September 13, 2019 11:30
The canadian securities administrators (CSA) published a consultation document in which they have included eight measures to reduce the regulatory burden for investment funds.
More precisely, these measures are ” intended to eliminate the obligations to be repetitive, to simplify regulatory processes, which should be included in the regulations for exemptions from the application of certain provisions commonly accorded to investment funds as well as to remove certain obligations of approval by the securities regulatory authority “.
“We propose substantial changes that will allow investment funds and their managers save time and money without compromising the protection of investors,” says Louis Morisset, president of the CSA and president and ceo of theAutorité des marchés financiers. We continue to make the reduction of the regulatory burden our priority in all spheres of the capital markets of the country, and the draft amendments published today testify to the efforts that we have made to date in relation to investment funds. “
The proposed changes fall into eight categories :
- The grouping of the simplified prospectus and annual information form ;
- The Web site’s designated investment fund ;
- The registration in the regulation of discretionary exemptions granted in respect of the procedures of notice-and-access ;
- The reduction of the obligations of, deposits of forms of personal information ;
- The registration in the regulation of discretionary exemptions granted in respect of conflicts of interest ;
- The enlargement of the accreditation criteria prior to the mergers of investment funds ;
- The repeal of the obligations of approval by the securities regulatory authority in the replacement of the manager, of the change of control of the manager and the replacement of the depositary with a replacement of the manager ;
- The registration in the regulation of discretionary exemptions from the obligation of the transmissions of the fund facts.
“The staff believes that these changes can be implemented in the near future. In the longer term, the CSA will work to reduce the regulatory burden on other aspects, including the continuous disclosure obligations, the obligations relating to the securityholder meetings and management proxy circulars, the notice prescribed, and the reporting obligations, of certain provisions of the plan prospectus, ” said the CSA.
The persons and organizations concerned can submit their comments until December 11.