Finance committee  I'll ask our B-15 expert to answer.

Finance committee  By their discussions, you mean those of the SFAC council—

Finance committee  In financial services, transparency trumps opacity every time, so any activity by responsible counterparties in the system that coax, nudge or otherwise mandate more transparency will generally improve risk management. As a prudential principles-based regulator, we don't do mandator rules.

Finance committee  The evolutions for B-20 that we're currently considering are still in development. We're consulting with the institutions we regulate to ensure that type of unintended consequence does not happen. That's why we do consultations.

Finance committee  I was a financial analyst for many years, and in predicting housing markets I probably have a higher error rate than in any other prediction I made. Bluntly put, no.

Finance committee  Yes.

Finance committee  Call it a year.

Finance committee  From memory, what I believe I was saying was that given the pressures in the economy and the pressures with inflation, I could see a scenario in which house prices in specific cities could fall by 10% to 20%. The spirit of the answer to the question was that Canadians should prepare themselves for 10% to 20% corrections in home prices.

Finance committee  Extended amortizations are happening as a result of the contractual provisions in the mortgage products.

Finance committee  Yes.

Finance committee  Is the question whether we would alter B-15 to reflect an intent to shift allocation of capital away from one industry to another? Is that fair?

Finance committee  The answer is no, we wouldn't do that. What we aim to do with our analysis and with our guidelines is to ensure that banks and insurance companies and financial institutions are quantifying climate risk and managing their books in a responsible way. Could a by-product of that over time be a shift away from greenhouse gas-emitting energy extraction toward renewables?

Finance committee  We have a strongly held view that in pursuing climate change as a financial system risk and ensuring that banks are managing it and quantifying it appropriately, that outcome, which is an outcome you would not otherwise see, will occur. From our perspective, we're prudential regulators.

Finance committee  Yes, it's roughly 80%. It's probably $1.8 trillion total and, in the institutions we regulate, about $1.5 trillion. Those are broad numbers.

Finance committee  What we would focus on is simply our banks quantifying their exposure to climate risk, then building it into their risk management. As a result of that analysis or other work, individual financial institutions—be they banks or insurers—may incorporate that into their product design and pricing.