Office of the Superintendent of Financial Institutions
Earlier this year, the Bank of Canada discontinued its monthly series for Chartered Bank Interest Rates. However, the weekly series have not been discontinued. Directive 6 of the Directives of the Superintendent pursuant to the Pension Benefits Standards Act, 1985 references the monthly 5-year personal fixed term chartered bank deposit rate to calculate the interest rate referenced in paragraph 19(2)(a) of the Pension Benefits Standards Act, 1985. We have revised Directive 6 as a result of this change. It now refers to the weekly series of the 5-year personal fixed term chartered bank deposit rate (CANSIM V80691336, or its successor data series). The average calculated pursuant to Directive 6 will still be calculated on a monthly basis using the value of the last weekly series for that month.
For the 5-year personal fixed term rate, the value of the monthly series for a given month was the same as the value of the last of the weekly series for that month so in practice, this will not result in any change in how the average rate is calculated.
Please note that if a plan text refers to the old monthly series (CANSIM V122515), the plan should be amended to reflect the change noted above.