NIN 2000/13 - First Renewal Prospectuses Filed by Mutual Funds under National Instrument 81-101 Mutual Fund Prospectus Disclosure [NIN - Rescinded]

Blanket Order 81-501 (BC) provides that section 70(2) of the Securities Act (“Act”) does not apply to a trade in a mutual fund security to which National Instrument 81-101 Mutual Fund Prospectus Disclosure (“NI 81-101”) applies. This relief is contingent on the first simplified prospectus of the mutual fund being filed in compliance with NI 81-101.

The effect of exempting a mutual fund which complies with NI 81-101 from the requirements of section 70(2) of the Act, is that the lapse date of the first simplified prospectus for the mutual fund is 12 months from the date of the first simplified prospectus rather than 12 months from the date of the first preliminary prospectus.

In order for this exemption to apply, the mutual fund cannot distribute a security under the first simplified prospectus after 12 months from the date of the first simplified prospectus, except in compliance with section 70(3) of the Act.

In BOR#91/10, the Commission provided the same relief to mutual funds to which National Policy No. 36 Mutual Funds: Simplified Prospectus Disclosure System applied. This new Blanket Order essentially updates BOR#91/10. BOR#91/10 is revoked as of March 10, 2000.

DATED at Vancouver, British Columbia, on March 22, 2000.

Joyce C. Maykut, Q.C.
Vice Chair

Ref: BOR 81-503 (BC) BOR#91/10
NI 81-101 BOR#2000/3

NP 36This NIN refers to other documents. These documents can be found at the B.C. Securities Commission public website at www.bcsc.bc.ca in the Policy Documents database.