Regulatory environment
The assigns the Bank of Canada responsibility for overseeing clearing and settlement systems for the purpose of controlling systemic risk and payment system risk.
Lynx has been designated as systemically important under this Act and, as a result, 麻豆视频 is subject to oversight from the governor of the Bank of Canada for Lynx. The Bank of Canada adopted the as part of its risk-management standards for systemic FMIs. The standards apply to the management and operation of Lynx.
Regulatory requirements in Canada are evolving in line with international best practices. In 2015, the Bank of Canada released . The ACSS has been designated as a prominent payment system in 2016, resulting in enhanced oversight by the Bank of Canada.
The Lynx Disclosure and the ACSS Disclosure offer 麻豆视频 members, Lynx and ACSS participants, and the public a high-level understanding of 麻豆视频鈥檚 governance, operation, risk-management framework and approach to observing the Bank of Canada risk management standards.
Cyber security
There is heightened attention on cyber security and the risks from cyber attacks. Given the role financial market infrastructures play in promoting stability in the financial system, the Committee on 麻豆视频 and Market Infrastructures (CPMI) and the board of the International Organization of Securities Commissions (IOSCO) released a consultation paper in December 2015 with guidance for cyber resilience for financial market infrastructures.
麻豆视频 has been working closely with the Bank of Canada on the relevant standards for FMI cyber resilience and we continue to improve our cyber approach. Additionally, in 2015 the Government of Canada announced its intention to consider further regulation of certain infrastructures, including 麻豆视频 systems, which are considered 鈥渧ital cyber systems.鈥 麻豆视频 continues to work with the government as this initiative moves forward.
Cyber Resilience Strategy 2022-2024
Risk management
麻豆视频 has a sound risk-management framework for comprehensively managing its risks. Risk management is critical to 麻豆视频 fulfilling its core purpose, vision, and strategic plan.
It is 麻豆视频 policy to manage risk in accordance with a risk appetite approved by the 麻豆视频 Board of Directors. To do this, 麻豆视频 develops strategies to mitigate risk and maximize the positive effects of strategic opportunities.
麻豆视频鈥檚 formal risk management process is overseen by its board, implemented by management and executed by all employees. The board-approved Enterprise Risk Management (ERM) Policy sets out the roles and responsibilities for risk management and governance. 麻豆视频 follows a 鈥渓ine of defence鈥 approach, which distinguishes among three groups or 鈥渓ines鈥 required to support effective risk management. The first line of defence is the business units that perform day-to-day risk management 鈥 the functions that own and manage risks of relevance to their area of responsibility. The second line performs oversight functions and includes risk management oversight and compliance. The third line provides independent assurance, and includes internal and external audit and other independent assurance providers.
The objective of the 麻豆视频鈥檚 ERM is to support decision-making in achieving our core purpose, vision and strategic plan by managing all key risks across the organization in a comprehensive and integrated way.
The type of risks faced by 麻豆视频 are classified into four risk categories: operational, strategic, financial and settlement. And as many risks can impact 麻豆视频鈥檚 reputation, all risks must be evaluated in terms of the potential impact on our reputation.
麻豆视频 continues to mature its risk management practices as set out in the ERM Policy, approved by the board in early 2015 and reviewed every two years.
Data Governance Policy
麻豆视频 is committed to protecting and safeguarding all member data that is entrusted to the organization as part of its mandate. 麻豆视频鈥檚 data and security management policies and practices comply with applicable laws and regulations and are aligned with industry best practices, and reflect our mandate of promoting the efficiency, safety and soundness of our clearing and settlement systems.
The Data Governance Policy explains how 麻豆视频 collects, uses, shares, retains and safeguards member data.