TMX Group Inc.(TSX: T.X,
TMXXF,
Forum) CEO Lou Eccleston said the company’s Canadian Depository for Securities Ltd. (CDS) is in talks with securities regulators to decide whether or not it will continue to handle trades in shares of marijuana companies with U.S. assets.
“We’d like to get clarity on if anything has to change soon,’’ said Eccleston during an interview with the Globe and Mail newspaper.
The move comes amid questions about the legality of the U.S. operations of some companies that currently trade on Canadian stock exchanges, the report said.
The CDS is a clearing and depository service that processes approximately 1.6 million exchange trades daily.
If the CDS should decide not to clear and settle the trades of companies with U.S. operations, it would make them less attractive to investors.