NexGen Financial Limited Partnership et al. - MRRS Decision
Headnote
Mutual Reliance Review System for Exemptive Relief Applications -- Exemptive relief granted to a mutual fund allowing a 63-day extension of the prospectus lapse date -- Extension of lapse date granted to facilitate consolidation of mutual fund's prospectus with prospectus of other mutual funds under common management.
Applicable Ontario Statutory Provisions
Securities Act, R.S.O. 1990, c. S.5 as am., s. 62(5).
February 5, 2008
IN THE MATTER OF
THE SECURITIES LEGISLATION OF
BRITISH COLUMBIA, ALBERTA, ONTARIO
AND QUEBEC
(the "Jurisdictions")
AND
IN THE MATTER OF
THE MUTUAL RELIANCE REVIEW SYSTEM
FOR EXEMPTIVE RELIEF APPLICATIONS
AND
IN THE MATTER OF
NEXGEN FINANCIAL LIMITED PARTNERSHIP
("NexGen")
AND
IN THE MATTER OF
NEXGEN GLOBAL VALUE REGISTERED FUND
NEXGEN GLOBAL VALUE TAX MANAGED FUND
(collectively the "Global Funds")
MRRS DECISION DOCUMENT
Background
The local securities regulatory authority or regulator (the "Decision Maker") in each of the Jurisdictions has received an application from NexGen on behalf of the Global Funds for a decision under the securities legislation of the Jurisdictions (the "Legislation") that the time limits for the renewal of the simplified prospectus of the Global Funds dated March 6, 2007 (the "Prospectus") be extended to those time limits that would be applicable if the lapse date of the Prospectus was May 9, 2008 (the "Requested Relief").
Under the Mutual Reliance Review System for Exemptive Relief Applications:
(a) the Ontario Securities Commission is the principal regulator for this application, and
(b) this MRRS decision document evidences the decision of each Decision Maker.
Interpretation
Defined terms contained in National Instrument 14-101 Definitions have the same meaning in this decision unless they are defined in this decision.
Representations
This decision is based on the following facts represented by NexGen:
1. NexGen is the manager of the Global Funds.
2. The Global Funds are currently qualified for distribution in the Jurisdictions under the Prospectus which lapses on March 6, 2008.
3. The Global Funds are reporting issuers under the Legislation. The Global Funds are not in default of any of the requirements of the Legislation.
4. NexGen is also the manager of the remaining NexGen funds (the "Other Funds") offered under a prospectus whose lapse date is May 9, 2008.
5. In order to reduce the cost of renewing the Prospectus for the Global Funds and reduce ongoing printing and related filing costs, NexGen wishes to combine the Prospectus for the Global Funds with the prospectus of the Other Funds.
6. If the Requested Relief was not granted it would be necessary to renew the Prospectus twice within a short period of time in order to consolidate the Prospectus with the prospectus of the Other Funds.
7. Since March 6, 2007, the date of the Prospectus of the Global Funds, no undisclosed material change has occurred and no amendments have been made to the Prospectus. Accordingly, the Prospectus provides accurate information regarding the Global Funds. The extension requested will not affect the currency or accuracy of the information contained in the Prospectus, and accordingly, will not be prejudicial to the public interest.
Decision
Each of the Decision Makers 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 under the Legislation is that the Requested Relief is granted.