Securities Regulators in Alberta, British Columbia, Manitoba, New Brunswick and Saskatchewan adopt new investment dealer prospectus exemption
Jan 14, 2016
On January 14, 2016, the Alberta Securities Commission (ASC) issued a press release in which the securities regulators in Alberta, British Columbia, Manitoba, New Brunswick and Saskatchewan announced that they are each adopting a prospectus exemption (exemption) that, provided certain conditions are met, will allow issuers listed on a Canadian exchange to more easily raise money by distributing securities without the need for a prescribed offering document.
Under the exemption, an investor must obtain advice regarding the suitability of the investment from an investment dealer. This is a key condition for investor protection, as the investment dealer must meet its know-your-client and know-your-product obligations when determining the suitability of the investment.
Review the press release on the ASC's Web Site.