The Quebec Financial markets Authority has deemed the $201-billion Desjardins Group as a systemically important institution in the province, elevating it to the level of the country’s big six banks.
Due to their size and interconnectedness, the failure of one of these financial institutions would create a threat to both global and domestic financial systems, according to international basel Committee standards, they must, therefore, have additional capitalization and disclosure requirements, as well as enhanced supervision.
In other Desjardins news, the organization has surpassed $1 billion of socially responsible investments (SRIs) under management. Currently, SRI funds account for 6.3 per cent of the total of Desjardins Funds. The group’s first SRI fund was launched in 1990, with four other portfolios added in 2009. ◊