This chapter is a contribution to an interdisciplinary book that drew on some of the world's leading experts on financial stability and regulation to examine and critique the progress made since 2008 in addressing systemic risk. The chapter contends that Canadian regulators’ ability to address systemic risk is limited by the structure of the regime, built on a sector-by-sector model, without any one institution responsible for comprehensively regulating the financial system. We also posit the proposal to establish a macroprudential regulator to monitor the financial system as a whole, as advocated by academic literature and international forums, is unlikely to gain momentum in Canada, given the reality of path dependency in regulatory policy making. Instead, we argue for a collaborative approach toward more effective management of systemic risk. This goal can be achieved by establishing financial stability as an overriding priority for inter-agency regulatory groups. These bodies should extend their membership to include all key federal and provincial regulators and establish a robust working plan for monitoring system-wide vulnerabilities, which would ensure timely attention and action on problems by competent authorities.