Revised Liquidity Adequacy Requirements (LAR) Guideline

Document Properties

  • Type of Publication: Letter
  • Date: November 14, 2014
  • Reference: Guideline for Banks/BHCs/T&Ls/Retail Associations
  • To:
    • Banks
    • Bank Holding Companies
    • Federally Regulated Trust and Loan Companies
    • Cooperative Retail Associations

OSFI has revised Chapters 1, 2 and 6 of the Liquidity Adequacy Requirements Guideline to clarify interpretation and applicability of guidance in those chapters.  In particular, OSFI has:

  • Clarified the reporting timelines and supervisory reporting expectations related to the Net Cumulative Cash Flow (NCCF) metric – refer to Chapter 1, paragraph 25;
  • Clarified the scope of application of the intraday liquidity monitoring tools – refer to Chapter 1, paragraph 30 and Chapter 6 (OSFI Notes box preceding paragraph 1);
  • Revised the Liquidity Coverage Ratio (LCR) inflow treatment for certain deposits placed by indirect clearers with OSFI-regulated direct clearers – refer to Chapter 2, OSFI Notes boxes to paragraph 134 and paragraph 136.

The revisions in the re-issued LAR Guideline will be in effect as of January 1, 2015.  As a result of these amendments, OSFI will also be making minor modifications to the LCR return, which will be published shortly.  The revised LCR return is to be used by institutions as the basis for the initial LCR data submission to OSFI in mid-February 2015.

Questions on the LAR Guideline should be sent by email to Brian Rumas, Capital Specialist, Capital Division ( 

Yours truly,

Mark Zelmer
Deputy Superintendent ​​