The Ontario Securities Commission granted CIBC Asset Management Inc. (the Filer) an exemption from certain requirements under securities legislation. The Filer manages both CIBC Fixed Income Funds and CIBC Alternative Funds, among others, and sought two forms of relief:
1. Lapse Date Extension: The Filer requested an extension of the lapse dates for the simplified prospectuses and fund facts documents of the Funds to align with the lapse date of August 26, 2023, of another prospectus (Other Funds Prospectus). This extension was sought to consolidate the renewal of these documents and reduce associated costs.
2. Simplified Prospectus Consolidation: The Filer also sought relief from subsection 5.1(4) of National Instrument 81-101 Mutual Fund Prospectus Disclosure (NI 81-101), which prohibits the consolidation of a simplified prospectus for an alternative mutual fund with that of a non-alternative mutual fund. The Filer argued that combining these would streamline disclosure and allow for easier comparison of fund features by investors.
The Filer assured that no material changes had occurred since the last prospectus update and that any future material changes would be disclosed as required. The Filer also emphasized that the requested relief would not compromise the accuracy of information or be prejudicial to the public interest.
The principal regulator agreed with the Filer’s reasoning and granted the requested exemptions, allowing the Filer to extend the lapse dates and consolidate the simplified prospectuses as requested. The decision was based on the belief that the exemptions met the test set out in the applicable legislation and would not be detrimental to the public interest. The relevant legislative provisions include subsection 62(5) of the Securities Act (Ontario), sections 5.1(4) and 6.1 of NI 81-101, and subsection 4.7(1) of Multilateral Instrument 11-102 Passport System.