Liquidity Adequacy Requirements Guideline (2026) - Letter

Today, we are publishing the Liquidity Adequacy Requirements (LAR) 2026 Guideline. This guideline will take effect on May 1, 2026.

We appreciate the stakeholder engagement and feedback received during the consultation period.

We reflected several revisions in the final guideline in response to stakeholder feedback, including:

• greater clarity on which funding products may be treated as retail vs. wholesale, particularly in relation to structured notes and partnership deposits (that is, retail client deposits sourced through non-bank financial intermediaries (NBFIs))
• further segmentation of partnership deposits, recognizing attributes such as whether deposits are insured, in a transactional account and part of an established relationship (between retail client and NBFI)
• consolidation of retail structured notes into one deposit category, aligning liquidity treatment with term deposits directly managed by an unaffiliated third party
• clarification on maturity treatment of structured notes with autocallable features
• clarification on contingent funding obligations for structured notes
• simplification of retail rate sensitive deposit definition

Please refer to the summary of stakeholder comments and our responses, including specific changes to Chapter 2. We also made corresponding changes to Chapters 3 and 4. Where further analysis is warranted, we indicated topics under review for potential future revisions to the guideline.

Questions can be sent to BCLSD-DNFPLB@osfi-bsif.gc.ca.