Regulatory Compliance and Legal Risk Management for Financial Institutions

This Module is also available as a single-day program.

Nuts and Bolts of a Successful Compliance Program

• Three Lines of Defence, OSFI Guideline E-13
• Governance and regulatory change management
• Policies, procedures and controls
• Training, education and awareness, testing, monitoring and reporting
• Overview of regulatory exams, investigations and third-party risks
• Crisis management and setting the tone from the top
• Interplay among compliance, risk and legal – who manages risk?
• Accountability, communication and relationship management
• Tips for preparing for the “future of compliance”

Risk Management Fundamentals: Types of Risk and Qualitative Control

• Various categories of risk: operational, strategic, reputation, financial/credit
• How to identify, mitigate and control risks effectively – large vs. small institutions
• Enterprise-wide risk management (ERM) and holistic risk management
• Purpose of stress testing, risk profile, risk appetite and risk tolerance
• Regulators’ risk rating methodologies
• Integrating risk management into governance and compliance
• Understanding qualitative vs. quantitative assessments and risks

The Future of Compliance – Where are Things Going?

• Compliance careers, resources and challenges in finding rightly skilled people – technical vs “soft” skills
• As a “strategic asset” to the business and for the future – practical considerations for building the compliance profile and esteem
• As a partner to advance a culture of sustainability, ethics and conduct – doing what is right for employees, customers, and society as a whole
• Tips for dealing with changing technology/cyber risk, regulatory focus and expectations

Overview of Managing Regulatory Reviews, Exams and Complaints

• Overview of lifecycle – from complaints, to exam prep, to exit reviews/action plans
• Key components, challenges, issues and risks
• Practical tips/insights/strategies to overcome common pitfalls
• Suggestions for additional reading and resources

Privacy, Information, Cybersecurity and Anti-Spam

• PIPEDA, fraud detection prevention and breach notifications
• Information security regulatory expectations and implications of the Cloud
• Navigating change management and associated challenges
• Delving into technology risk and cyber breaches, expectations and developments
• Spotlight on key US/international perspectives, trends and influences in Canada

AML, ABC, ATF and Economic Sanctions

• Regulations, requirements, core principles and program elements
• Recent amendments and implications for getting it wrong
• Role of compliance in overseeing associated risks, cyber breaches and information security reviews on new projects – what are reporting requirements, regulators’ expectations?
• Special issues to prepare for, including new laws and more formal requirements – how does compliance oversee these moving pieces?

3rd Party Risk Management

• Risk-based approaches to getting the deal done – new regulatory requirements and focus
• Managing third party relationships
• Role of compliance in due diligence and information security reviews on new projects
• International considerations and delving into technology risk 

Role of the Board and Board Reporting

• Turning data and reports into decisions and actions (analytics/tools)
• Elements of risk indicators (theoretical/practical)
• How to prioritize regulatory expectations for the board and senior management
• Best practices for reporting and setting regulatory expectations 

Interactive Case Study: Managing Complex Issues with Varied Compliance Mandates*

Applying core concepts and principles, participants will review a brief case study and work in small breakout groups to navigate unique, real-world scenarios while managing compliance programs that vary in size, structure, profile and mandate. Faculty will provide instruction, guidance, a class debrief and recommendations. *Note: breakout portion will not be recorded.

Interactive Case Study: Managing Regulatory Reviews and Examinations*

You will review the core risks, challenges and issues involved at each stage of managing regulatory reviews and examinations – before, during and after – with a special focus on key risk elements, best practices and common pitfalls. You will then review a realistic fact scenario and work in small breakout groups to analyze the issues, identify key risks and challenges, suggest solutions and report findings and challenges. Faculty will provide instruction, guidance, a class debrief and recommendations. *Note: breakout portion will not be recorded.

Managing Complaints, Client Disputes and KPIs

• Consumer protection framework – what you need to know and your new obligations
• Lifecycle of an unhappy client and the role of compliance in the ecosystem
• When is complaint tracking and reporting required by regulators?
• How to use complaints and KPIs to drive business improvement?
• Roles of compliance, customer complaints teams, mandates and key considerations
• Dealing with complaints effectively

Treating Customers Fairly/Market Conduct

• What is “fair” behaviour and why is it important? Designing programs to incent “fair” behaviour
• Legal developments and trends – what you need to know and your new obligations
• Creating fairness across all channels and recognizing and adjusting for behavioural biases and asymmetrical information and communication
• How to assess whether you are dealing with vulnerable customers appropriately

Behavioural Ethics and Compliance: Navigating Evolving Regulation and Expectations

• What does it mean to “do the right thing?” Regulators’ greater focus on ethical standards and integrity culture
• Key regulations, developments and the shifting role and expectations of compliance
• Need for judgement-based assessments of business conduct
• How can decision theory help explain unethical behaviour?
• How compliance can address common rationalizations applied to unethical behaviour
• Strategies for when compliance can use behavioural ethics to be more effective

Interactive Discussion: A Day in the Life of Compliance…What Would You Do?

Faculty will lead participants through a series of brief and interactive discussions based on short scenarios in compliance and risk. Participants will have the opportunity to reinforce concepts and “think on their feet” by suggesting a course of action/response. Session will include insights, strategies and tips for navigating challenges.

Do not miss this unique opportunity to learn from and meet your regulators and associations, who will impart essential intel, insights and tips involving their new mandates, approaches to monitoring business, and where things are heading, including:

• Financial Consumer Agency of Canada
• Bank of Canada / Canadian Banking Association / Department of Finance TBC
• Office of the Privacy Commissioner of Canada
• Canadian Securities Administrators / Ontario Securities Commission
• Canadian Investment Regulatory Organization
• Canadian Council of Insurance Regulators
• Financial Services Regulatory Authority of Ontario
• Autorité des marchés financiers

Interactive Discussion: A Day in the Life of Compliance…What Would You Do?

Faculty will lead participants through a series of brief and interactive discussions based on short scenarios in compliance and risk. Participants will have the opportunity to reinforce concepts and “think on their feet” by suggesting a course of action/response. Session will include insights, strategies and tips for navigating challenges.

Technology and Industry Disruptors and Case Studies

• What is each technology and how does it work?
• How it is being used – features, strengths and weaknesses
• Implications for compliance and oversight
• Regulatory implications – testing, monitoring, reporting and oversight
• Data analytics and technology such as AI, ML, RPA, blockchain and bitcoin – key challenges, issues, risks, regulatory developments and expectations
• Using technology to build better compliance, includes tips and best practices

International Standards and Operations

• International standards and impacts on Canadian financial institutions
• Managing regulatory expectations and compliance programs in cross-border or multinational businesses
• Managing client relationships in foreign jurisdictions
• Beyond risk and compliance – corporate governance and culture
• Compliance and lobbying – what are the effects on regulation and what are the implications?
• Special issues and concerns involving international standards and lobbying

Building Better Compliance: Managing ESG

• How does ESG/sustainability and climate risk relate to the evolving role of compliance?
• Key developments, trends and the nexus to compliance
• More formalized expectations – industry demands and regulators weigh-in
• Key challenges, obligations and risk management strategies
• Approaches for addressing common pitfalls and challenges, and tips for effective communication 

Interactive Discussion: Tying Things Together and What’s Next

To help synthesize content and key themes covered during all 5 days of the program, faculty will lead an interactive discussion to discuss takeaways and developments impacting compliance and invite you to share your questions, comments and “aha!” moments. The conversation will include ideas and tips for adapting to shifting regulatory and supervisory changes and expectations.

Available after Module 5, the online multiple-choice exam requires completion with a passing grade of 80% due by April 17, 2025. Program end date is April 17, 2025

Online Foundations in Compliance Primers

Included with your registration for the Certificate or the Fundamentals of Compliance (Module One), these succinct video classes cover core compliance concepts and principles to help level set everyone and to enhance in-class learning and discussion (approx. 1 hour each). Available on demand by January 10, 2025.

To obtain your Certificate, all six (6) primers must be viewed:

• Understanding Compliance, Regulation and a Culture of Compliance
• Privacy
• AML/ABC/ATF and Economic Sanctions
• ABAC
• Behavioural Ethics and Compliance
• Technology and Industry Disruptors