# OSFI Guideline E-23 - Model Risk Management (2027)

- **Jurisdiction:** Canada (CA)
- **Type:** Guideline · **Status:** Enacted, not yet in force · **Binding:** yes
- **Issued by:** Office of the Superintendent of Financial Institutions (OSFI)
- **Proposed:** — · **Adopted:** 11 Sep 2025 · **Effective:** 1 May 2027
- **Next milestone:** 1 May 2027: Guideline E-23 takes effect for federally regulated financial institutions
- **Obligations:** Risk classification, Data governance, Human oversight, Impact assessment
- **Sectors:** Finance

## Summary
Supervisory guideline setting enterprise-wide model risk management expectations, explicitly covering AI/ML models, across the model lifecycle (inventory, risk rating, validation, monitoring, governance). Applies to federally regulated banks, insurers and trust and loan companies.

## Why it matters
Banks and insurers in Canada must bring AI/ML models under formal model-risk governance by 1 May 2027.

## Source
[OSFI](https://www.osfi-bsif.gc.ca/en/guidance/guidance-library/guideline-e-23-model-risk-management-2027)
Checked against the source on 4 Oct 2026. OSFI guidelines are supervisory expectations enforced through prudential supervision rather than statute.

## Cite
OSFI Guideline E-23 - Model Risk Management (2027). Office of the Superintendent of Financial Institutions (OSFI). Status: Enacted, not yet in force. wheresthe.ai, https://wheresthe.ai/rule/ca-osfi-guideline-e23-model-risk-2027/ (verified 4 Oct 2026).

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Canonical page: https://wheresthe.ai/rule/ca-osfi-guideline-e23-model-risk-2027/ · Not legal advice.