IT Operations Services

CDCC uses a state-of-the-art technology infrastructure for clearing exchange-traded and customized derivative instruments as well as fixed income instruments.

CDCC's technology infrastructure combined with its processes form the Canadian Derivatives Clearing System (CDCS).

SOLA^® Clearing Application

CDCC has a leading-edge proprietary clearing platform, SOLA^® Clearing, which is part of a proprietary software system developed by the Montréal Exchange, CDCC's sole shareholder and a wholly-owned subsidiary of TMX Group. It is designed to support clearing and settlement of a full range of products. CDCC Clearing Members are able to enter and modify their real-time data via the SOLA Clearing Application, from their offices.

How it Works

CDCC receives exchange-traded derivatives transactions from MX as they occur. The positions are immediately updated to CDCC's SOLA Clearing Application.

CDCC also receives fixed income transactions (cash buy or sell trades and repurchase transactions) from acceptable marketplaces. The positions are immediately updated to the SOLA Clearing Application upon being duly novated to CDCC.

Connectivity Options

CDCC Clearing Members can use any of the following methods to connect to the SOLA Clearing Application:

• a wide area network (WAN): Clearing Members can use the same TMX Group WAN as the one they use to access the MX or the Toronto Stock Exchange (TSX) markets
• a local area network (LAN), that is a LAN-to-LAN secured Internet link
• a CDCC Virtual Private Network (VPN)

Reconciliation Information

CDCC delivers end-of-day reconciliation information to reinforce its base services.

CDCC upholds a secure File Transfer Protocol (FTP) site to store long-term archives for Clearing Members. The reconciliation information includes:

• Report bundles: reports are available in PDF format for easy printing
• Tag Log Files (.tlg): contain a record of a Clearing Member's trading activities
• Tag Log Files (.tlg) from CDCC's master files

Clearing Members can use Tag Log Files for downstream processing of data.

CDCC supplies, for a fee, fixed record reconciliation files that can be forwarded to a back-office vendor or used internally.

CDCC also markets a master file of series listed on MX.