OSFI releases inaugural quarterly guidance

OSFI releases inaugural quarterly guidance | Insurance Business Canada

Insurance News

OSFI releases inaugural quarterly guidance

Industry day slated in September

Insurance News

By
Terry Gangcuangco

The Office of the Superintendent of Financial Institutions (OSFI) has released its first quarterly guidance. The new system, featuring four fixed release dates throughout the year, is intended to provide stakeholders with greater predictability.

Addressing several critical risks identified in OSFI’s Annual Risk Outlook, the guidance includes the final Guideline E-21 on operational risk and resilience, updates to the LICAT (Life Insurance Capital Adequacy Test) guideline, and a consultation on the public disclosure of crypto-asset exposures.

Alongside these, OSFI has also published the 2024 Memorandum to the Appointed Actuary, which outlines the requirements for the appointed actuary report.

Meanwhile, OSFI is piloting its first virtual industry day, on September 5. The event will offer the industry the opportunity to learn more about the newly issued guidance and engage in a Q&A session. Stakeholders, who can choose which sessions to attend, are encouraged to register for the event.

The first session of the industry day in September will be a presentation on OSFI’s policy review, followed by a discussion of the crypto-asset exposures, final Guideline E-21, and LICAT guideline.

Part of the new pilot approach to the way OSFI releases regulatory guidance, industry days will be held two weeks after each quarterly release. The next quarterly guidance release is scheduled for November 21, with another virtual industry day planned for December 5.

Superintendent of Financial Institutions Peter Routledge (pictured) noted: “By issuing policy releases on four set dates annually, we meet the request of regulated financial institutions that OSFI deliver more predictable and transparent releases of our regulatory guidance. Our measured, principles-based approach to regulatory guidance will remain responsive to OSFI’s key risks.”

OSFI publishes guidelines to regulate and supervise federally regulated financial institutions, aligning with the current and emerging risk landscape.

What do you think about this story? Share your thoughts in the comments below.