IDEAS home Printed from
   My bibliography  Save this paper

The Regulation of Central Securities Depositories and the Linkages between CSDs and Large-Value Payment Systems


  • Freedman, C.


This paper first describes the Bank of Canada’s approach to the design of large-value clearing and settlement systems. It then examines the way the Bank has operated under the Payment Clearing and Settlement Act, passed by Parliament in July 1996. Through this act, the Bank was assigned responsibility for the regulatory oversight of clearing and settlement systems that have the potential to cause systemic risk. The main section of the paper looks at how considerations of safety and costs have been balanced in the development of the Debt Clearing Services (DCS) of the Canadian Depository for Securities (CDS). The final section explores the various linkages between the DCS and the Large Value Transfer System (LVTS).

Suggested Citation

  • Freedman, C., 1999. "The Regulation of Central Securities Depositories and the Linkages between CSDs and Large-Value Payment Systems," Technical Reports 87, Bank of Canada.
  • Handle: RePEc:bca:bocatr:87

    Download full text from publisher

    File URL:
    Download Restriction: no

    References listed on IDEAS

    1. Armstrong, John & Black, Richard & Laxton, Douglas & Rose, David, 1998. "A robust method for simulating forward-looking models," Journal of Economic Dynamics and Control, Elsevier, vol. 22(4), pages 489-501, April.
    2. Rudin, Jeremy R., 1988. "Central bank secrecy, `fed watching', and the predictability of interest rates," Journal of Monetary Economics, Elsevier, vol. 22(2), pages 317-334, September.
    3. Goodfriend, Marvin, 1986. "Monetary mystique: Secrecy and central banking," Journal of Monetary Economics, Elsevier, vol. 17(1), pages 63-92, January.
    4. Hardy, Daniel C., 1996. "Market reaction to changes in German official interest rates," Discussion Paper Series 1: Economic Studies 1996,04, Deutsche Bundesbank.
    5. Serge Boisvert & Nancy Harvey, 1998. "The declining supply of treasury bills and the Canadian money market," Bank of Canada Review, Bank of Canada, vol. 1998(Summer), pages 53-69.
    6. Tabellini, Guido, 1987. "Secrecy of Monetary Policy and the Variability of Interest Rates," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 19(4), pages 425-436, November.
    7. Andrew G Haldane, 1997. "Designing Inflation Targets," RBA Annual Conference Volume,in: Philip Lowe (ed.), Monetary Policy and Inflation Targeting Reserve Bank of Australia.
    8. LeRoy, Stephen F & Porter, Richard D, 1981. "The Present-Value Relation: Tests Based on Implied Variance Bounds," Econometrica, Econometric Society, vol. 49(3), pages 555-574, May.
    9. Alain Paquet & Thierry Perez, 1993. "La réaction du marché financier face à différentes sources de signal de la politique monétaire au Canada," Cahiers de recherche CREFE / CREFE Working Papers 11, CREFE, Université du Québec à Montréal.
    Full references (including those not matched with items on IDEAS)


    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. Kim McPhail, 2003. "Managing Operational Risk in Payment, Clearing, and Settlement Systems," Staff Working Papers 03-2, Bank of Canada.

    More about this item


    Payments; clearing and settlements systems implementation;

    JEL classification:

    • G20 - Financial Economics - - Financial Institutions and Services - - - General


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bca:bocatr:87. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.