Data Collection Modernization (DCM) Initiative launch and participation in the industry questionnaire (open until July 28, 2023)

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Blueprint
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Type of Publication: Letter

The Office of the Superintendent of Financial Institutions (OSFI), Bank of Canada, and Canada Deposit Insurance Corporation are launching a multi-year initiative to modernize data collection for federally regulated financial institutions (FRFIs), including banks and insurers, and federally regulated pension plans (FRPPs). The DCM initiative aims to lay a foundation for collecting relevant and high-quality data that supports the agencies’ respective mandates while seeking to improve filer experience and efficiency.

Currently, we primarily collect data through regulatory returns. Regulatory return data are not easily adaptable to meet our evolving regulatory information needs in a dynamic risk environment. To meet our changing data needs, OSFI collects supplemental data via ad hoc data calls. Multiple and/or recurring ad hoc data calls can add a significant burden on FRFIs and FRPPs. To address both issues – the need for getting the right data with the right level of detail and reduce the overall burden on FRFIs and FRPPs – modernization of regulatory data returns and the supporting data collection system are essential.

The scope of the DCM initiative encompasses data, process, technology, and change management. Collaboration across the tri-agencies, FRFIs, FRPPs, industry associations is vital to jointly work on:

  • Establishing an optimal data collection foundation
  • Understanding the implications on FRFIs and FRPPs
  • Identifying enablers that can support FRFIs and FRPPs to pursue their own initiatives for modernizing regulatory data reporting

The tri-agencies’ goal is to collaborate early and often with key stakeholders throughout the duration of the initiative. Informal discussions with industry associations and several regulated institutions have begun. In the banking sector, discussion forums will begin in fall 2023. Discussion forums will be initiated in 2024-2025 for insurers and FRPPs and their respective associations.

Your organization is invited to complete the industry questionnaire by July 28, 2023. The questionnaire seeks input from each FRFI and FRPP on:

  • Assessing the relevance of key components of the DCM initiative
  • Identifying specific areas that could be considered in the DCM initiative
  • Identifying the current use of industry data standards in your organization

This questionnaire is the start of a dialogue with FRFIs and FRPPs to shape the multi-year journey of modernizing data collection in Canada. A synopsis of cumulative findings will be shared with each participating FRFI and FRPP, and their respective association(s).

In closing, we look forward to collaborating with you on this critical initiative.

Please share this letter with the senior leader(s) responsible for regulatory data creation and reporting in your organization. Please identify a person from your institution or pension plan as the key contact person for this initiative. Email this information to Shaheena.mukhi@osfi-bsif.gc.ca, as soon as possible.

Regards,

Andrew Miller, Chief Data Officer

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