Headnote National Policy 11-203 Process for Exemptive Relief Applications in Multiple Jurisdictions – mutual fund granted relief from preparing and filing annual management report of fund performance which would only cover a short operating period.
Applicable Legislative Provisions
National Instrument 81-106 Investment Fund Continuous Disclosure, s.4.2
October 28, 2011
IN THE MATTER OF
THE SECURITIES LEGISLATION OF ONTARIO
(the Jurisdiction)
AND
IN THE MATTER OF
THE PROCESS FOR EXEMPTIVE RELIEF APPLICATIONS IN MULTIPLE JURISDICTIONS
AND
IN THE MATTER OF
CIBC ASSET MANAGEMENT INC.
(the Filer)
AND
RENAISSANCE CANADIAN ALL-CAP EQUITY FUND AND
RENAISSANCE OPTIMAL INFLATION OPPORTUNIES PORTOLIO
(the Funds)
DECISION
Background
The principal regulator in the Jurisdiction has received an application from the Filer, on behalf of each of the Funds, for a decision under the securities legislation of the Jurisdiction of the principal regulator (the Legislation) for an exemption, pursuant to section 17.1 of National Instrument 81-106 – Investment Fund Continuous Disclosure (NI 81-106) from the requirement contained in section 4.2 of NI 81-106 to file annual management reports of fund performance (MRFPs) for the fiscal year ended August 31, 2011 (The “Exemption Sought”)
Under the Process for Exemptive Relief Applications in Multiple Jurisdictions (for a passport application):
(a) the Ontario Securities Commission is the principal regulator for this application; and
(b) the Filer has provided notice that section 4.7(1) of Multilateral Instrument 11-102 Passport System (MI 11-102) is to be relied upon in British Columbia, Alberta, Saskatchewan, Manitoba, Quebec, New Brunswick, Nova Scotia, Prince Edward Island, Newfoundland and Labrador, Yukon, Northwest Territories and Nunavut (the Jurisdictions)
Interpretation
Terms defined in National Instrument 14-101 Definitions and MI 11-102 have the same meaning if used in this decision, unless otherwise defined in this decision.
Representations
This decision is based on the following facts represented by the Filer:
The Filer is a corporation incorporated under the laws of Canada and has its head office in Toronto, Ontario.
The Filer is the manager and trustee of the Funds.
The Funds are open-ended mutual fund trusts established and organized under the laws of the Province of Ontario on August 22, 2011 pursuant to an amended and restated master declaration of trust dated as of August 30, 2010, as amended.
Each Fund became a reporting issuer under the applicable securities legislation of the Jurisdictions on August 25, 2011, following the issuance of a receipt by the principal regulator for the final simplified prospectus and annual information form of the Funds dated August 23, 2011.
None of the Funds or the Filer is in default of securities legislation in any of the Jurisdictions.
The Filer prepares and files MRFPs for all of its funds in a timely manner as required by NI 81-106.
The fiscal year end of each Fund is August 31, 2011.
As of August 31, 2011, no securities were issued to the public. The Filer was the sole unitholder of each Fund.
As of August 31, 2011, each Fund held only cash in its portfolio.
The Filer will prepare, file and deliver audited financial statements for the Funds for the financial year ended August 31, 2011 as required by NI 81-106.
In the absence of the Exemption Sought, each of the Funds would be required to prepare and file in the Jurisdictions an annual MRFP for the period ended August 31, 2011.
The benefit of preparing and filing an MRFP for the Funds would be minimal given that no units of the Funds, other than for seed capital purposes, were issued as of August 31, 2011 and the Filer was the sole unitholder of each Fund.
Decision
The principal regulator is satisfied that the decision meets the test set out in the Legislation for the principal regulator to make the decision.
The decision of the principal regulator under the Legislation is that the Exemption Sought is granted provided that the Filer will prepare an interim MRFP for the period ended February 29, 2012 in accordance with Form 81-106F1, except that it will include financial highlights as required by Part B, Item 3 of Form 81-106F1.
“Chantal Mainville”
Chantal Mainville
Acting Manager, Investment Funds Branch
Ontario Securities Commission
Headnote
National Policy 11-203 Process for Exemptive Relief Applications in Multiple Jurisdictions – mutual fund granted relief from preparing and filing annual management report of fund performance which would only cover a short operating period.
Applicable Legislative Provisions
National Instrument 81-106 Investment Fund Continuous Disclosure, s.4.2