Superintendent Routledge discussed the expanded mandate of OSFI in his keynote speech, which requires OSFI to ensure financial institutions have policies to protect against threats to their integrity or security, including foreign interference.

He highlighted that the global financial crisis necessitated focusing on non-financial risks, which are now considered prudential and economic risks. He argued for a more comprehensive risk management approach encompassing financial and non-financial risks.

In his words, “Integrity and Security brings together many critical non-financial risk guidelines into a comprehensive, overarching guideline. In doing so, OSFI has elevated Integrity and Security stewardship to the board level. We expect boards to comprehensively examine their oversight of non-financial risks and synthesize them into an enterprise-wide approach to protecting their institutions from threats to their Integrity and Security. While the visibility and scrutiny of these activities will intensify, we do not think we are asking boards to do anything new or that they are not already tasked by their shareholders to do."

Superintendent Routledge concluded by emphasizing the importance of principles-based regulation and viewing the addition of Integrity and Security to OSFI's mandate as a step towards maturing Canada's financial system.

Access the speech on OSFI’s website.