This site uses cookies to provide you with a more responsive and personalised service. By using this site you agree to our use of cookies. Please read our cookie notice ( for more information on the cookies we use and how to delete or block them.
The full functionality of our site is not supported on your browser version, or you may have 'compatibility mode' selected. Please turn off compatibility mode, upgrade your browser to at least Internet Explorer 9, or try using another browser such as Google Chrome or Mozilla Firefox.

Amendments to National Instrument 81-101: Mutual Fund Risk Classification Methodology [ED]

Comment period ended on March 12, 2014.

Proposed effective date:

Not specified.

Last updated:

December 2015


CSA Notice 81-324 sets out a proposed risk classification methodology for use by mutual fund managers in the fund facts document (Fund Facts). 

Currently the Fund Facts requires the manager of a mutual fund to provide a risk rating on a scale of five categories ranging from Low to High. A mutual fund’s risk classification methodology is chosen and applied at the fund manager’s discretion in order to determine that rating. The CSA has noted that the lack of use by fund managers of a standardized risk classification methodology could result in inconsistent measurements of risk and make comparisons between mutual funds difficult. Hence, the CSA has issued Notice 81-324.

Recent activities

December 2015

On December 10, 2015, the CSA published for comment proposed amendments that would require fund managers to use a standardized risk classification methodology when determining a risk level for conventional mutual funds and exchange-traded mutual funds (ETFs) in the Fund Facts and in the proposed ETF Facts, respectively.

December 2013

On December 12, 2013, the CSA issued for public comment its Notice 81-324, Request for Comments Proposed CSA Mutual Fund Risk Classification Methodology for Use in Fund Facts.

Correction list for hyphenation

These words serve as exceptions. Once entered, they are only hyphenated at the specified hyphenation points. Each word should be on a separate line.