The Canadian Securities Administrators (CSA) today announced that CSA members have issued parallel orders to provide mortgage investment entities that meet certain requirements with relief from investment fund manager registration requirements and adviser registration requirements until December 31, 2010. In Ontario, an additional condition exists that limits the exemption only to those licensed under the Mortgage Brokerages, Lenders and Administrators Act, 2006. The blanket order follows a number of inquiries to CSA members regarding the impact of NI 31-103 on the obligations of mortgage investment entities, to which many requirements of the national instrument are not applicable.
The order does not, however, provide relief from the dealer registration requirement and the CSA encouraged mortgage investment entities to speak with their legal counsel with respect to any dealer registration requirements that may apply.
The order (CSA Staff Notice 31-318) is effective today.