ETFs) where the execution price of the order references the net asset value (NAV) of the ETF as published by the issuer of the ETF in accordance with applicable securities legislation, and
• remove an outdated prohibition in the definition of “intentional cross” that prohibits an intentional cross where one side of the trade is jitney and to clarify its application (Proposed Amendments).