Amendment to Companion Policy 81-102 (Related to Implementation of Stage 1 of Point of Sale Disclosure for Mutual Funds effective January 1, 2011)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1. Companion Policy 81-102CP To National Instrument 81-102 Mutual Funds is amended by this Instrument.

 

 

2. Section 13.1 is amended by

a. replacing subsection (3) with the following:

(3) An advertisement that presents information in a manner that distorts information contained in the preliminary prospectus or prospectus, or preliminary simplified prospectus, preliminary fund facts document and preliminary annual information form or simplified prospectus, fund facts document and annual information form of a mutual fund or that includes a visual image that provides a misleading impression will be considered to be misleading.; and

b. replacing subsection (5) with the following:

(5) Paragraph 15.2(1)(b) of the Instrument provides that sales communications must not include any statement that conflicts with information that is contained in, among other things, a simplified prospectus or fund facts document. The Canadian securities regulatory authorities are of the view that a sales communication that provides performance data in compliance with the requirements of Part 15 of the Instrument for time periods that differ from those shown in a prospectus, fund facts document or management report of fund performance does not violate the requirements of paragraph 15.2(1)(b) of the Instrument..

3. This Instrument becomes effective on January 1, 2011.