Dynamic Mutual Funds Ltd. - MRRS Decision
Headnote
MRRS for Exemptive relief Applications - Extension of date by which to file and obtain a receipt for the renewal prospectus in order to allow for agreed upon disclosure.
Statutes Cited
Securities Act, R.S.O. 1990, c. S.5, as am., ss. 62(1), 62(2) and 62(5).
IN THE MATTER OF
THE SECURITIES LEGISLATION OF
BRITISH COLUMBIA, ALBERTA, SASKATCHEWAN, MANITOBA,
ONTARIO, QUEBEC, NOVA SCOTIA, PRINCE EDWARD ISLAND,
NEWFOUNDLAND AND LABRADOR, YUKON TERRITORY AND NUNAVUT
AND
IN THE MATTER OF
THE MUTUAL RELIANCE REVIEW SYSTEM
FOR EXEMPTIVE RELIEF APPLICATIONS
AND
IN THE MATTER OF
Dynamic Value Fund of Canada
Dynamic Value Balanced Fund
Dynamic Dividend Value Fund
Dynamic Canadian Dividend Fund Ltd.
Dynamic American Value Fund
Dynamic European Value Fund
Dynamic Far East Value Fund
Dynamic International Value Fund
Dynamic U.S. Small Cap Value Fund
Dynamic RSP American Value Fund
Dynamic RSP European Value Fund
Dynamic RSP Far East Value Fund
Dynamic RSP International Value Fund
Dynamic Power Canadian Growth Fund
Dynamic Power American Growth Fund
Dynamic Power American Growth Fund I Ltd.
Dynamic Power Small Cap Fund
Dynamic Power Balanced Fund
Dynamic Power Bond Fund
Dynamic RSP Power American Growth Fund
Dynamic Focus+ Canadian Fund
Dynamic Focus+ American Fund
Dynamic Focus+ Global Fund
Dynamic Focus+ Balanced Fund
Dynamic Focus+ Diversified Income Trust Fund
Dynamic Focus+ Wealth Management Fund
Dynamic Focus+ Real Estate Fund
Dynamic Focus+ Resource Fund
Dynamic Focus+ Small Business Fund
Dynamic Focus+ World Equity Fund
Dynamic Focus+ World Equity Fund I
Dynamic RSP Focus+ World Equity Fund
Commonwealth Canadian Balanced Fund
Commonwealth World Balanced Fund Ltd.
Commonwealth RSP World Balanced Fund
Dynamic Fund of Funds
Dynamic Canadian Precious Metals Fund
Dynamic Canadian Technology Fund
Dynamic Global Precious Metals Fund
Dynamic Global Resource Fund
Dynamic Global Real Estate Fund
Canada Dominion Resource Fund Ltd.
Dynamic Greater China Fund
Dynamic SAMI Fund
Dynamic World Convertible Debentures Fund
Dynamic Dividend Fund
Dynamic Dividend Income Fund
Dynamic Dollar-Cost Averaging Fund
Dynamic Income Fund
Dynamic Canadian Bond Fund
Dynamic Canadian High Yield Bond Fund I
Dynamic Canadian Government Bond Fund
Dynamic Global Bond Fund
Dynamic Money Market Fund
Dynamic Canadian Value Class
Dynamic American Value Class
Dynamic International Value Class
Dynamic Power Canadian Growth Class
Dynamic Power American Growth Class
Dynamic Power Global Growth Class
Dynamic Focus+ Canadian Class
Dynamic Focus+ American Class
Dynamic Focus+ Global Financial Services Class
Dynamic Money Market Class
(collectively, the "Dynamic Funds")
Hathaway Focus+ Canadian Fund
Hathaway Focus+ American Fund
Hathaway Focus+ World Fund
Hathaway Focus+ Wealth Management Fund
Hathaway Focus+ Balanced Canadian Fund
(collectively, the "Hathaway Funds")
MRRS DECISION DOCUMENT
WHEREAS the Canadian securities regulatory authority or regulator (the "Decision Maker") in each of the provinces and territories of British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Quebec, Nova Scotia, Prince Edward Island, Newfoundland and Labrador, Yukon Territory and Nunavut (the "Jurisdictions") has received an application (the "Application") from Dynamic Mutual Funds Ltd. ("Dynamic"), manager of the Dynamic Funds and Hathaway Funds (collectively, the "Funds"), for a decision pursuant to securities legislation of the Jurisdictions (the "Legislation") that the time limits pertaining to the distribution of securities under the amended and restated simplified prospectus dated February 14, 2003, amending and restating the simplified prospectus dated December 5, 2002, and the annual information form dated December 5, 2002 of the Dynamic Funds (collectively, the "Dynamic Prospectus") and the amended and restated simplified prospectus dated February 14, 2003, amending and restating the simplified prospectus dated December 5, 2002, and the annual information form dated December 5, 2002 of the Hathaway Funds (collectively, the "Hathaway Prospectus") be extended to permit the continued distribution of units of the Funds as if the lapse date of the Dynamic Prospectus and the Hathaway Prospectus is January 12, 2004;
AND WHEREAS under the Mutual Reliance Review System for Exemptive Relief Applications (the "System") the Ontario Securities Commission is the principal regulator for the Application;
AND WHEREAS the Funds have represented to the Decision Makers that:
1. Each Fund is a reporting issuer as defined in the Legislation and is not in default of any of the requirements of such Legislation.
2. Units of the Dynamic Funds are presently offered for sale on a continuous basis in each of the Jurisdictions pursuant to the Dynamic Prospectus. The earliest lapse date under the Legislation for the distribution of securities of the Dynamic Funds pursuant to the Dynamic Prospectus is December 5, 2003.
3. Units of the Hathaway Funds are presently offered for sale on a continuous basis in each of the Jurisdictions pursuant to the Hathaway Prospectus. The earliest lapse date under the Legislation for the distribution of securities of the Hathaway Funds pursuant to the Hathaway Prospectus is December 5, 2003.
4. There have been no material changes in the affairs of any Dynamic Fund since the filing of the Dynamic Prospectus other than those for which amendments have been filed. Accordingly, the Dynamic Prospectus and the amendments thereto represent current information regarding each Dynamic Fund. The requested extensions will not affect the accuracy of information in the Dynamic Prospectus and therefore will not be prejudicial to the public interest.
5. There have been no material changes in the affairs of any Hathaway Fund since the filing of the Hathaway Prospectus. The requested extensions will not affect the accuracy of information in the Hathaway Prospectus and therefore will not be prejudicial to the public interest.
6. The Dynamic Funds filed a pro forma prospectus on November 5, 2003 under SEDAR Project #586034 in each of the Jurisdictions at least thirty days prior to the earliest lapse date of the Dynamic Prospectus.
7. The Hathaway Funds filed a pro forma prospectus on November 5, 2003 under SEDAR Project #586064 in each of the Jurisdictions at least thirty days prior to the earliest lapse date of the Hathaway Prospectus.
8. Additional time is required to resolve outstanding comments on the pro forma prospectuses described above.
9. The requested extension will not affect the accuracy of information in the Dynamic Prospectus or the Hathaway Prospectus and therefore will not be prejudicial to the public interest.
AND WHEREAS under the System, this MRRS Decision Document evidences the decision of each Decision Makers (collectively, the "Decision");
AND WHEREAS each Decision Maker is satisfied that the test contained in the Legislation that provides the Decision Maker with the jurisdiction to make the Decision has been met;
THE DECISION of the Decision Makers pursuant to the Legislation is that the time periods provided in the Legislation as they apply to a distribution of securities under the Dynamic Prospectus and Hathaway Prospectus are hereby extended to permit the continued distribution of units of the Funds pursuant to the Dynamic Prospectus and Hathaway Prospectus as if the lapse date of the Dynamic Prospectus and Hathaway Prospectus is January 12, 2004.
December 24, 2003.
"Leslie Byberg"