OSFI confirms Toronto-Dominion Bank designation as a global systemically important bank

News Release

For Immediate Release

OTTAWA ─ November 22, 2019 ─ Office of the Superintendent of Financial Institutions

Today the Financial Stability Board (FSB) added Toronto-Dominion Bank to the list of global systemically important banks (G-SIBs). The G-SIB designation and subsequent increased regulatory expectations are designed to reduce the likelihood of a failure and the potential impact that a failure would have on the global economy.

TD is already subject to OSFI’s framework for domestic systemically important banks (D-SIBs), and therefore is well positioned to meet the G-SIB requirements starting in November 2020.

Quick Facts

  • TD’s G-SIB designation is based on the assessment methodology published by the Basel Committee on Banking Supervision (BCBS) using 2018 data.  
  • TD is ranked in the lowest capital surcharge bucket (Bucket 1) and already meets the requirement of 1% Common Equity Tier One (CET1) capital.
  • TD is the second Canadian bank designated a G-SIB. The Royal Bank of Canada (RBC) was designated as a G-SIB in November 2017.
  • In March 2013, OSFI named the six largest Canadian banks as D-SIBs, TD being among them. These banks are subject to a capital surcharge, the statutory bail-in regime, including Total Loss Absorbing Capacity (TLAC) requirements, enhanced supervision, recovery and resolution planning, and increased disclosure. These requirements are consistent with the G-SIB framework.

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About OSFI

The Office of the Superintendent of Financial Institutions Canada (OSFI) is an independent agency of the Government of Canada, established in 1987, to protect depositors, policyholders, financial institution creditors and pension plan members, while allowing financial institutions to compete and take reasonable risks.

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