Theresa Hinz, Executive Director of Policy and Risk Response, delivers remarks for OSFI’s Quarterly Release Day

Speech
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Ottawa -

January 29, 2026

Check against delivery

Thank you, Christina.

My name is Theresa Hinz, and I am the Executive Director of Policy and Risk Response at OSFI. I'm speaking from Ottawa, on the traditional unceded territory of the Algonquin Anishinaabe people.

Thank you for joining us for OSFI's first Quarterly Release Day of 2026 for this technical briefing.

This quarter, we are announcing:

• a six-month consultation on credit risk management;
• a nine-month consultation on senior leader accountability; and

• the final Liquidity Adequacy Requirements Guideline for 2026;
  And we are providing updates on:

• the new Guide to Administrative Monetary Penalties, and

• continuation of loan-to-income limits on uninsured mortgage portfolios.

Credit Risk Management consultation

Today, our expectations on credit risk are spread across multiple guidance documents. As such, we are consolidating our credit risk expectations into one principles-based Credit Risk Management Guideline.

Today's consultative document launches the first phase of that work. The six-month consultation ensures ample time for industry feedback on overarching principles and key content areas, and we will hold future consultations on the text of the draft guideline in due time.

Senior Leader Accountability consultation

We are also launching a consultation on senior leader accountability.

The regime we are proposing is principles-based and outcomes-focused, allowing institutions to tailor frameworks to their size and complexity while reinforcing strong governance.

The extended consultation period reflects OSFI's decision to sequence this work carefully and ensures that it does not overlap with our broader consultation on our corporate governance expectations.

And now the final LAR Guideline.

The final LAR Guideline for 2026 reflects feedback from last year's consultation and improves the consistency of liquidity risk measurement.

The LAR Guideline 2026 clarifies which deposits qualify as retail funding, updates the treatment of partnership deposits and structured notes, and simplifies the definition of retail rate-sensitive deposits.

This provides greater certainty for institutions and strengthens OSFI's liquidity monitoring. The guideline takes effect May 1, 2026.

Status updates

I have a number of other status updates I would also like to speak to you about today.

First, OSFI is releasing a Guide to Administrative Monetary Penalties. The guide clarifies how penalties are assessed and applied by OSFI.

Second, following the loan-to-income (LTI) limits pilot, OSFI has determined that they lessen the build‑up of highly levered residential mortgage borrowers, which in turn reduces systemic risk. Therefore, LTI limits will remain in place. At this time, existing debt service expectations in Guideline B-20 will continue to complement LTI limits.

Finally, OSFI is delaying certain initiatives to cadence our policy release that pose less immediate risk, including:

• consultations on revised Guideline B-12 on interest rate risk management;
• consulting on the disclosure expectation for financed emissions related to off-balance sheet assets under management under Guideline B-15, which will be revisited in due course. OSFI also deferred the implementation to a future date. The initiatives announced today build on our Annual and Semi-Annual Risk Outlooks and demonstrate our commitment to smart, forward-looking oversight.

Thank you for joining us today.

I will now turn it over to Christina to moderate the Q&A.

Related links

• OSFI’s Quarterly Release: continuing to advance smart, well-calibrated risk-taking

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Date modified:

2026-01-29