OSFI launches consultation on pension investment risk management

News Release

For Immediate Release

OTTAWA ─ March 17, 2022 ─ Office of the Superintendent of Financial Institutions

Today the Office of the Superintendent of Financial Institutions (OSFI) launched an 8-week consultation with the publication of a consultation paper, Pension Investment Risk Management. The paper introduces principles for the management of investment risk that OSFI believes are relevant for federally regulated pension plans. It provides a preview of principles-based expectations that OSFI may consider including in future risk management guidance. These expectations cover four areas: independent risk oversight, risk appetite and risk limits, portfolio and risk reporting and valuation policies and processes.

Through this consultation, OSFI invites federally regulated pension plan administrators and pension industry stakeholders to comment on the proposed regulatory expectations set out in the paper. This input will help to ensure that OSFI’s pension investment risk management guidance reflects and accommodates the circumstances of all pension plans, including plans of various sizes, degree of investment sophistication and risk profiles.

Comments and submissions on the consultation paper should be sent to pensions@osfi-bsif.gc.ca by May 13, 2022.

Quote

"Through dialogue with stakeholders, OSFI is enhancing risk management for pension plans. Feedback will help shape future guidance to support effective supervision of federally regulated pension plans, which will contribute to protecting members’ pension benefits."

- Ben Gully, Assistant Superintendent, Regulation Sector

Associated Links

About OSFI

The Office of the Superintendent of Financial Institutions (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. OSFI supervises more than 400 federally regulated financial institutions and 1,200 pension plans to determine whether they are in sound financial condition and meeting their prudential requirements.

Media Contact

OSFI – Public Affairs
Media-Medias@osfi-bsif.gc.ca
343-550-9373