Desjardins Funds - MRRS Decision

MRRS Decision

Headnote:

Extension of Lapse Date for Mutual Funds' prospectus filing.

Statutes Cited:

Securities Act, R.S.O. 1990, c. S5, as amended, ss. 62(5).

IN THE MATTER OF THE SECURITIES LEGISLATION OF

BRITISH COLUMBIA, ALBERTA, SASKATCHEWAN, MANITOBA,

ONTARIO, QUÉBEC, NEW BRUNSWICK, NOVA SCOTIA,

PRINCE EDWARD ISLAND, NEWFOUNDLAND,

NORTHWEST TERRITORIES SECURITIES REGISTRIES,

NUNAVUT SECURITIES REGISTRIES AND

YUKON TERRITORY REGISTRAR OF SECURITIES

AND

IN THE MATTER OF

THE MUTUAL RELIANCE REVIEW SYSTEM FOR

EXEMPTIVE RELIEF APPLICATIONS

AND

IN THE MATTER OF

Desjardins Money Market Fund

Desjardins Mortgage Fund

Desjardins Bond Fund

Desjardins Balanced Fund

Desjardins Québec Fund

Desjardins Diversified Secure Fund

Desjardins Diversified Moderate Fund

Desjardins Diversified Audacious Fund

Desjardins Diversified Ambitious Fund

Desjardins Select Balanced Fund

Desjardins Worldwide Balanced Fund

Desjardins Dividend Fund

Desjardins Equity Fund

Desjardins Environment Fund

Desjardins Growth Fund

Desjardins High Potential Sectors Fund

Desjardins Select Canadian Fund

Desjardins American Market Fund

Desjardins International Fund

Desjardins Europe Fund

Desjardins Asia/Pacific Fund

Desjardins Emerging Countries Fund

Desjardins Select American Fund

Desjardins Select Global Fund

(the «Funds»)

MRRS DECISION DOCUMENT

WHEREAS the Canadian securities regulatory authority or regulator (the «Decision Maker) in each of theprovinces and territories of British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Québec, New Brunswick, NovaScotia, Prince Edward Island, Newfoundland, Northwest Territories, Nunavut and Yukon Territory (the «Jurisdictions»)has received an application (the «Application») from Desjardins Investment Services Inc. (the «Manager») and the Fundsfor a decision pursuant to the securities legislation of the Jurisdictions (the «Legislation») that the time limits pertainingto the distribution of units under the simplified prospectus (the «Prospectus») of the Funds be extended to those timelimits that would be applicable if the lapse date of the Prospectus was January 15, 2001.

AND WHEREAS pursuant to the Mutual Reliance Review System for Exemptive Relief Applications (the«System»), the Québec Securities Commission is the principal regulator for this application;

AND WHEREAS it has been represented by the Manager to the Decision Makers that:

(1) The Manager is a corporation incorporated under the laws of Québec. Desjardins Trust Inc. is the trustee andpromoter of the Funds and is a corporation incorporated under the laws of Québec.

(2) The Funds are open-ended mutual fund trusts established by the Manager under the laws of Québec.

(3) The Funds are reporting issuers under the Québec Securities Act (the «Act») and are not in default of anyrequirements of the Act or the Regulations made thereunder.

(4) By way of a Decision dated October 26, 2000, the Decision Makers extended to December 15, 2000 the datefor filing the Prospectus. Pursuant to section 35 of the Act, the lapse date (the «Lapse Date») for distributionof securities of the Funds is now December 15, 2000.

(5) The Funds are presently offered for sale on a continuous basis in each province and territory of Canadapursuant to a simplified prospectus dated October 15, 1999 which was receipted on November 2, 1999 inOntario and Québec, as amended by Amendment No. 1 thereto dated April 25, 2000.

(6) Since the date of the Prospectus, no material change has occurred except for the Amendment No. 1 referredto above. Accordingly, the Prospectus and Amendment No. 1 represent up to date information regarding eachof the Funds offered therein. The extension requested will not affect the currency or accuracy of the informationcontained in the Prospectus of the Funds and accordingly will not be prejudicial to the public interest.

(7) On November 9, 2000, the Funds filed their preliminary simplified prospectus and annual information formdated November 3, 2000.

(8) By letters dated November 22 and November 30, 2000, the Funds received numerous observations from thesecurities authorities.

(9) The Prospectus will have to be substantially amended in order to comply with the comments received from thesecurities authorities. The requested extension will allow the Manager sufficient time to properly answer all thecomments received from the securities authorities.

AND WHEREAS pursuant to the System this MRRS Decision Document evidences the decision of eachDecision Maker (collectively, the «Decision»);

AND WHEREAS each of the Decision Makers are satisfied that the test contained in the Legislation thatprovides 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 limits provided by Legislationas they apply to a distribution of securities under a prospectus are hereby extended to the time limits that would beapplicable if the Lapse Date for the distribution of securities under the Prospectus of the Funds was January 15, 2001.

DATED at Montreal on December 20th, 2000.

Josée Deslauriers