Regulatory Alerts2019-01-03
Policy Statement to Regulation 81-104 Respecting Commodity Pools
The Canadian Securities Administrators issued this policy statement to clarify how Regulation 81-104 integrates with Regulation 81-102, establishing a uniform national regulatory regime for commodity pools. The document defines commodity pools as mutual funds permitted to use specified derivatives and leverage strategies beyond conventional limits, while maintaining core mutual fund protections such as limited liability for investors. It outlines that these funds remain subject to general investment fund rules except where specifically exempted, and requires enhanced disclosure regarding investment strategies, risks, and performance to ensure investor protection.
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