The Securities Commission has granted an exemption to investment funds managed by Franklin Templeton Investments Corp., allowing them to invest up to 10% of their net assets in certain Irish and Luxembourg mutual funds. These funds are subject to UCITS (Undertakings for Collective Investments in Transferable Securities) rules, which are similar to Canadian regulations. The exemption is conditional on the funds meeting specific requirements, such as compliance with section 2.5 of National Instrument 81-102 Investment Funds when investing in these foreign funds, and the provision of appropriate disclosure in their simplified prospectus. The decision revokes and replaces a previous decision, ensuring that the investment practices remain substantially similar to those governing Canadian funds. The exemption is contingent on the regulatory regime of the foreign funds not undergoing any material changes.
