Balance Sheet by Booking Location (Z4)

Document Properties

  • Type of Publication: Reporting Manual
  • Date: March 2020

PURPOSE

The purpose of this return is to provide a consolidated balance sheet of the institution as at the last day of each month. The balance sheet categories reflect the information required by the major users - the Office of the Superintendent of Financial Institutions, the Bank of Canada, Canada Deposit Insurance Corporation and Statistics Canada - for purposes of analyzing and monitoring the individual and aggregate financial condition of institutions. The return also requires the separation of assets and liabilities into total and foreign currencies.

STATUTORY

Sections 628 and 600 of the Bank Act, Section 24 of the Bank of Canada Act, and the Statistics Act.

APPLICATION

This return applies to all chartered banks and foreign bank branches.

PUBLICATION

Responses with identifiers will be shared by Bank of Canada with Statistics Canada, and may be published on an aggregated basis.

FREQUENCY

Monthly.

CONTACT PERSON

Provide name and phone number of person to contact regarding any questions about this return.

REPORTING DATES

The return is to be completed as of the last day of each month and submitted within 31 days of the reporting date. Reporting institutions should ensure that the M4 is filed prior to the Z4.

CONTACT AGENCY

Bank of Canada

GENERAL INSTRUCTIONS

The form of the consolidated balance sheet is identical for all institutions regardless of size and type. Consequently, certain balance sheet categories may not be applicable to some institutions because of the nature of their operations.

Where these instructions indicate that a certain category includes particular items, the particular items listed do not limit the generality of the heading but indicate the kind of items that are to be reported there.

Assets under administration are not to be included in the balances reported on the balance sheet.

Interest should be accrued on loans; the accrual is to be included in Asset 6. Debts purchased at a premium or discount are to be reported net of the premium or discount. The net reported amount of such loans will be increased or decreased as the discounts or premiums are taken into income over the term of the loan. Fixed-term loans on which the interest for the term is pre-computed and added to the principal are to be reported net of the pre-computed interest.

Deposits with regulated financial institutions include all non-interest-bearing balances and interest-bearing balances, including correspondent relationships in Canada and elsewhere placed in the normal course of market trading where the only documentation exchanged is a confirmation of contract and the rates applied are the bid and offer of the market.

Insurance-related Assets comprise certain asset categories from Insurance Subsidiaries that do not readily fall into the asset categories used in institution financial statements. Examples are given in the detailed instructions for Asset 6(a).

Assets of Insurance Subsidiaries such as securities and mortgages that readily fall into the asset categories used by institutions are to be reported in these categories.

All amounts are to be expressed in thousands of Canadian dollar equivalents.

Companies are required to prepare their quarterly and annual financial statements in accordance with IFRSs for fiscal years beginning on or after January 1, 2011. The reporting package has been revised for all filers which are now reporting under IFRS. References to CGAAP have been removed.

INSTRUCTIONS FOR COLUMNS

Booked in Canada

Transactions booked at the Head Office of the institution, at Canadian branches of the institution, at the Head Office or Canadian branches of Canadian Corporations controlled by the institution, or at Canadian branches or offices of foreign corporations controlled by the institution (that is, Canadian units of the institution). International departments or divisions are considered to be residents of the country in which the office is located.

  • Resident Counterparties
    For reporting purposes a resident is an individual, corporation or other organization that is ordinarily resident in Canada. (See: Non-Resident.)

  • Non-Resident Counterparties
    For reporting purposes, non-resident means an individual, corporation or other organization not ordinarily resident in Canada and includes foreign branches or subsidiaries of Canadian corporations and organizations, but excludes Canadian branches and subsidiaries of foreign corporations and organizations. In determining whether an individual, corporation or other organization is not ordinarily resident in Canada, an institution shall rely on the residential status determined from their mailing address contained in the records of the appropriate branch unless the institution is aware that the residential status is different from its branch records. Business conducted by the international banking divisions of Canadian institutions located in Canada is to be separated on the basis of the residency of the customer.

Booked outside Canada

Transactions booked at foreign branches, foreign agencies, foreign corporations controlled by the bank, and at foreign branches or offices of Canadian corporations controlled by the bank. International departments or divisions are considered to be residents of the country in which the office is located.

Booked Worldwide

Consolidation of all transactions booked both in and outside of Canada. Transactions with subsidiaries are eliminated in the face of the consolidated balance sheet. After removing allowances for expected credit losses, booked worldwide amounts should equate the M4 total currency and foreign currency amounts. Please refer to Section III for further information regarding the relationship between booked-in-Canada, booked-outside-Canada, and booked worldwide.

INSTRUCTIONS FOR ROWS

SECTION I - ASSETS

A 1 Cash and Cash Equivalents

(a) Gold, bank notes, deposits with Bank of Canada, cheques and other items in transit

  • Include:

    • gold coin;
    • gold and silver bullion held in Canada and elsewhere;
    • gold and silver certificates held as investments;
    • precious metals.
    • Bank of Canada notes on hand;
    • foreign currency notes;
    • Canadian coin on hand;
    • foreign coin held in Canada and elsewhere (foreign coin is to be reported as foreign currency, but U.S. coin in circulation in Canada need not be segregated unless amounts are material).
    • all completed deposit transactions with Bank of Canada, including Large-Value Transfer System (LVTS), Special Deposit Account (SDA) and Automated Clearing and Settlement System (ACSS) component balances.
  • Exclude:

    • loans repayable in gold and silver bullion.
  • Other Instructions:

  • Notes on hand and coin include those in transit between any units of the institution. Units of the institution include any branches or offices of the institution's subsidiaries.

  • Gold should be valued by translating to a Canadian dollar equivalent (using the month-end rate published by the Bank of Canada) the U.S. dollar value set at the second London gold "fixing".

  • Component deposit balances used to produce total deposits at the Bank of Canada must agree with the balance reports provided by the Bank of Canada at reporting date.

  • For items that meet the criteria for offsetting in accordance with IFRS, report the net balance (when that balance is a debit) of all accounts representing outstanding inter-institution and inter-branch entries, settlements and other items in transit.

  • If the foreign currency items in transit are a credit, although the total transit figure is a debit, report the foreign currency credit amount with a minus sign.

    1. Bank notes and other coin
    2. Deposits with Bank of Canada
    3. Cheques and other Items in Transit
    4. Other

(b) Deposits with Regulated Financial Institutions

  • Include:

    • non-interest-bearing demand deposit balances;
    • interest-bearing deposit balances;
    • interest-bearing accounts that are correspondent relationships in Canada and elsewhere;
    • deposits with foreign central banks or foreign official monetary institutions;
    • term deposits for investment purposes;
    • certificates of deposit purchased;
    • acceptances purchased.
  • Exclude:

    • deposits with Bank of Canada.
  • Other Instructions:

  • Overdrafts in deposit accounts with regulated financial institutions, which are deposit-taking, are to be included in Liability 1(c) - Demand Deposits of Deposit-taking Institutions.

  • Overdrafts in deposit accounts of and loans to regulated financial institutions, including loans to foreign central banks or foreign official monetary institutions are to be included in Asset 11(b) - Non-Mortgage Loans to Regulated Financial Institutions.

    1. Banker's acceptances purchased (originated by other FIs)
      Note: applicable only to Bankers Acceptances that are reported in cash and cash equivalents on the M4
    2. Negotiable fixed term notes (originated by other FIs)
      Note: applicable only to negotiable fixed term notes that are reported in cash and cash equivalents on the M4.
    3. Other
      Note: Includes Nostro accounts and deposits with foreign central banks or foreign official monetary institutions

A2 Securities

General Instructions

Securities issued or guaranteed by Canada are to be reported on the basis of remaining term-to-maturity.

Securities Held at Amortized Cost

Securities held at amortized cost, including those classified as Held to Maturity.

Securities Held at Fair Value

Securities accounted for as Held for Trading, Available for Sale, Fair Value Hedge, and securities designated as Held for Trading ("Fair Value Option"), should be fair valued in accordance with IFRS.

Amortization - see Glossary

Where these Instructions provide optional methods of computing amortization, the practices followed by the institution should be consistent.

(a) Securities Issued or Guaranteed by Canada/Canadian Province/Canadian Municipal or School Corporation

  1. Treasury Bills and other short-term paper
    1. Include:
      • securities issued or guaranteed by Canada maturing within 3 years;
      • securities issued or guaranteed by a Canadian province or a Canadian municipal or school corporation with an original term to maturity of one year or less
  2. Other securities
    1. Include:
      • securities issued by a territory;
      • municipal and school securities or any other securities guaranteed by a province or territory.
      • securities of school commissions, boards and districts;
      • securities of municipal public utilities;

(b) Other Securities

  1. Debt
    1. Include:
      • corporate promissory notes and other bills of exchange or instruments commonly referred to as commercial paper for investment purposes other than institution acceptances drawn by others;
      • income debentures;
      • small business development bonds;
      • small business bonds;
      • securities not reported elsewhere;
      • retained interests
    2. Other instructions:
      Retained interests are assets that arise on the date related assets (receivables) are sold to a special purpose entity and securitized. These assets are retained by the selling institution and they are related to the assets sold to the SPE. Retained interests also include any purchased beneficial interests from third parties. They include interest-only strips, subordinated notes, residual interests, cash collateral, loans and other receivables. They are to be accounted for, under IFRS.
  2. Shares
    1. Include:
      • common, preferred and term-preferred shares and rights in respect of such shares and units of mutual or investment funds.
    2. Other Instructions:

    3. Debt and equity securities of clubs and like local not for profit organizations purchased for other than investment purposes, are to be included under Asset 6.

    4. Debt and equity securities that normally would be included in Other Securities but have been guaranteed by Canada, provinces, or municipal or school corporations should be reported as Asset 2(a).

    5. Fixed-term equity securities held at amortized cost are to be adjusted for the amortization of related premium or discount.

    6. The cost at which holdings of individual securities are carried is to be adjusted to reflect anticipated permanent losses in the underlying values.

    7. Issues of securities where there is a put option or an offer to purchase present, at a price higher than the carrying value of the security, should be recorded at cost. Increases in the carrying value and the accrual of the gain into income are to be permitted only in those circumstances where there is virtual certainty that the gain arising from the put option or the offer to purchase will be realized. Virtual certainty must be demonstrated to the satisfaction of the Office of the Superintendent of Financial Institutions. Normally the prospective purchaser of the securities would be either the Government of Canada or an organization controlled by the Government of Canada.

A 3 Loans

(a) Non-Mortgage Loans

  1. Call and Other Short Term Loans to Investment Dealers and Brokers, Secured
    1. Include:
      • loans against securities to recognized investment dealers, stockbrokers and underwriting syndicates (whether or not the institution is a member) that, when made, were payable on call or within 90 days;
      • sight drafts with securities attached;
      • daylight overdrafts outstanding.
    2. Other Instructions:
      If a loan of this type becomes under-secured, transfer the items to Asset 3(a)(ii).
  2. To regulated financial institutions
    1. Total
      1. To banks and foreign bank branches
      2. To other
      3. Include:
      • Commercial loans to financial institutions in Canada and elsewhere, and include loans to foreign central banks or foreign official monetary institutions and overdrafts in deposit accounts of other regulated financial institutions.
  3. To Canadian federal government, provinces, municipalities or school corporations
    1. Include:
      • loans to, and temporary overdrafts of Canadian Federal, Provincial, Territorial and Municipal governments, boards and commissions that carry on projects other than business enterprises;
      • loans to school boards, commissions and districts.
    2. Exclude:
      • provincial and municipal Treasury Bills and like evidence of indebtedness and include with securities (see Asset 2(a)(i) & (ii).
    3. Other Instructions:
      • Loans to separately constituted boards or commissions that have borrowing authority and that carry on business enterprises are to be included under Asset 3(a)(vii).
  4. To foreign governments
    1. Include:
      • loans to, and temporary overdrafts of foreign central, provincial, state, municipal governments, boards and commissions that carry on projects other than business enterprises;
      • loans to school boards, commissions and districts.
    2. Exclude:
      • loans to foreign central banks or foreign official monetary authorities. These are to be included in Asset 3(a)(ii), above.
    3. Other Instructions:
      • Loans to separately constituted boards or commissions that have borrowing authority and that carry on business enterprises are to be included under Asset 3(a)(viii).
  5. Lease receivables
    1. Exclude:
      • conditional sales contracts (See Assets 3(a)(vi) and 3(a)(viii).
  6. To individuals for non-business purposes
    1. Personal loan plans
      1. Include:
      • loans granted under an institution's personal loan plan (that is loans which are generally available, are made subject to standard terms and conditions and are usually repaid on an installment basis), whether at a fixed or variable rate of interest;
      • conditional sales contracts to finance the acquisition of consumer goods and services.
        1. Of which are auto loans
    2. Credit card (interest and non-interest bearing)
      1. Include:
        • outstanding balances under a credit card plan if users have established access to credit and outstanding items are not debited to the user's deposit account as in the case of ordinary cheques.
    3. Made under personal lines of credit
      1. Include:
        • loans to individuals for non-business purposes which are advanced under pre‑arranged lines of credit.
          1. Of which are HELOCs
    4. Other personal loans
      1. Include:
        • loans on the security of bonds or stocks;
        • overdrafts in individuals' deposit accounts under Liability 1(a)(vi) and 1(b)(vi) and overdrafts in tax accounts related to residential mortgages;
        • bridge financing loans associated with residential properties;
        • government-guaranteed loans made to individuals for non-business purposes, such as Home Improvement Loans under the National Housing Act and Canada Student Loans;
        • all other loans to individuals for non-business purposes not included above.
    5. Total
      1. Include:
        1. The sum of items included above in (A) through (D)
    6. Of which:
      1. secured by residential property
        1. Include:
          • loans to individuals for non-business purposes that are secured by residential property
      2. secured by other than residential property
        1. Include:
          • loans to individuals for non-business purposes that are secured by anything other than residential property
  7. Reverse Repurchase Agreements
    1. Include:
      • reverse repurchase agreements
  8. To individuals and others for business purposes
    1. Acceptances (acceptances guaranteed and currently held by the institution)
      1. Report: Acceptances of the institution, guaranteed and currently held by the institution, which are reported in loans on the M4.
    2. Loans:
      1. To financial corporations (other than those included in "to regulated financial institutions")
      2. To non-financial corporations
      3. To individuals
    3. Total
    4. Of which:
      1. Secured by residential property
      2. Secured by other than residential property
      3. Include:
        • except where offset is provided for in these instructions, other overdrafts in deposit accounts under Liability 1 and not reported elsewhere;
        • business loans secured by residential or non-residential property;
        • conditional sales contracts for business purposes;
        • bridge financing associated with non-residential properties;
        • other loans not classified elsewhere.
      4. Other Instructions:
        Exclude corporate promissory notes and other bills of exchange or instruments, commonly referred to as commercial paper, purchased for investment, and report these items under Asset 2(b)(i).

        Where, on a reporting date, the balances of an operating or demand loan account (including an overdraft) and a deposit account of the same individual, partnership or corporate entity may be partially or wholly offset by legal set-off and by a written customer agreement and the off-setting balances are in the same currency and bear the same or no rate of interest, the account balances may be reported net. However, term loans and fixed-term deposits may not be offset for regulatory reporting purposes.

        Loan and deposit accounts that may be combined for such purposes as computing customer interest, service charges, etc. may not be reported net.

        Net unamortized amounts of fees and costs associated with lending activities are to be included in the balances of the respective loan categories. When net unamortized fees and costs are immaterial, these amounts may be included in Liability 6 - Other Liabilities.

        1. Of which:
          1. secured by residential property
            1. Include:
              • loans to individuals and others for business purposes that are secured by residential property
          2. secured by other than residential property
            1. Include:
              • loans to individuals and others for business purposes that are secured by anything other than residential property

(b) Mortgages

General Instructions:
Advances made to finance development and construction that are not secured by a mortgage (i.e., bridge financing) are to be included in Asset 3(a)(vi) or 3(a)(viii).

Mortgages acquired at a premium or discount are to be reported net of the premium or discount. The net reported amount of such mortgages will be increased or decreased as the premiums or discounts are taken into income over the term of the mortgages.

A mortgage secured by buildings defined as residential in appendix 2 is to be included under Asset 3(b)(i).

Personal or business loans secured by residential or non-residential property are to be included in Asset 3(a)(vi) or 3(a)(viii) respectively.

Reverse mortgages are to be reported in Asset 3 (b) (i) (D).

Tax prepayments are to be included under either Liability 1(d) or 1(e). Cheques issued for mortgages advances are to be included under Asset 1(a) until charged to the mortgage account.

These instructions apply to all mortgage loans, not only to first mortgages.

Other Instructions:
Net unamortized amounts of fees and costs associated with lending activities are to be included in the balances of the respective loan categories. When net unamortized fees and costs are immaterial, these amounts may be included in Liability 9 - Other Liabilities.

(i) Residential

  1. Insured
    1. Include:
      • advances as well as completed loans insured under NHA or other insurance companies/agencies.
    2. Exclude:
      • mortgages that cease to be insured.
      1. Of which: NHA MBS Pooled and Unsold
        1. Include:
          • the outstanding balance of National Housing Act Mortgage Backed Securities (NHA MBS), pooled and unsold (bank originated or purchased).
  2. Uninsured
    1. Include:
      • advances as well as completed loans;
      • real estate acquired in the liquidation of a loan previously reported in this category and held pending completion of arrangements for disposal or transfer to Asset 5 or 6.
  3. Reverse mortgages
    1. Include:
      • reverse mortgages
  4. Total residential mortgages

(ii) Non-residential

  1. Include:
    1. advances as well as completed loans for commercial, farm and industrial mortgages.

(iii) Total mortgage loans

  1. Include: all mortgage loans in 3(b)(i) and 3(b)(ii)

A 4 Customers' Liability Under Acceptances (acceptances guaranteed but not currently held by the institution)

Include:

  • Acceptances of the institution which are currently held by another entity.

Other Instructions:

Acceptances of the institution when purchased and held are to be reported under Asset 3(a)(viii) with a corresponding reduction in Asset 4 and Liability 5, if previously reported in these categories.

Refer to Liability 5.

A 5 Land, Buildings and Equipment, Less Accumulated Depreciation

Include:

  • land, buildings, furniture and equipment;
  • leasehold improvements that are to be written off during the term of a lease;
  • capital leases;
  • interest capitalized during the period of construction of major projects;
  • former institution premises no longer used as such;
  • in "accumulated depreciation",
    1. estimated depreciation for the fiscal year to date,
    2. actual write-offs,
    3. reserves for depreciation, and
    4. amortization of capital leases.

Other Instructions:

Where a capital lease is the result of a sale-leaseback arrangement, any profit or loss arising on the sale should be deferred and amortized in proportion to the amortization of the leased asset, except for leases involving land only, in which case it would be amortized over the lease-term on a straight-line basis. However, when at the time of the sale-leaseback transaction the fair value of the property is less than carrying value, the difference should be recognized as a loss immediately.

A 6 Other Assets

(a) Insurance-Related Assets

  • Include:
    • policy loan balances of insurance company subsidiaries.
    • premium outstanding balances of insurance company subsidiaries.
    • balances due from other insurers in respect of reinsurance contracts, pooling and other arrangements of insurance company subsidiaries.
    • deferred policy acquisition expenses of insurance company subsidiaries;
    • other assets unique to insurance company operations and not included elsewhere;
    • the adjustment in respect of unamortized gains or losses on investments of insurance company subsidiaries (if the balance is a debit).

(b) Accrued Interest

  • Include:
    • accrued interest and dividends on Assets 1(b), 2, 3 and 6(a).

Other Instructions:

Dividends on term-preferred shares should be accounted for on the accrual basis, unless there are questions of collectability involved. Where collection is not in doubt, dividend income related to this type of preferred share should be accrued prior to the declaration of the dividends by the issuer.

Dividends on common shares and on preferred shares (other than term-preferred shares) should not be accrued until they are clearly payable by the issuer.

Interest on income debentures should be accounted for on the accrual basis, unless there are questions of collectability involved.

(c) Prepaid and Deferred Charges

  • Include:
    • stationery inventory if any;
    • prepaid insurance, taxes and other prepaid expenses;
    • all postage and other stamp inventories, if any, held in Canada and elsewhere.

(d) Goodwill

Other Instructions:
Goodwill is carried at the amount initially recognized less any write-down for expected credit losses.

(e) Intangibles (other than goodwill)

  1. with definite lives
    • Include:
      • core deposit intangibles;
      • customer lists and relationships;
      • mortgage servicing rights;
      • other intangibles

Other Instructions:
Less deductions for amortization charges.

  1. with indefinite lives

Other Instructions:
Carried at amount initially recognized less any write-down for expected credit losses.

(f) Deferred Tax Assets

  • Include:
    • future taxes if balance is a debit.

(g) Derivative Related Amounts

  • Include:
    • amounts relating to derivative instruments, including unrealized gains (losses are to be offset against gains), margin requirements and premiums paid. Offsetting is only permissible in accordance with IFRS.
  • Exclude:
    • for Foreign Bank Branches only, derivative related amounts with head office, or other branches of the same bank (see Asset 6(g)).

(h) Due from Head Office and related Canadian regulated Financial Institutions (to be completed by Foreign Bank Branches only)

General Instructions:

Report on a gross basis:

  • Netting of assets and liabilities is only permissible in accordance with IFRS;
  • Amounts "due to/from" one branch cannot be used to offset amounts "due to/from" either head office or another branch of the same bank;
  • Unless there is a netting arrangement in place, it is possible to have both an asset and a liability with another branch.

Include:

  • amounts due from head office, other branches of the same bank and related Canadian regulated financial institutions.

Other Instructions:
Amounts due from foreign affiliates of the bank should be treated as third party assets and reported separately in the appropriate balance sheet line items.
Please refer to the glossary section in this manual for the definition of "Regulated Financial Institution".

(i) Interests in associates and joint ventures

Include investments carried using the equity method.

(j) Other

  • Include:
    • sundry accounts receivable;
    • recoverable tellers' shortages;
    • recoverable losses arising from defalcations, hold-ups, robberies, etc.;\
    • foreclosed real estate and other long-lived assets acquired in the liquidation of a loan;
    • shareholdings that are of a temporary nature because of a formal agreement for disposal of the institution's interest;
    • securities of clubs and like local not for profit organizations purchased for other than investment purposes;
    • unamortized discount, if any, on subordinated debt issued and outstanding;
    • fair value of defined benefit plan assets;
    • special pension fund payments that have not yet been charged to operating expenses;
    • other payments, etc. that have not been charged to operating expenses;
    • other expenditures that are to be charged to operating expenses at a later date;
    • any interest in a partnership that is not in the form of a loan or marketable security;
    • assets sold with recourse.

MEMO ITEMS

(1) Securitized Assets

(a) Unrecognized

General Instructions:

Unrecognized securitizations should be interpreted as securitized assets that are not reported on the balance sheet.

(i) Institution's own assets (bank originated or purchased)

  • (A) Traditional securitizations

General Instructions:
Report the outstanding balances of SPE assets.

(I) Credit card loans

  • Include:
    • credit card loans that otherwise would be reported in Asset 3(a).

(II) Automobile loans

  • Include:
    • automobile loans that otherwise would be reported in Asset 3(a).

(III) Personal loans

  • Include:
    • personal loans that otherwise would be reported in Asset 3(a).
      1. Of which: personal lines of credit
      2. Of which: other personal loans

(IV) Commercial loans

  • Include:
    • commercial loans that otherwise would be reported in Asset 3(a).

(V) Lease receivables

  • Include:
    • lease receivables that otherwise would be reported in Asset 3(a).

(VI) Residential mortgages, insured

  • Include:
    • residential mortgages, insured that otherwise would be reported in Asset 3(b)(i)(A).

(VII) Of which: NHA MBS pooled and sold

  • Include:
    • the amount of National Housing Act Mortgage Backed Securities included in residential mortgages, insured (bank originated or purchased) in Asset 3(b)(i)(A) pooled and sold
  • Exclude:
    • the amount of National Housing Act Mortgage Backed Securities included in residential mortgages, insured , of which NHA MBS pooled and unsold (bank originated or purchased) and reported in Asset 3(b)(i)(B).

(VIII) Residential mortgages, uninsured

  • Include:
    • residential mortgages, uninsured that otherwise would be reported in Asset 3(b)(i)(B).

(IX) Non-residential mortgages

  • Include:
    • non-residential mortgages that otherwise would be reported in Asset 3(b)(ii).

(X) Other assets

  • Include:
    • other assets not listed in the above categories.

(B) Synthetic securitizations

General instructions:
Report the nominal/notional balances for all securitization vehicles sponsored/administered by the institution.

  1. Banking book vehicles
  2. Trading book vehicles

(ii) Third Party Assets - Institution sponsored/administered

(A) Traditional securitizations

General Instructions:
Report the outstanding balances of debt issued for all securitization vehicles sponsored/ administered by the institution. The line references are the same as in section (i).

  1. Credit card loans
  2. Automobile loans
  3. Personal loans
    1. Of which: personal lines of credit
    2. Of which: other personal loans
  4. Commercial loans (including traditional CDOs, CLOs)
  5. Lease receivables
  6. Residential mortgages, insured (including traditional CMOs)
  7. Of which: NHA MBS pooled and sold (see above)
  8. Residential mortgages, uninsured (including traditional CMOs)
  9. Non-residential mortgages (including traditional CMOs)
  10. Other assets (including traditional CDOs, CLOs not reported above)

(B) Synthetic securitizations

General instructions:
Report the nominal/notional balances for all securitization vehicles sponsored/administered by the institution.

  1. Banking book vehicles
  2. Trading book vehicles

(b) Recognized

General Instructions:

Recognized securitizations should be interpreted as securitized assets that are reported on the balance sheet and included in their underlying asset categories.

(i) Institution's own assets (bank originated or purchased)

(A) Traditional securitizations

General Instructions:
Report the outstanding balances of SPE assets that are reported on the balance sheet under IFRS. The line references are the same as in section 1(a)(i).

  1. Credit card loans
  2. Automobile loans
  3. Personal loans
    1. Of which: personal lines of credit
    2. Of which: other personal loans
  4. Commercial loans
  5. Lease receivables
  6. Residential mortgages, insured
  7. Of which: NHA MBS pooled and sold (see above)
  8. Residential mortgages, uninsured
  9. Non-residential mortgages
  10. Other assets

(B) Synthetic securitizations

General instructions:
Report the nominal/notional balances for all securitization vehicles sponsored/administered by the institution.

  1. Banking book vehicles
  2. Trading book vehicles

(ii) Third Party Assets - Institution sponsored/administered

(A) Traditional securitizations

General Instructions:
Report the outstanding balances of debt issued for all securitization vehicles sponsored/ administered by the institution. The line references are the same as in section 1(a)(i).

  1. Credit card loans
  2. Automobile loans
  3. Personal loans
    1. Of which: personal lines of credit
    2. Of which: other personal loans
  4. Commercial loans (including traditional CDOs, CLOs)
  5. Lease receivables
  6. Residential mortgages, insured (including traditional CMOs)
  7. Of which: NHA MBS pooled and sold (see above)
  8. Residential mortgages, uninsured (including traditional CMOs)
  9. Non-residential mortgages (including traditional CMOs)
  10. Other assets (including traditional CDOs, CLOs not reported above)

(B) Synthetic securitizations

General instructions:
Report the nominal/notional balances for all securitization vehicles sponsored/administered by the institution.

  1. Banking book vehicles
  2. Trading book vehicles

(c) Retained Interests

  1. Cash and cash equivalents
    Include:
    • retained interests included in asset 1.
  2. Securities
    Include:
    • retained interests included in asset 2(b).
  3. Mortgages
    Include:
    • retained interests included in asset 3(b)
  4. Other Assets
    Include:
    • retained interests included in asset 3.

(d) Securitized residential mortgages included in securities

  • Include:
    • securitized residential mortgages (bank originated or purchased) included in asset 2.

(e) Other Securitized assets included in securities

  • Include:
    • other securitized assets (bank originated or purchased) included in asset 2.

(2) Selected information to be completed by Foreign Bank Branches only

  1. Due from Head Office and related Canadian regulated Financial Institutions
    1. Head Office
      Include:
      • all amounts due from Head Office and other branches of the same bank included in asset 6(h).
    2. Related Canadian regulated deposit-taking institutions
      Include:
      • all amounts due from related Canadian regulated Deposit-Taking Institutions included in
        asset 6(h).
    3. Related Canadian regulated financial institutions
      Include:
      • all amounts due from related Canadian regulated Financial Institutions included in asset 6(h).
    1. Other Instructions:
      Please refer to the glossary section in this manual for the definition of Deposit-Taking Institutions and Financial Institutions.
  2. Claims on residents of the Home Country included in Assets
    1. Securities
      Include:
      • all securities on residents of the home country included in asset 2(b).
    2. Loans
      Include:
      • all loans on residents of the home country included in asset 3.
    3. Other
      Include:
      • all other claims on residents of the home country included in assets 1(b), 4 and 6.

(3) Foreclosed long-lived assets acquired in liquidation of a loan (Report quarterly fiscal only. Monthly reporting between fiscal quarter-ends, is not required.)

General Instructions:
Report the net carrying value under IFRS. For example, this could be the dollar value of loans less write-offs or provisions.

  1. Held for sale
  2. Held for own use

(4) Power of Sale Loans related to Real Estate

General Instructions:
Report dollar value (carrying value) of all Power of Sale loans related to real estate on which notice has been given or further legal action undertaken.

(5) Par value of holdings of securities issued by the Government of Canada

Include:

  • Institution holdings of securities issued directly by the Government of Canada. Amounts to be reported are the par values of the securities held by institutions and all of their consolidated subsidiaries as included in Asset item 2(a) of the monthly balance sheet.

Other instructions:
Trust and Loan companies are not required to submit this line item.

(6) Unrealized gain/loss on securities held at amortized cost (Report quarterly fiscal only. Monthly reporting between fiscal quarter-ends, is not required.)

Include:

  • Net impact of marking to market or marking to model of all securities held at amortized cost including securities held at amortized cost which are classified as Available for Sale.

Exclude:

  • All securities held at fair value.

(7) Selected Information on Assets Pledged for Covered Bonds

Covered bonds are debt instruments backed by the assets of the financial institution. Covered bonds are secured by a priority claim on collateral of high quality, on-balance sheet assets. The assets are typically, but not limited to, a pool of prime residential mortgages or public sector debt that remains on the issuer's balance sheet but acts as collateral to "cover" the bonds.

General Instructions:

Report the month-end outstanding balances of assets pledged for covered bonds.

  1. Residential mortgages, insured
    – refer to Asset 3 for classification instruction.

  2. Residential mortgages, uninsured
    – refer to Asset 3 for classification instruction.

  3. Home equity lines of credit (HELOCs)
    – refer to Asset 3 for classification instruction.

  4. Non-residential mortgages­
    ‑ refer to Asset 3 for classification instruction.

  5. Assets other than mortgages
    ‑ include assets not reported as mortgages.

Assets under Custody (AUC), Assets under Administration (AUA) and Assets under Management (AUM)

General

Reported assets (AUC, AUA and AUM) are beneficially owned by clients and therefore are not reported on the balance sheet of the financial institution. Amounts should be reported in Canadian dollars at market value.

(8) Assets under custody

Include:

  • The value of assets held under custody by a "custodian of securities".
  • Assets under custody as well as under sub-custody for affiliates or other companies.

Exclude:

  • Assets where a value cannot be readily ascribed. (e.g. intangibles, art, private heirloom).

(9) Assets under administration

Include:

  • Assets under custody plus the value of assets for which fund accounting/asset record-keeping services are provided, but not custodied.

Exclude:

  • On balance sheet securitized assets.

(10) Assets under management

  • The value of assets for which the FI provides investment management services (decisions when to sell, buy, or leverage the assets)

(11) Items in transit (before netting) included in Cash and Cash Equivalents

  1. Of which: Deposits in transit
    Report the gross debit balance (before netting) of all accounts representing items in transit which are specifically related to deposits (e.g. cheques, money orders, etc.).

  2. Of which: Items in transit (other than deposits)
    Report the gross debit balance (before netting) of all accounts representing all items in transit other than deposits (e.g. outstanding inter-company and inter-branch transactions).

(12) Defined Benefit Pension Plan Assets

Report the fair value of defined benefit plan assets gross of the present value of defined benefit plan obligations.

(13) Residential mortgages (equals section I (3)(b)(i) CAD only)

Definition of residential property provided in appendix 2

By number of units

  1. Of which are mortgages on properties of 1-4 units
  2. Of which are mortgages on properties of more than 4 units

By readvanceable status

  1. Of which are readvanceable
    To be reported as described in appendix 1

  2. Of which are non-readvanceable
    To be reported as described in appendix 1

By counterparty

  1. of which are extended to individuals
    To be reported as described in appendix 3

  2. of which are extended to corporations (including partnerships, non-profit organizations)
    To be reported as described in appendix 3

(14) (a) Loans to individuals for non-business purposes - secured by residential property (equals section I (3)(a)(vi)(F)(i) CAD only)

By readvanceable status

  1. Of which are readvanceable
    To be reported as described in appendix 1

  2. Of which are non-readvanceable
    To be reported as described in appendix 1

(15) (a) Non-residential mortgages (equals section I (3)(b)(ii) CAD only)

Definition of residential property provided in appendix 2

By counterparty

  • of which are extended to individuals
    To be reported as described in appendix 3

  • (ii) of which are extended to corporations (including partnerships, non-profit organizations)
    To be reported as described in appendix 3

By property type

  • of which are mortgages on multi-unit residential properties
    Multi-unit residential properties are defined as residential properties with more than 4 units as per appendix 2

  • of which are not mortgages on multi-unit residential properties
    Multi-unit residential properties are defined as residential properties with more than 4 units as per appendix 2

(16) Non-mortgage loan portfolio

(a) Non-mortgage loans to individuals for non-business purposes

  1. Of which: secured by residential real property

    Loans secured by residential real property include loans secured wholly or partially by collateral mortgages on residential real property, as well as any rights or interests in these.Footnote 1 Examples of loans secured by residential real property include home equity lines of credit (HELOCs).

    Real property (or immovable property, in Quebec) means land, including mines and minerals, and buildings, structures, improvements and other fixtures on, above or below the surface of the land, and includes an interest therein.

  2. Of which: secured by non-residential real property

    Loans secured by non-residential real property include loans secured wholly or partially by collateral mortgages or charges on land and/or buildings and other structures, as well as any rights or interests in these. Examples of loans secured by non-residential real property include loans secured by corporate real estate.

    Real property (or immovable property, in Quebec) means land, including mines and minerals, and buildings, structures, improvements and other fixtures on, above or below the surface of the land, and includes an interest therein.

  3. Of which: secured by other than real property

    Secured loans that are not covered in lines 17(a)(i) and 17(a)(ii).

  4. Of which: not secured

    Loan that are not secured.

(b) Non-mortgage loans to individuals and others for business purposes

  1. Of which: secured by residential real property

    Loans secured by residential real property include loans secured wholly or partially by collateral mortgages on residential real property, as well as any rights or interests in these. Examples of loans secured by residential real property include home equity lines of credit (HELOCs).

    Real property (or immovable property, in Quebec) means land, including mines and minerals, and buildings, structures, improvements and other fixtures on, above or below the surface of the land, and includes an interest therein.

  2. Of which: secured by non-residential real property

    Loans secured by non-residential real property include loans secured wholly or partially by collateral mortgages or charges on land and/or buildings and other structures, as well as any rights or interests in these. Examples of loans secured by non-residential real property include loans secured by corporate real estate.

    Real property (or immovable property, in Quebec) means land, including mines and minerals, and buildings, structures, improvements and other fixtures on, above or below the surface of the land, and includes an interest therein.

  3. Of which: secured by other than real property

    Secured loans that are not covered in lines 17(b)(i) and 17(b)(ii).

  4. Of which: not secured

    Loan that are not secured.

(c) Loans to purchase or carry made under loans to individuals for non-business purposes

  1. Of which: tax-sheltered plans
  2. Of which: securities

(d) Student loans and student lines of credit made under loans to individuals for non-business purposes

(e) Loans to private non-profit institutions

(17) Gold coin and gold and silver bullion (excluding certificates)

  1. Reported in Cash and Cash equivalents
  2. Reported in Other Assets, Other


(18) Selected information on debt securities reported in other securities

  1. Of which: own asset backed securities
  2. Other asset backed securities

(19) Selected information on land, buildings and equipment less accumulated depreciation

  1. Accumulated depreciation

(20) Selected information on Other Assets

(a) Goodwill

  1. Accumulated impairments

(b) Intangibles (other than goodwill) net of amortization

  1. Software
    1. Of which: internally generated, developed
    2. Of which: internally generated, under development
    3. Of which: purchased
  2. Customer relationships
  3. Other

(21) Selected information on Intangibles

  1. Accumulated amortization

(22) Selected information on Other Assets, Other

  1. Cash Collateral
  2. Accounts receivable

(23) Outstanding overdraft balances

(24) Insured residential mortgages

(a) Individually insured

  1. Of which: NHA-MBS pooled and unsold

(b) Portfolio insured

  1. Of which: NHA-MBS pooled and unsold

LIABILITIES

General Instructions:

Include in the appropriate deposit category, liabilities of subsidiaries that are similar in nature and characteristics to, and that, if issued by the institution, would rank equally with deposit liabilities of the institution.

Liabilities of subsidiaries other than those reported under Liability 1 or 2 and other than those that by their nature should be reported under Liability 6(a) or 6(b) are to be reported under Liability 6(c) to 6(k).

Deposits from an associated corporation that is a foreign deposit-taking institution are to be reported under Liability 1(c) or 2(c), as appropriate, and deposits from any other associated corporation are to be reported under Liability 1(e) or 2(e), as appropriate.

Except where offset is provided for in these Instructions, overdrafts in Liability 1 are to be included in the appropriate asset category.

Debit items should not be used to reduce reported deposit liabilities unless the charge has been shown in the customer's account as of the same date.

SECTION II - LIABILITIES

L 1 Demand and Notice Deposits

(a) Federal and Provincial

Include deposits of:

  • Receiver General for Canada;
  • Armed Forces paymasters;
  • collectors of customs;
  • custodian of enemy property;
  • departmental imprest accounts;
  • Provinces;
  • Territories of Canada.

Other Instructions:
Deposits of government boards, corporations and commissions that are separately constituted and carry on business enterprises are to be reported under Deposits - Others, as appropriate.

  1. Federal
  2. Provincial

(b) Municipal or school corporations

Include demand and notice deposits of:

  • all emanations of municipal governments that do not have their own borrowing authority.

(c) Deposit-taking Institutions

Include:

  • deposits of Canadian and foreign deposit-taking institutions and official monetary institutions;
  • overdrafts in deposit accounts with deposit-taking institutions.

Other Instructions:
Settlements due to deposit-taking institutions are to be reported under Asset 6(a) or Liability 3.

  1. Of which: banks and foreign bank branches

(d) Individuals

  1. Tax Sheltered
    1. Include:
      • notice deposit balances of individuals tax-sheltered under the Canadian Income Tax Act (RRSPs, RRIFs, etc.).
      • Tax Free Savings Accounts (TFSA)
    2. (A) RRSPs and RRIFs
    3. (B) Other
  2. Other
    1. Include:
      • deposit balances of individuals in single or joint names;
      • free credit balances of individuals on the books of investment dealer subsidiaries;
      • accounts of estates of individuals;
      • accounts of companies or persons, acting as trustees, if the institution has written evidence that the account represents trust funds of individuals or estates of individuals;
      • credit balances of individuals in property tax accounts.
    2. Exclude:
      • accounts of individuals, if it is known that the funds belong to other than those listed above.

(e) Others

Include:

  • other free credit balances payable on the books of investment dealer subsidiaries;
  • accounts of firms, business partnerships and personal corporations;
  • accounts of pension funds;
  • accounts of religious, charitable, fraternal, labour, recreational, educational and welfare organizations, institutions and corporations;
  • non-individual credit balances in property tax accounts;
  • non-chequable notice deposits not reported elsewhere.
  • deposits not reported elsewhere.

L 2 Fixed-Term Deposits

(a) Federal and Provincial

Include fixed-term deposits of:

  • Receiver General for Canada;
  • Armed Forces paymasters;
  • collectors of customs;
  • custodian of enemy property;
  • Provinces;
  • Territories of Canada.

Other Instructions:
Deposits of government boards, corporations and commissions that are separately constituted and carry on business enterprises are to be reported under Deposits - Others, as appropriate.

  1. Federal
  2. Provincial

(b) Municipal or school corporations

Include fixed-term deposits of:

  • all emanations of municipal governments that do not have their own borrowing authority;

(c) Deposit-taking Institutions

Include:

  • term notes registered in the name of Canadian and foreign deposit-taking institutions and official monetary institutions;
  • advances from central banks outside Canada.
  1. Of which: banks and foreign bank branches

(d) Individuals

  1. Tax-sheltered
    1. Include:
      • fixed-term deposit balances of individuals tax-sheltered under the Canadian Income Tax Act (RRSPs, RRIFs, etc.).
      • Tax Free Savings Accounts (TFSA)
      • (A) RRSPs and RRIFs
      • (B) Other
  2. Other
    1. Include:
      • term notes registered in the name of individuals in single or joint names;
      • term notes registered in the name of estates of individuals;
      • term notes registered in the name of companies or persons, acting as trustees, if the institution has written evidence that the account represents trust funds of individuals or estates of individuals.
    2. Exclude:
      • accounts of individuals, if it is known that the funds belong to other than those listed above.

(e) Others

  • Include:
    • all bearer deposit notes and other negotiable fixed-term notes;
    • accounts of firms, business partnerships and personal corporations;
    • accounts of pension funds;
    • accounts of religious, charitable, fraternal, labour, recreational, educational and welfare
    • organizations, institutions and corporations
    • term notes and other deposit instruments issued by the institution not reported elsewhere.
  1. Bearer deposit notes, original maturity equal or less than 1 year
    • Notes in bearer form with an original maturity date of less than one year
      1. Of which are covered bonds
  2. Bearer deposit notes, original maturity greater than one year
    • Notes in bearer form with an original maturity of greater than one year
      1. Of which are covered bonds
  3. Other wholesale deposits (including other wholesale negotiable fixed term notes)
    • All other wholesale deposits not included in L(2)(e)(i) or L(2)(e)(ii)
  4. Retail deposits

Other instructions:
For L(2)(e)(i)-L2(e)(iii), include only deposits made via capital funding groups
For L(2)(e)(iv), report deposits made with the retail branches of the reporting institution

It is acknowledged and accepted that the methodology used by each bank to differentiate between wholesale and retail may differ.

L 3 Cheques and Other Items in Transit

Include:

  • For items that meet the criteria for offsetting in accordance with IFRS, report the net balance (when that balance is a credit) of transit items;
  • if the foreign currency items in transit are a debit, although the total transit figure is a credit, report the foreign currency debit amount with a minus sign.

L 4 Advances from the Bank of Canada

Include:

  • all advances from the Bank of Canada.
  1. Of which are advances from the Standing Liquidity Facility (SLF)
    1. Include:
      • Only include advances from the Bank of Canada's Standing Liquidity Facility which provides collateralized overnight loans to direct participants in the Large Value Transfer System (LVTS).

L 5 Acceptances

Refer to Asset 4.

Include:

  • acceptances of the institution purchased and resold;
  • acceptances of the institution that have not been purchased.

Exclude:

  • acceptances of the institution that have been purchased and held by the institution. Report these under Asset 3(a)(viii)

L 6 Other Liabilities

(a) Liabilities of Subsidiaries, Other Than Deposits

  1. Call and Other Short Loans Payable
    1. Include:
      • call and other short loans payable secured by securities which, when made, were payable on call or within 90 days;
      • sight drafts with securities attached;
      • daylight overdrafts outstanding.
  2. Other
    1. Include:
      • bonds, debentures and other similar forms of debt instruments;
        liabilities of subsidiaries not included elsewhere (see general instructions to liabilities section).

(b) Insurance-Related Liabilities

Include:

  • actuarial liabilities related to insurance products of subsidiary companies.
  • actuarial liabilities related to annuity products of subsidiary companies.
  • deferred gains or losses on disposal of portfolio investments (also referred to as adjustment in respect of unamortized gains or losses on investments) if the net balance is a credit.
  • other insurance-related liabilities not reported elsewhere, including provisions for policyholder dividends and provisions for Experience Rating Refunds.

(c) Accrued Interest

Include:

  • accrued interest on deposits (Liabilities 1 and 2);
  • accrued interest on subordinated debt (Liability 9);
  • accrued interest on other liabilities as appropriate (Liability 6).

Other instructions:
Accrue interest to date on deposit liabilities on a monthly basis or accrue to the most recent quarter-end of the financial year, provided that the institution follows a consistent policy in this regard. The appropriate rate to be used when accruing interest on deposit instruments should be the effective rate if outstanding to maturity.

(d) Mortgages and Loans Payable

Include:

  • associated liabilities resulting from failure to achieve derecognition of financial assets.

Other Instructions:

Refer to Section II – Memo Items 3.

(e) Income Taxes

  1. Current
    1. Include:
      • estimated accrual to date of income taxes payable for the current year.
  2. Deferred
    1. Include:
      • future taxes if balance is credit.

(f) Obligations Related to Borrowed Securities

Include:

  • any liabilities related to borrowed securities (securities sold short).

(g) Obligations Related to Assets Sold Under Repurchase Agreements

Include:

  • liabilities incurred under sale and repurchase agreements.
  • Section (g) captures all obligations related to assets sold under repurchase agreements with all counter parties.
  1. Of which obligations are to the Bank of Canada or other organizations of the federal government.
    1. Include:
      • Repurchase agreement obligations with a counterparty that is a Canadian federal government organization including: all branches of the federal government, the Bank of Canada, CMHC, CDIC and federal enterprises in the Government Business Enterprise listing (GBE). Obligations only refer to counterparty obligations not obligations related to issuing underlying assets.
      • (A) Of which are overnight and term repos with the Bank of Canada
      • (B) Of which are repos with the Receiver General
      • (C) Of which are repos with CHT on behalf of a third party
      • (D) Of which are other repo transactions with organizations of the federal government
  2. Of which are repos with Federal and Provincial public pension plans (CPP and QPP):
    Only include Canada Pension Plan (CPP) managed by Canada Pension Plan Investment Board and Quebec Pension Plan (QPP) managed by Caisse de dépôt et placement du Québec (CDPQ). Do not include pension plans of public sector employees.

(h) Deferred Income

Include:

  • deferred fees, commission and other revenues;
  • deferred servicing fee
  • income on mortgage-backed securities and other securitized assets;
  • unearned safety deposit box rentals and safekeeping charges;
  • other unearned income, except pre-computed interest on loans.

(i) Derivative Related Amounts

Include:

  • amounts relating to derivative instruments, including unrealized losses (gains are to be offset against losses), deferred unrealized gains relating to reserves for credit and market risks and administration costs etc., and premiums received. Offsetting is only permissible in accordance with IFRS.

Exclude:

  • for Foreign Bank Branches only, derivative related amounts with head office, or other branches of the same bank (see Liability 6(j)).

(j) Due to Head Office and related Canadian regulated Financial Institutions (to be completed by Foreign Bank Branches only)

General Instructions:
Report on a gross basis:

  1. Netting of assets and liabilities is only permissible in accordance with IFRS; and
  2. Amounts "due to/from" one branch cannot be used to offset amounts "due to/from" either head office or another branch of the same bank.
  3. Unless there is a netting arrangement in place, it is possible to have both an asset and a liability with another branch.

Include:

  • amounts due to head office, other branches of the same bank and related Canadian regulated financial institutions.

Other Instructions:
Amounts due to foreign affiliates of the bank should be treated as third party liabilities and reported separately in the appropriate balance sheet line items.
The sum of the amounts reported on liability memo item lines 2(a)(i), (ii) and (iii) must equal the total amount reported in liability 6(j).

(k) Other

Include:

  • foreign note circulation outstanding;
  • dividends accrued and payable and estimated accrual-to-date of the dividend for the current quarter;
  • contributions of institution and staff payable to Unemployment Insurance Fund;
  • unamortized premiums on subordinated debt outstanding;
  • income taxes withheld from staff salaries, directors' fees, dividends, etc.;
  • present value of the defined benefit obligation
  • estimated accrual-to-date of contributions, current and arrears, payable to the pension fund and other termination benefits for the current year;
  • interim net profit or loss of financial period if it has not yet been debited or credited to retained earnings;
  • gold and silver certificates;
  • capital leases;
  • allowance for expected credit losses applicable to off-balance sheet items;
  • accrued expenses and salaries and accounts payable;
  • liability for assets sold with recourse;
  • financial instruments that relate to amounts reported as Tier 1 Capital in the BCAR but accounted for as liabilities. Include only preferred shares and amounts related to innovative tier 1 structures grandfathered under OSFI July 2003 and/or February 2004 Advisories.

L 7 Subordinated Debt

Include:

  • debentures;
  • subordinated notes.

Other Instructions:
Report all amounts at par.

Unamortized discounts, if any, are to be reported under Asset 6.

Unamortized premiums, if any, are to be reported under Liability 6.

L 8 Shareholders' Equity

(a) Preferred Shares

Include:

  • preferred shares issued by the institution.

(b) Common Shares

Include:

  • common shares issued by the institution.

(c) Contributed Surplus

Include:

  • premium on issues of shares less any payments of premium on redemption;
  • capital contributions by shareholders without the issuance of shares.

(d) Retained Earnings

Include:

  • interim profit (loss) not less frequently than at the end of each financial quarter.

Note: Do not report foreign currency split for retained earnings. The entire balance of the amount is deemed to be Canadian currency.

(e) Non-controlling Interests

Include:

  • non-controlling interests arising from the consolidation of subsidiaries which are not 100% owned.

(f) Accumulated Other Comprehensive Income (Loss)

Include:

  • Report Accumulated Other Comprehensive Income (Loss) as required.
  • For quarterly fiscal reporting, this amount ties to the total reported in Section IV "Comprehensive Income", Schedule 2 "Accumulated Other Comprehensive Income (Loss), Net of Income Taxes" in the P3 "Consolidated Statement of Income, Retained Earnings and AOCI".

MEMO ITEMS

(1) Allowance for expected credit losses on Unrecognized Items Included in Other Liabilities

Include:

  • the total amount of allowances for expected credit losses, individual and other, on unrecognized items included in Liability 6.

(2) Selected information to be completed by Foreign Bank Branches only

  1. Due to Head Office and related Canadian regulated Financial Institutions
    1. Head Office
      1. Include:
        • all amounts due to Head Office and other branches of the same bank included in
          liability 6(j).
    2. Related Canadian regulated deposit-taking institutions
      1. Include:
        • all amounts due to related Canadian regulated Deposit-Taking Institutions included in liability 6(j).
    3. Related Canadian regulated financial institutions
      1. Include:
        • all amounts due from related Canadian regulated Financial Institutions included in liability 6(j).

(3) Mortgages and Loans Payable

  1. Mortgages and Loans Payable
  2. Of which:
    1. Securitization Notes Payable (Institutions Own Assets)
      1. Include:
        • Liabilities related to securitized assets (bank originated and assets purchased) reported on financial institution balance sheet under Liabilities 6(d).
        • (A) Mortgages
          - report the liabilities that are related to securitized mortgage assets.
          1. Of which: NHA-MBS
        • (B) Other Assets
          - report the liabilities that are related to other securitized assets.
    2. Securitization Notes Payable (third party assets)
      1. Include:
        • Liabilities related to securitized assets (third party originated) reported on financial institution balance sheet under Liabilities 6(d).
        • (A) Mortgages
          - report the liabilities that are related to third party securitized mortgage assets.
          1. Of which: NHA-MBS
        • (B) Other Assets
          - report the liabilities that are related to other third party securitized assets.

(4) Deposits obtained through agents (as of reporting date)

Report the amount of brokered deposits (or deposits obtained through agents) that is outstanding as of the end of the reporting period. Report all deposits obtained through agents/brokers. This amount must equal the deposit amount reported on datapoint 6984 of the Deposit Liabilities (K4) Report.

(5) Items in transit (before netting) included in Cheques and other items in transit

  1. Of which: Deposits in transit
    Report the gross credit balance (before netting) of all accounts representing items in transit which are specifically related to deposits (e.g. cheques, money orders, etc.).

  2. Of which: Items in transit (other than deposits)
    Report the gross credit balance (before netting) of all accounts representing all items in transit other than deposits (e.g. outstanding inter-company and inter-branch transactions).

    When combined together, these four items (items in transit under Memo Items – Assets and items in transit under Memo Items – Liabilities) correspond to the net balance of all items in transit included in Cash and Cash Equivalent on the asset side of the balance sheet (when such net balance is a debit) or to the net balance of all items in transit included in Cheques and Other Items in Transit on the liabilities side of the balance sheet (when such balance is a credit), in accordance with offsetting criteria set out in IFRS.

(6) Defined Benefit Pension Plan Obligation

Report the present value of defined benefit plan obligations gross of the fair value of defined benefit plan assets.

(7) Liabilities resulting from extraordinary Bank of Canada operations

Report liabilities incurred as a result of extraordinarily Bank of Canada operations. Examples include operations from the 2007-2009 period such as: the term loan facility, the term PRA facility (not term PRA's for balance sheet management), and the term PRA for private sector instruments. This line should be reported as zero by all institutions for the foreseeable future.

(8) Preferred shares and trust capital securities classified as liabilities

(9) Selected information on demand and notice deposits

(a) Chequable

(i) Canada

Include demand and chequable notice deposits of:

  • Receiver General for Canada;
  • Armed Forces paymasters;
  • collectors of customs;
  • custodian of enemy property;
  • departmental imprest accounts.

Other Instructions:
Deposits of government boards, corporations and commissions that are separately constituted and carry on business enterprises are to be reported under Deposits - Others, as appropriate.

(ii) Provinces

Include demand and chequable notice deposits of:

  • Provinces;
  • Territories of Canada.

Other Instructions:
Deposits of government boards, corporations and commissions that are separately constituted and carry on business enterprises are to be reported under Deposits - Others, as appropriate.

(iii) Municipal or school corporations

Include:

  • Demand and chequable notice deposits of all emanations of municipal governments that do not have their own borrowing authority.

(iv) Deposit-taking institutions

Include:

  • demand and chequable notice deposits of Canadian and foreign deposit-taking institutions and official monetary institutions;
  • overdrafts in deposit accounts with deposit-taking institutions.

Other Instructions:
Settlements due to other deposit-taking institutions are to be reported under Asset 1(d) or Liability 3.

  1. Of which: Resident banks and Foreign Bank Branches

Include:

  • demand and chequable notice deposits of Canadian and foreign banks, foreign bank branches and official monetary institutions, and overdrafts in deposit accounts with other banks and foreign bank branches.

(v) Individuals

Include:

  • demand and chequable notice deposit balances of individuals in single or joint names segregated as personal chequing accounts;
  • free credit balances of individuals on the books of investment dealer subsidiaries;
  • chequable notice accounts of estates of individuals;
  • chequable notice accounts of companies or persons, acting as trustees, if the institution has written evidence that the account represents trust funds of individuals or estates of individuals.

Exclude:

  • account of individuals, if it is known that the funds belong to other than those listed above.

(vi) Others

Include:

  • other free credit balances payable on the books of investment dealer subsidiaries;
  • accounts of firms, business partnerships and personal corporations;
  • accounts of pension funds;
  • accounts or religious, charitable, fraternal, labour, recreational, educational and welfare organizations, institutions and corporations;
  • demand and chequable notice deposits not reported elsewhere.

(b) Non-Chequable

(i) Canada

Include non-chequable notice deposits of:

  • Receiver General for Canada;
  • Armed Forces paymasters;
  • collectors of customs;
  • custodian of enemy property.

Other Instructions:
Deposits of government boards, corporations and commissions that are separately constituted and carry on business enterprises are to be reported under Deposits - Others, as appropriate.

(ii) Provinces

Include non-chequable notice deposits of:

  • Provinces;
  • Territories of Canada.

Other Instructions:
Deposits of government boards, corporations and commissions which are separately constituted and carry on business enterprises are to be reported under Deposits - Others, as appropriate.

(iii) Municipal or school corporations

Include:

  • non-chequable notice deposits of all emanations of municipal governments that do not have their own borrowing authority.

(iv) Deposit-taking Institutions

Include:

  • non-chequable notice deposits of Canadian and foreign deposit-taking institutions and official monetary institutions.
    1. Of which: Resident banks and Foreign Bank Branches

Include:

  • non-chequable notice deposits of Canadian and foreign banks, foreign bank branches and official monetary institutions.

(v) Individuals

  1. Tax-sheltered
    1. RRSPs and RRIFs (Registered Retirement Income Funds)
    2. Other
      Include:
      • Tax Free Savings Accounts (TFSA), Education Savings Plan (RESP), etc.
  2. Other
    1. Include:
      • non-chequable notice balances of individuals in single or joint names;
      • non-chequable notice accounts of estates of individuals;
      • non-chequable notice accounts of companies or persons, acting as trustees, if the institution has written evidence that the account represents trust funds of individuals or estates or individuals;
      • credit balances of individuals in property tax accounts.
    2. Exclude:
      • accounts of individuals, if it is known that the funds belong to other than those listed above.

(vi) Others

Include:

  • non-individual credit balances in property tax accounts;
  • accounts of firms, business partnerships and personal corporations;
  • accounts of pension funds;
  • accounts of religious, charitable, fraternal, labour, recreational, educational and welfare organizations, institutions and corporations;
  • non-chequable notice deposits not reported elsewhere.

(10) Selected information on Other Liabilities, Other

  1. Cash collateral
  2. Accounts payable

SECTION III – POSITIONS SUCH AS TIMING OR SETTLEMENT DIFFERENCES WHICH PREVENT THE SUM OF BOOKED-IN-CANADA AND BOOKED-OUTSIDE-CANADA FROM EQUATING THE TOTAL WORLDWIDE

Include: Adjustments needed to ensure that the sum of booked-in-Canada and booked-outside-Canada amounts equals the total booked worldwide. These items may potentially include differences due to transactions with overseas affiliates. These differences may be minor, such as timing or settlement differences, or larger discrepancies related to items in transit, etc. With the reporting of this section, the booked-in-Canada and booked-outside-Canada amounts should have a consistent relationship with the booked-worldwide totals, as illustrated in the formulae below.

1. Assets

(a) Cash and cash equivalents

Booked-in-Canada Cash and Cash Equivalents -4000 + Booked-Outside-Canada Cash and Cash Equivalents -4021 - ECL = Total Worldwide Cash and Cash Equivalents

(b) Securities

Booked-in-Canada Securities -4001 + Booked-Outside-Canada Securities -4022 - ECL = Total Worldwide Securities

(c) Loans

Booked-in-Canada Loans -4002 + Booked-Outside-Canada Loans -4023 - ECL = Total Worldwide Loans

  1. Of which are reverse repos

Booked in Canada Loans, of which are reverse repos -4004 + Booked outside Canada Loans, of which are reverse repos -4024 - ECL = Total Worldwide Loans, of which are reverse repos

(d) Customers' liability under acceptances

Booked-in-Canada acceptances -4005 + Booked-Outside-Canada acceptances -4025 - ECL = Total Worldwide acceptances

(e) Land, buildings, and equipment, less capital accumulation

Booked-in-Canada land and buildings -4006 + Booked-Outside-Canada land and buildings -4026- ECL= Total Worldwide land and buildings

(f) Other assets

Booked-in-Canada Other Assets 4007 + Booked-Outside-Canada Other Assets 4027 - ECL = Total Worldwide Other Assets

  1. Of which are derivatives related amounts

Booked in Canada Other Assets, of which are Derivatives Related Amounts -4008 + Booked Outside Canada Other Assets, of which are Derivatives Related Amounts -4028 = Total Worldwide Other Assets, of which are Derivatives Related Amounts

(g) Total Assets

Booked-in-Canada Total Assets -4009 + Booked-Outside-Canada Total Assets -4029 - ECL = Total Worldwide Total Assets

2. Liabilities

(a) Demand and notice deposits

Booked-in-Canada Demand and Notice Deposits -4010 + Booked-Outside-Canada Demand and Notice Deposits -4030 - ECL = Total Worldwide Demand Deposits

(b) Fixed term deposits

Booked-in-Canada Fixed-Term Deposits -4011 + Booked-Outside-Canada Fixed-Term Deposits -4031 - ECL= Total Worldwide Fixed-Term Deposits

(c) Cheques and other items in transit

Booked in Canada Cheques and other Items in Transit -4012 + Booked Outside Canada Cheques and other Items in Transit -4032 - ECL= Total Worldwide Cheques and other Items in Transit

(d) Acceptances

Booked in Canada Acceptances -4013 + Booked Outside Canada Acceptances -4033 - ECL = Total Worldwide Acceptances

(e) Other liabilities

Booked-in-Canada Other Liabilities -4014 + Booked-Outside-Canada Other Liabilities -4034 - ECL= Total Worldwide Other Liabilities

  1. Of which are repos

    Booked in Canada Other Liabilities, of which are repos -4015 + Booked Outside Canada Other Liabilities, of which are repos -4035 - ECL = Total Worldwide Othjer Liabilities, of which are repos

  2. Of which are derivatives related amounts

    Booked in Canada Other Liabilities, of which are derivatives related amounts -4016 + Booked Oputside Canada Other Liabilities, of which are derivatives related amounts 4036 - ECL = Total Worldwide Othjer Liabilities, of which are repos

(f) Subordinated debt

Booked-in-Canada Subordinated Debt -4017 + Booked-Outside-Canada Subordinated Debt -4037 - ECL = Total Worldwide Subordinated Debt

(g) Shareholders' equity

Booked-in-Canada Shareholders' Equity -4018 + Booked-Outside-Canada Shareholders' Equity -4038 - ECL = Total Worldwide Shareholders' Equity

(h) Total liabilities and shareholders' equity

Booked-in-Canada Total Liabilities and shareholders' equity -4019 + Booked-Outside-Canada Total Liabilities and shareholders' equity -4039 - ECL= Total Worldwide Total Liabilities and shareholders' equity

3. Total Adjustments

Include: Total adjustment amounts included in Section III (1) and Section III (2)

Other Instructions

A6 Other Assets & L4 Other Liabilities

  • Report only those assets and liabilities affected by the Financial Instruments standard and classified as Other Assets or Other Liabilities. This should only include derivative related amounts.

Lines 'Realized and Unrealized Gain/(Loss) from Fair Value Hedges and Fair Value Option'

  • Report the before tax year-to-date total realized and unrealized gain/(loss) recorded in earnings arising from all assets and liabilities classified as 'Fair Value Hedges'.
  • Note, the amount reported for Fair Value Option should reflect the net realized and unrealized gain/(loss) arising from financial instruments which are managed together on a fair value basis. This amount should tie to the sum of items contained in the column "Gain/(Loss) Fair Value Option".
  • The amount reported for Fair Value Hedges should only represent any ineffectiveness arising from marking to market hedging items and hedged items which are designated in fair value hedging relationships.

APPENDIX 1- DEFINITION OF READVANCEABLE

The re-advanceable portion of a loan is defined as follows:

  • Principal that when repaid will be re-advanceable at any later date at the client's discretion within the loan plan without further adjudication or approvals (i.e. excluding those made at renewal).
  • Scheduled repayments may be either interest + principle or interest only (amortizing or non-amortizing).
  • The re-advanceable portion of a loan always refers to a drawn amount not an authorized undrawn amount.

The examples below demonstrate in detail how the re-advanceable amount is to be calculated in several common situations. A quick reference chart is provided for the most common situations.

Quick Reference for Readvanceable and Non-Readvanceable Balances 

Quick Reference Chart Notes

  • A simple HELOC is 100% re-advanceable (see example 1).
  • A simple mortgage is 0% re-advanceable (see example 2).
  • The HELOC balance of a typical combined mortgage-HELOC is 100% re-advanceable (see examples 3-5).
  • The mortgage balance of a typical combined mortgage-HELOC is partially re-advanceable (see examples 3-5).
  • A mortgage with refinancing options that do not require approval or appraisal is usually partially re-advanceable (see example 8)

Example 1 – Simple Line of Credit

  • Product: Line of Credit
  • Re-advanceable portion of the outstanding balance: 100%

Example 2 – Simple mortgage

  • Product: Mortgage
  • Re-advanceable portion of outstanding balance: 0%

Example 3 – Simple Home Equity Plan

  • Product: All-in-One (AIO) Home Equity Plan
  • Loan Details:
    • Property value is $100k
    • Total authorized amount is $80k
    • Authorized revolving amount limited to 65% of LTV which is $65k
    • Balance of integrated mortgage in the AIO structure is $40k
    • Balance of revolving loan in AIO structure is $40k
  • Re-advanceable portion of outstanding balance: $65k (revolving balance plus integrated mortgage up to the limit of the revolving balance).

Example 4 – Home Equity Plan with Limited Revolver

  • Product: All-in-One (AIO) Home Equity Plan
  • Loan Details:
    • Property value is $100k
    • Total authorized amount is $80k
    • Authorized revolving amount limited to $30k
    • Balance of integrated mortgage in the AIO structure is $40k
    • Balance of revolving loan in AIO structure is $10k
  • Re-advanceable portion of outstanding balance: $30k (revolving balance plus integrated mortgage up to the limit of the revolving balance).

Example 5 – Home Equity Plan with no Non-Re-advanceable Component

  • Product: All-in-One (AIO) Home Equity Plan
  • Loan Details:
    • Property value is $100k
    • Total authorized amount is $80k
    • Authorized revolving amount limited to 65% of LTV which is $65k
    • Balance of integrated mortgage in the AIO structure is $40k
    • Balance of revolving loan in AIO structure is $10k
  • Re-advanceable portion of outstanding balance: $50k (revolving balance plus integrated mortgage up to the limit of the revolving balance).

Example 6 – Mortgage with Repayment Options

  • Product: Mortgage with an option to increase or decrease the regular payment
  • Re-advanceable portion of outstanding balance: 0%

Example 7 – Mortgage with Refinancing Options Conditional on Approval or Appraisal

  • Product: Mortgage with the option to increase the outstanding balance to the beginning of term amount conditional on an approval or appraisal.
  • Re-advanceable portion of outstanding balance: 0%

Example 8 – Mortgage with Refinancing Options without Approval or Appraisal

  • Product: Mortgage with the option to increase the outstanding balance to the beginning of term amount at the customer's discretion without an approval or appraisal.
  • Re-advanceable portion of outstanding balance: The difference between the current balance and the balance at the start of the term, the remainder of the outstanding balance is non-re-advanceable.

Example 9 - Home Equity Plan with Re-Advanceable Revolving & Mortgage within a Global Limit

  • Product:
    • Mortgage Components are Non Re-Advanceable
    • LOC is Re-advanceable up to 65% of the Property lending value
  • If customer in good standing, can apply for funds for mortgage within Global Limit and successfully passes an approval process; this mortgage is considered an additional component with a new mortgage number and is non-re-advanceable.

Example 10 - Home Equity Flex Plan

  • Product value: 100K
  • Total authorized amount is 80K
  • Authorized flex plan is 65K
  • Term portion must be at least 15K out of 80K (there could be multiple term)
  • Balance of revolving loan is up to 65K.
  • Re-advanceable portion of outstanding balance is 65K

Example 11 – Mortgage with optional pre-payments or lump sum payments

  • Product: Mortgage with optional pre-payments or lump sum payments where the optional payments can be withdrawn at a later date by the borrower.
  • Re-advanceable portion of outstanding balance: 0%

APPENDIX 2 – CLASSIFICATION OF PROPERTIES AS RESIDENTIAL AND NON-RESIDENTIAL

The reference table below classifies common property types residential or non-residential. The general principle is that residential properties are non-institutional facilities for the long term lodging of individuals.

Non-Residential Properties Residential Properties
Office BuildingsOffice1-4 unit residential propertiesDetached homes
Office/Residential Condo (4)Semi-detached homes
Office Building/HotelTown house units
Office/ShoppingCondominium units
Shopping CentresStrip RetailOther small residential structures with 1-4 unites
Single RetailCottages and similar recreational property
Shopping Centre1-4 unit residential properties with commercial components
Land Banking and DevelopmentLandConstruction sites for 1-4 unit residential properties (2)
Industrial BuildingsCommercial Condos
Commercial/Industrial/RetailMore than 4 unit residential properties (multi-unit residential) (3)
Industrial CondoSmall or large apartment buildings with more than 4 units
WarehouseApartment building complexes with commercial components
IndustrialAll other residential properties with more than 4 units
Medical BuildingsConstruction sites for residential properties with more than 4 units (2)
Hotels/MotelsHotel/Motel
Apartment Hotel
OtherAutomobile
Franchise
Resort/Recreational (commercial resorts)
Time Share Units
Mixed Assets
Hospitals
Nursing Homes
Retirement Homes (1)
Day Care Centres
Churches
Farms
Other

Notes

(1) The intention with the term 'retirement home' is to refer to institutional establishments. Mortgages on institutional retirement homes are to be classified as non-residential, whereas mortgages on individual condo units within buildings marketed to the elderly are to be classified as residential. The agencies acknowledge that this distinction may not always be simple to identify. As a result the agencies will accept retirement home being classified as either residential or non-residential for the time being; however, filing institutions are encouraged to move towards the intended classification.

(2) Construction financing can include a wide range of products that have historically been classified inconsistently and recorded under three categories (business loans, residential mortgages, and non-residential mortgages). The agencies do not require this reporting practice to be changed. As a result it will be considered acceptable to record construction financing under any of the three categories; provided that the categorization is re-examined once the construction activity is complete.

(3) The preferred reporting practice for mortgages on multi-unit residential properties is to include them under residential. However, it is acknowledged that some institution's legacy systems have included these mortgages under the non-residential category. Both approaches will be accepted for the time being; however, filing institutions are encouraged to move towards the intended classification.
(4) Mortgages on mixed office residential condo buildings are to be classified as non-residential. This is because individual condo units have separate ownership from the office portion of the building and therefore a mortgage on the office portion of the building should be classifies as non-residential.

APPENDIX 3 – CLASSIFICATION OF COUNTERPARTIES (INDIVIDUALS AND CORPORATIONS)

The reference table below classifies various counterparty entities as individuals or corporations, where corporate is defined to include 'not for profit' organizations and quasi-corporations. The general principle is that counterparties are classified using a credit counterparty perspective. In the case of a default of the ultimate guarantor is an individual the loan should be classified as have an individual as the counterparty; however; if the ultimate guarantor is a non-individual (e.g. corporation, trust, co-operative) the loan should be classified as having a "corporation as the counterparty.

Counterparty Classification
IndividualsCorporations (including quasi-corporations and trusts)
Individual personsCorporations (legal definition)
Individuals personally engaged in a business or property rentalCo-operatives
Sole proprietorshipsNot for profit institutions
Partnerships***Partnerships***
Trusts
Self-employed individuals incorporated for tax or liability reasons

Notes

*** Using the credit counterparty principle, partnerships where the ultimate guarantor is an individual should be classified under the individual category; however, partnerships with a corporation as the ultimate guarantor should be classified as corporations.

Footnotes

Footnote 1

Conventional mortgages on residential property are reported at 3(b)(1)

Return to footnote 1