CSA Publishes 2025 Systemic Risk Committee Annual Report on Capital Markets

Published: February 12, 2026 CSA Montreal and Toronto – The Canadian Securities Administrators (CSA) today published its 2025 Systemic Risk Committee Annual Report on Capital Markets

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“The 2025 report comes at a significant moment for Canada in the global context,” said Stan Magidson, CSA Chair and Chair and CEO of the Alberta Securities Commission. “At a time of uncertainty, when markets are looking for stability, the CSA is setting out its analysis of current and emerging risks, to help our market participants and investors navigate these complex times.”

Despite heightened economic and financial uncertainty, the Canadian financial system remained resilient in 2025. Trade conflict slowed the economy, especially in the manufacturing sector, and uncertainty remains relatively high. However, economic growth has been stronger than initially expected.

The report highlights a rise in the use of artificial intelligence, potentially impacting financial stability due to a concentration of firms creating third-party dependencies for the financial system. Moreover, heavy reliance on a few AI models could negatively impact liquidity conditions and volatility.

The report notes the growing role stablecoins play in the crypto ecosystem and the risks posed by high market concentration. In 2025, the United States adopted the GENIUS Act and Canada introduced legislation to regulate issuance of fiat-based stablecoins. Despite rapid growth, the CSA does not see stablecoins currently presenting a systemic risk, though global regulatory coordination is essential in managing any potential risks.

Other key trends and vulnerabilities analysed in the report include:

• Rising clearing activity for derivatives and repurchase agreements
• The potential impact of trade tensions on non-financial corporate bonds
• Stable liquidity in Canadian fixed-income markets
• Over-the-counter derivatives developments
• Private asset fund liquidity challenges To read the report and learn more about the initiatives carried out by the CSA Systemic Risk Committee, please visit the CSA website

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The CSA created its Systemic Risk Committee in the wake of the global financial crisis as the principal forum for CSA staff to analyze and monitor systemic and emerging risks. In 2022, the committee launched an annual systemic risk survey

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The CSA also collaborates with other agencies at the federal and provincial levels to ensure appropriate monitoring of emerging and systemic risks and the development of mitigation strategies where appropriate. Notably, CSA members engage with these agencies both directly and through the Heads of Regulatory Agencies Committee

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The CSA, the council of the securities regulators of Canada’s provinces and territories, coordinates and harmonizes regulation for the Canadian capital markets.

For media inquiries, please contact:

Ilana Kelemen
Canadian Securities Administrators
[email protected]

Sylvain Théberge
Autorité des marchés financiers
[email protected]

Andy McNair-West
Ontario Securities Commission
[email protected]

For investor inquiries, please contact your local securities regulator

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