BOR 98/03 - Exchange Contracts Dealers Trading in Commodity Pool Securities [Rescinded]

IN THE MATTER OF THE SECURITIES ACT R.S.B.C. 1996, c. 418

AND

IN THE MATTER OF EXCHANGE CONTRACTS DEALERS TRADING IN COMMODITY POOL SECURITIES

Exemption Order Under Section 48

WHEREAS section 34(1)(a) of the Securities Act, R.S.B.C. 1996, c. 418, prohibits a person from trading in a security or exchange contract unless the person is registered in accordance with the regulations;

AND WHEREAS a person that is registered in accordance with the regulations to trade exclusively in exchange contracts is not registered to trade in securities issued by a commodity pool ("Commodity Pool"), as defined in proposed National Instrument 81-104 "Commodity Pools" that was published for comment in the Commission’s Weekly Summary dated June 27, 1997, or as defined in any successor instrument;

AND WHEREAS the Executive Director considers that the proficiency and qualification requirements required to trade in securities issued by a commodity pool are identical to those required to trade in exchange contracts;

AND WHEREAS the Executive Director considers that to do so would not be prejudicial to the public interest;

IT IS ORDERED under section 48 of the Securities Act that a person that is registered to trade in exchange contracts is exempt from the trading registration requirements of section 34(1)(a) of the Securities Act with respect to the person trading in securities issued by a Commodity Pool.

DATED at Vancouver, British Columbia, on March 24, 1998.

Ref: Proposed NI 81-104