Regulatory Alerts2024-11-28
Regulation to Amend Regulation 81-102 Respecting Investment Funds
The securities regulator has amended Regulation 81-102 to prohibit mutual fund managers from charging redemption fees to securityholders. This new prohibition, established as section 10.2.1, applies to all fees charged for the redemption of mutual fund securities. A transition provision exempts fees under existing arrangements that were in effect before June 1, 2022, from this ban.
REGULATION TO AMEND REGULATION 81-102 RESPECTING INVESTMENT FUNDS Securities Act (chapter V-1.1, s. 331.1, par. (11) and (16))
- Regulation 81-102 respecting Investment Funds (chapter V-1.1, r. 39) is amended by inserting, after section 10.2, the following: “10.2.1. Prohibition of Fees for Redemptions A manager must not charge a fee to a securityholder of a mutual fund for a redemption by the securityholder of securities of the mutual fund.”. Transition
- Section 10.2.1 of the Regulation does not apply to a fee referred to in that section if the fee is charged under a fee arrangement that existed before June 1, 2022, and the fee arrangement is still in effect. Effective Date
- (1) This Regulation comes into force on (indicate here the date of coming into force of this Regulation). (2) In Saskatchewan, despite paragraph (1), if this Regulation is filed with the Registrar of Regulations after (indicate here the date of coming into force of this Regulation), this Regulation comes into force on the day on which it is filed with the Registrar of Regulations.
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