CANADIAN FOREIGN EXCHANGE COMMITTEE
:: Document of Objectives and Organization
The objectives of the Committee are:
- to provide a forum for the regular exchange of views on foreign exchange
- to identify, analyse and comment on issues pertinent to the foreign exchange
- to review procedures, practices, and technical issues in the foreign exchange
and related financial markets;
- to provide a channel for communication between the foreign exchange market
in Canada and organizations and official institutions within Canada and
- to promote, to the community at large, the activities, decisions and views of the Committee, as representative of the Canadian foreign exchange market
- The Committee is comprised of senior officers of institutions actively participating
in the Canadian foreign exchange market and the Canadian dollar market globally.
- The composition of the Committee is to reflect the interests of the major Canadian
dollar market-making institutions in Canada and such other interests of the foreign
exchange community as the standing Membership Sub-committee (as described
below) believes will contribute positively to the ongoing work of the Committee. It
shall include one representative each from the inter-dealer voice and electronic
broking communities, the Department of Finance and the Bank of Canada. The
Committee may also include up to two non-resident representatives from major
Canadian dollar market-making institutions based outside of Canada.
- The President of the Financial Markets Association of Canada and the Chairperson
of the Canadian Committee for Professionalism, if they are not already members in
their own right, are to be non-voting, ex-officio members.
- An officer of the Bank of Canada will serve as Secretary to the Committee.
- The Committee will not exceed 16 voting members, excluding the Secretary. A
quorum is two-thirds of voting members. Members each have one vote. The Chair
votes only in the case of a tie. Members appoint substitutes, from their own
organizations, to attend on their behalf on an exceptional basis. Substitutes are to be
considered possible candidates for future membership.
- Initially, one third of the members will serve a term of three years, one third for a
term of two years, and a final third for one year. Thereafter, each member will
normally serve for a term of three years, although membership will remain, at all
times, at the pleasure of the Committee. For consistency, all terms will be deemed
to end on April 30.
- Members serve on the Committee as individuals, to reflect the broader interests of
the foreign exchange market, rather than that of the firm which employs them.
- The Chair of the Committee is elected by and from the current members of the
Committee, for a term determined by the Committee. The standing Membership
Subcommittee (see below) recommends appropriate candidates for this position.
- The Committee meets three times each year, or more frequently, as required. At each
meeting, the date and location of the next meeting are decided by those present.
- A standing Membership Subcommittee, consisting of a Chairperson, who is the
member from the Bank of Canada, and three other members, as determined by the
full Committee, identifies and proposes individuals for membership, based on their
personal stature, breadth of experience and anticipated ability to contribute to the
work of the Committee. The three other member positions serve a term of three
years, with each one expiring in a different year on April 30.
- The Committee may form ad hoc subcommittees, chaired by any of its members, to
study specific issues. Outside participants may be invited to serve on such
- The Committee will issue an Annual Report of its Activities, to be sent to all the
financial institutions in Canada known to be active in the foreign exchange market,
informing them of the Committee’s activities and membership.
- The Secretary prepares and circulates a notice and the minutes of each meeting to all
members and their substitutes.