Chapter 1: About us

Mandate

OSFI is an independent agency of the Government of Canada. We contribute to public confidence in the Canadian financial system by regulating and supervising approximately 350 federally regulated financial institutions ("financial institutions")^{Footnote 1} and 1,200 federally regulated private pension plans ("pension plans"). More information on who we regulate can be found on the Open Government webpage Who We Regulate.

Our mandate is to:

• ensure financial institutions remain in sound financial condition and determine if pension plans are meeting minimum funding requirements and other requirements under the legislation.
• ensure financial institutions protect themselves against threats to their integrity and security, including foreign interference.
• act early when issues arise and require financial institutions and pension plans to take necessary corrective measures without delay.
• monitor and evaluate risks and promote sound risk management by financial institutions and pension plans.

In exercising our mandate, we strive to protect the rights and interests of depositors, policyholders, and creditors of financial institutions while having due regard for the need to enable financial institutions to compete effectively and take reasonable risks. We also strive to protect the rights and interests of pension plan members, former members, and entitled beneficiaries.

Our funding model

We prepare our budget in alignment with the Basel Core Principles for Effective Banking Supervision, the Insurance Core Principles (PDF), and the Principles of Private Pension Supervision (PDF), which set minimum standards for prudential regulation and supervision of banks, insurers and pension plans. We apply a rigorous, challenge-based budgeting process across the industries we regulate to ensure we identify key risks and allocate the necessary resources to fulfill our mandate effectively.

Under the OSFI Act, over 99% of our expenses are cost-recovered, mainly through assessments on regulated financial institutions and pension plans and do not impact the Government of Canada's fiscal position. A small portion of our budget, representing 0.37%, is funded through appropriation to support actuarial services provided by the OCA to certain federal organizations.

Organizational context

Our organizational structure

OSFI is led by the Superintendent of Financial Institutions and reports to Parliament through the Minister of Finance. This year, in line with the Government of Canada's priority to manage public service spending in a more disciplined manner, we refined our organizational structure, consolidating five sectors into three for a leaner and more streamlined operating model (see 'Our Sectors at a Glance' below).

In addition to these three sectors, the OCA is an independent unit within OSFI mandated to deliver a broad range of actuarial valuation and advisory services to the federal government. It prepares actuarial reports for programs such as the Canada Pension Plan, the Old Age Security program, and public pension and insurance plans. While the Chief Actuary reports to the Superintendent, the development of the reports' content and actuarial opinions is conducted independently.

Finally, OSFI has an independent internal audit function reporting directly to the Superintendent. The Chief Audit Executive and team provide independent, objective assurance that OSFI's risk management, control, and governance processes are adequate and functioning effectively. Internal audit also supports the Departmental Audit Committee, which is an advisory body to the Superintendent in the areas of finance, governance, risk management, and internal controls. The committee membership includes five external independent members as of March 31, 2026.

Our Sectors at a Glance

Who we work with

We have developed close relationships and collaborate regularly with domestic and international partners to support coordinated, risk-informed regulation and supervision, and to maintain shared situational awareness. These partnerships strengthen our ability to identify emerging risks, support effective oversight, and contribute to the resilience and integrity of Canada's financial system.

Domestic collaboration

Federal safety net partners

We work closely with our federal safety net partners to support coordinated oversight of financial institutions and monitor risks to financial stability. These partners include the Department of Finance Canada, the Bank of Canada, the Canada Deposit Insurance Corporation (CDIC), the Financial Consumer Agency of Canada (FCAC), and the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC).

The OSFI Act establishes the Financial Institutions Supervisory Committee (FISC), chaired by the Superintendent of Financial Institutions, to coordinate regulatory and supervisory matters related to financial institutions. FISC meets quarterly to facilitate information sharing and discuss emerging risks, supervisory issues, and matters relevant to financial stability. In addition to the Superintendent, FISC members include the Commissioner of the FCAC, the Governor of the Bank of Canada, the Chief Executive Officer of the CDIC, the Deputy Minister of Finance, and the Director of FINTRAC.

We also engage with federal safety net partners through other committees, including the Senior Advisory Committee, chaired by the Deputy Minister of Finance, and the Heads of Regulatory Agencies Committee, chaired by the Governor of the Bank of Canada.

Provincial regulatory authorities

We collaborate with provincial regulatory authorities to support coordinated supervision, exchange information and perspectives on emerging issues, and promote a consistent, well-informed regulatory environment across jurisdictions. These relationships help us maintain awareness of risks and developments across Canada's broader financial sector.

Security and intelligence partners

In an increasingly complex threat environment, we engage with security and intelligence partners to strengthen situational awareness and identify risks that could affect the integrity and security of the financial sector. These partnerships help informs our supervision and contribute to a more coordinated understanding of emerging threats.

International collaboration

International organizations play an important role in promoting a resilient global financial system. We participate in international standard-setting bodies and supervisory fora to help shape regulatory frameworks, remain aligned with global standards and best practices, and tailor our approach to Canada's risk environment. Key international organizations include the Financial Stability Board, the Basel Committee on Banking Supervision, and the International Association of Insurance Supervisors. Through sustained participation, we contribute Canadian perspectives and maintain a strong international reputation.

We also participate in supervisory colleges for internationally active financial institutions with operations in Canada. These colleges bring together foreign regulators to exchange supervisory perspectives, discuss institution-specific risks and risk management practices, and support coordinated oversight of cross-border groups. In 2025-26, we hosted six supervisory colleges. This collaboration helps us understand how global developments may affect Canadian operations and strengthens our ability to supervise institutions with complex international footprints.

The Risk Environment We Operate In