BCN 2009/08 - Notice and Request for Comment Implementation of Point of Sale Disclosure for Mutual Funds Proposed Amendments to National Instrument 81-101 Mutual Fund Prospectus Disclosure, Forms 81-101F1 and 81-101F2, Companion Policy 81-101CP and Related Amendments [BCN - Lapsed]
| Published Date: | 2009-06-19 |
|---|---|
| Rescinded Date: | 2012-07-13 |
| Related Document(s): |
Concurrently Published:
- 13-101 - System for Electronic Document Analysis and Retrieval (SEDAR) [NI Amendment Proposed - Lapsed]
- 81-101 - Mutual Fund Prospectus Disclosure [NI Amendment Proposed - Lapsed]
- 81-101 - Mutual Fund Prospectus Disclosure [NI Blackline Amendment Proposed - Lapsed]
- 81-101CP - Mutual Fund Prospectus Disclosure [CP Amendment Proposed - Lapsed]
- 81-101CP - Mutual Fund Prospectus Disclosure [CP Blackline Amendment Proposed - Lapsed]
- 81-101F1 - Contents of Simplified Prospectus [F Amendment Proposed - Lapsed]
- 81-101F2 - Contents of Annual Information Form [F Amendment Proposed - Lapsed]
- 81-101F3 - Contents of Fund Facts Document [F Amendment Proposed - Lapsed]
- 81-102 - Mutual Funds [NI Amendment Proposed - Lapsed]
- 81-102CP - Mutual Funds [CP Amendment Proposed - Lapsed]
- 81-106 - Investment Fund Continuous Disclosure [NI Amendment Proposed - Lapsed]
- 81-106CP - Investment Funds Continuous Disclosure[CP Amendment Proposed - Lapsed]
In the attached notice, the Canadian Securities Administrators (CSA) are publishing for comment proposed amendments to National Instrument 81-101 Mutual Fund Prospectus Disclosure, its related forms and companion policy, and other related consequential amendments. These amendments would introduce a new simplified point of sale disclosure regime for mutual funds.
The CSA are also publishing a summary of the comments we received from CSA Notice 81-318 Request for Comment Framework 81-406 Point of Sale Disclosure for Mutual Funds and Segregated Funds together with our responses.
We have asked a number of specific questions about our proposals in the CSA notice.
Local consequential amendments
In addition to the amendments to the national rules and other documents described in the CSA notice, we would need some local amendments to implement the point of sale disclosure regime. These include amendments to sections 83, 135 and 139 of the Securities Act R.S.B.C. 1996, c. 418 to remove or amend the existing delivery requirements and withdrawal and cancellation rights. We anticipate including obligations for delivery and a new cancellation right in NI 81-101, rather than in the Act.
Depending on the specific form of any amendments to the Act, we might also need to make consequential amendments to other prospectus rules, such as National Instrument 41-101 General Prospectus Requirements, to replace the existing delivery obligations and the cancellation and withdrawal rights for non-mutual fund securities that are currently in the Act.
Depending on how we decide to implement the requirement to deliver the fund facts document, we might need to amend Part 16 of the Securities Rules B.C. Reg. 194/97 to prescribe the fund facts as a document required to be delivered under the Act.
We also anticipate making related conforming amendments to s. 37 of the Securities Rules and to BC Instrument 81-507 Exemption from Prospectus Requirements for Pre-authorized Purchase Plans.
The CSA notice describes where you should send your comments on the proposed amendments. We will consider all comments received by October 17, 2009.
June 19, 2009
Douglas M. Hyndman
Chair
Ref: Securities Act R.S.B.C. 1996, c.418
Securities Rules B.C. Reg. 194/97
BC Instrument 81-507 Exemption from Prospectus Delivery Requirement for Pre-authorized Purchase Plans
CSA Notice 81-318 Request for Comment - Framework 81-406 Point of Sale Disclosure for Mutual Funds and Segregated Funds
National Instrument 81-101 Mutual Fund Prospectus Disclosure and related forms and Companion Policy
Framework 81-406 Point of Sale Disclosure for Mutual Funds and Segregated Funds
National Instrument 41-101 General Prospectus Requirements
National Instrument 81-102 Mutual Funds and related Companion Policy
National Instrument 81-106 Investment Fund Continuous Disclosure Obligations and related Companion Policy
National Instrument 13-101 System for Electronic Retrieval and Document Analysis (SEDAR)
This Notice may refer to other documents. You can find these documents at the B.C. Securities Commission public website at www.bcsc.bc.ca in the section Securities Law & Policy: Policies & Instruments.