{"id":260958,"date":"2017-07-31T15:00:00","date_gmt":"2017-07-31T20:00:00","guid":{"rendered":"https:\/\/www.investmentexecutive.com\/uncategorized\/osfi-sets-out-new-rules-for-pension-plans-use-of-derivatives\/"},"modified":"2019-05-31T04:29:58","modified_gmt":"2019-05-31T08:29:58","slug":"osfi-sets-out-new-rules-for-pension-plans-use-of-derivatives","status":"publish","type":"post","link":"https:\/\/www.investmentexecutive.com\/news\/from-the-regulators\/osfi-sets-out-new-rules-for-pension-plans-use-of-derivatives\/","title":{"rendered":"OSFI sets out new rules for pension plans\u2019 use of derivatives"},"content":{"rendered":"<\/p>\n<p> The Office of the Superintendent of Financial Institutions (OSFI) has issued proposed changes to its derivatives guideline, which sets out the regulator&#8217;s expectations for the use of derivatives among federally regulated pension plans.<\/p>\n<p> Specifically, the changes set out the factors that pension plan administrators are expected to consider when developing policies and procedures for managing the risk of their derivative activities.<\/p>\n<p> &#8220;While derivatives can be effective tools for risk mitigation, the associated risks must be identified, measured, monitored and controlled as part of a pension plan&#8217;s comprehensive risk management framework,&#8221; OSFI says.<\/p>\n<p> The guideline covers market risk, counterparty credit risk, liquidity and operational risk, along with stress-testing procedures.<\/p>\n<p> The proposed changes are designed to modernize the guideline to reflect current practices for the risk-management of derivatives activities. They cover both exchange-traded and over-the-counter (OTC) derivatives, and aim to address pension plans that trade in derivatives indirectly through funds, such as pooled funds and hedge funds.<\/p>\n<p> Comments on the proposals are due by Sept. 29.<\/p>\n<p> <em>Photo copyright: filmfoto\/123RF<\/em> <\/p>\n","protected":false},"excerpt":{"rendered":"<p>Changes to derivatives guideline aim to reflect current practices for the risk-management of derivatives activities<\/p>\n","protected":false},"author":38972,"featured_media":77636,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[2312,2324],"tags":[2601,2460],"yst_prominent_words":[],"acf":[],"_links":{"self":[{"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/posts\/260958"}],"collection":[{"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/users\/38972"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/comments?post=260958"}],"version-history":[{"count":1,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/posts\/260958\/revisions"}],"predecessor-version":[{"id":360710,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/posts\/260958\/revisions\/360710"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/media\/77636"}],"wp:attachment":[{"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/media?parent=260958"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/categories?post=260958"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/tags?post=260958"},{"taxonomy":"yst_prominent_words","embeddable":true,"href":"https:\/\/www.investmentexecutive.com\/wp-json\/wp\/v2\/yst_prominent_words?post=260958"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}