High stock market valuations, higher corporate debt and higher amounts of money borrowed by hedge funds to buy sovereign debt are some vulnerabilities, Senior Deputy Governor Carolyn Rogers said. The increasingly volatile geopolitical system also creates a risk that more than one economic shock could happen at once.

OTTAWA - The Bank of Canada says the financial system has proven resilient after a turbulent year but officials at the central bank warn risks are mounting on the world

Canada's financial system remains 'resilient' despite U.S. tariffs, says central bank