Regulatory Alerts2019-09-12
Draft Regulation to amend Regulation 41-101 respecting General Prospectus Requirements
The securities regulators propose amendments to Regulation 41-101 to reduce regulatory burden for investment fund issuers by standardizing website disclosure requirements. The changes replace references to optional or multiple websites with a mandatory requirement to post specific documents on a single designated website for ETFs and scholarship plans. These amendments modify Section 3B.4 and various forms within the regulation to ensure consistent and simplified access to prospectus and fund information.
REGULATION TO AMEND REGULATION 41-101 RESPECTING GENERAL PROSPECTUS REQUIREMENTS Securities Act (chapter V-1.1, s. 331.1, par. (2), (4.1), (8), (19.5), (20) and (34))
- Section 3B.4 of Regulation 41-101 respecting General Prospectus Requirements (chapter V-1.1, r. 14) is amended: (1) by replacing, in paragraph (1), the words “If an ETF or the ETF’s family has a website, the ETF must post to at least one of those websites” with the words “The ETF must post on its designated website”; (2) by replacing, in paragraph (2), the words “posted to” with the words “posted on”; (3) by repealing paragraph (3).
- Form 41-101F2 of the Regulation is amended: (1) by replacing, in paragraph (a) of item 20.3, the word “website” with the words “designated website”; (2) by replacing, in the statement under item 37.1, the words “[If applicable] These documents are available on the [investment fund’s/investment fund family’s] Internet site at [insert investment fund’s Internet site address]” with the words “These documents are available on the investment fund’s website at [insert investment fund’s designated website address]”.
- Form 41-101F3 of the Regulation is amended: (1) by replacing, in Part A, paragraph (2) of item 12 with the following: “(2) State the name, address, toll-free telephone number, email address of the investment fund manager of the plan and the scholarship plan’s designated website address. If applicable, also state the website address of the investment fund manager of the plan.”; (2) in Part B: (a) by replacing, in the statement under paragraph (1) of item 4.1, the sentence “[Insert if applicable ₋ You’ll also find these documents on our website at [insert the scholarship plan’s website address]].” with the sentence “You’ll also find these documents on our website at [insert the scholarship plan’s designated website address].”; (b) by replacing, in the statement under paragraph (2) of item 15.1, the sentence “[Insert if applicable ₋ You’ll also find these documents on our website at [insert the scholarship plan’s website address]].” with the sentence “You’ll also find these documents on our website at [insert the scholarship plan’s designated website address].”; (3) by replacing, in the statement under item 6.1 and in instruction (1) of item 6.3 of Part C, the word “website” with the words “designated website”; (4) in Part D: (a) by replacing, wherever they appear in the statement under paragraph (2) of item 2.5, the words “Internet site” with the words “designated website”; (b) by replacing, in paragraph (3) of item 5.4, the words “scholarship plan’s website address” with the words “scholarship plan’s designated website address”.
- Form 41-101F4 of the Regulation is amended, in Part I:
2 (1) by replacing, in the statement under paragraph (h) of item 1, the words “[insert the website of the ETF, the ETF’s family or the manager of the ETF] [as applicable]” with the words “[insert the designated website of the ETF]”; (2) by replacing paragraph (4) of item 2 with the following: “(4) An ETF may include its designated website address where updated Quick Facts, Trading Information and Pricing Information are posted by stating: “For more updated Quick Facts, Trading Information and Pricing Information, visit [insert the designated website of the ETF].”.”. 5. This Regulation comes into force on (indicate here the date of coming into force of this Regulation).