Dynamic Mutual Funds Ltd. - MRRS Decision

MRRS Decision

Headnote

MRRS for Exemptive relief Applications - Extension of date by which to file and obtain a receipt for the renewal prospectus in order to allow for agreed upon disclosure.

Statutes Cited

Securities Act, R.S.O. 1990, c. S.5, as am., ss. 62(1), 62(2) and 62(5).

IN THE MATTER OF

THE SECURITIES LEGISLATION OF

BRITISH COLUMBIA, ALBERTA, SASKATCHEWAN, MANITOBA,

ONTARIO, QUEBEC, NOVA SCOTIA, PRINCE EDWARD ISLAND,

NEWFOUNDLAND AND LABRADOR, YUKON TERRITORY AND NUNAVUT

AND

IN THE MATTER OF

THE MUTUAL RELIANCE REVIEW SYSTEM

FOR EXEMPTIVE RELIEF APPLICATIONS

AND

IN THE MATTER OF

Dynamic Value Fund of Canada

Dynamic Value Balanced Fund

Dynamic Dividend Value Fund

Dynamic Canadian Dividend Fund Ltd.

Dynamic American Value Fund

Dynamic European Value Fund

Dynamic Far East Value Fund

Dynamic International Value Fund

Dynamic U.S. Small Cap Value Fund

Dynamic RSP American Value Fund

Dynamic RSP European Value Fund

Dynamic RSP Far East Value Fund

Dynamic RSP International Value Fund

Dynamic Power Canadian Growth Fund

Dynamic Power American Growth Fund

Dynamic Power American Growth Fund I Ltd.

Dynamic Power Small Cap Fund

Dynamic Power Balanced Fund

Dynamic Power Bond Fund

Dynamic RSP Power American Growth Fund

Dynamic Focus+ Canadian Fund

Dynamic Focus+ American Fund

Dynamic Focus+ Global Fund

Dynamic Focus+ Balanced Fund

Dynamic Focus+ Diversified Income Trust Fund

Dynamic Focus+ Wealth Management Fund

Dynamic Focus+ Real Estate Fund

Dynamic Focus+ Resource Fund

Dynamic Focus+ Small Business Fund

Dynamic Focus+ World Equity Fund

Dynamic Focus+ World Equity Fund I

Dynamic RSP Focus+ World Equity Fund

Commonwealth Canadian Balanced Fund

Commonwealth World Balanced Fund Ltd.

Commonwealth RSP World Balanced Fund

Dynamic Fund of Funds

Dynamic Canadian Precious Metals Fund

Dynamic Canadian Technology Fund

Dynamic Global Precious Metals Fund

Dynamic Global Resource Fund

Dynamic Global Real Estate Fund

Canada Dominion Resource Fund Ltd.

Dynamic Greater China Fund

Dynamic SAMI Fund

Dynamic World Convertible Debentures Fund

Dynamic Dividend Fund

Dynamic Dividend Income Fund

Dynamic Dollar-Cost Averaging Fund

Dynamic Income Fund

Dynamic Canadian Bond Fund

Dynamic Canadian High Yield Bond Fund I

Dynamic Canadian Government Bond Fund

Dynamic Global Bond Fund

Dynamic Money Market Fund

Dynamic Canadian Value Class

Dynamic American Value Class

Dynamic International Value Class

Dynamic Power Canadian Growth Class

Dynamic Power American Growth Class

Dynamic Power Global Growth Class

Dynamic Focus+ Canadian Class

Dynamic Focus+ American Class

Dynamic Focus+ Global Financial Services Class

Dynamic Money Market Class

(collectively, the "Dynamic Funds")

Hathaway Focus+ Canadian Fund

Hathaway Focus+ American Fund

Hathaway Focus+ World Fund

Hathaway Focus+ Wealth Management Fund

Hathaway Focus+ Balanced Canadian Fund

(collectively, the "Hathaway Funds")

 

MRRS DECISION DOCUMENT

WHEREAS the Canadian securities regulatory authority or regulator (the "Decision Maker") in each of the provinces and territories of British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Quebec, Nova Scotia, Prince Edward Island, Newfoundland and Labrador, Yukon Territory and Nunavut (the "Jurisdictions") has received an application (the "Application") from Dynamic Mutual Funds Ltd. ("Dynamic"), manager of the Dynamic Funds and Hathaway Funds (collectively, the "Funds"), for a decision pursuant to securities legislation of the Jurisdictions (the "Legislation") that the time limits pertaining to the distribution of securities under the amended and restated simplified prospectus dated February 14, 2003, amending and restating the simplified prospectus dated December 5, 2002, and the annual information form dated December 5, 2002 of the Dynamic Funds (collectively, the "Dynamic Prospectus") and the amended and restated simplified prospectus dated February 14, 2003, amending and restating the simplified prospectus dated December 5, 2002, and the annual information form dated December 5, 2002 of the Hathaway Funds (collectively, the "Hathaway Prospectus") be extended to permit the continued distribution of units of the Funds as if the lapse date of the Dynamic Prospectus and the Hathaway Prospectus is January 12, 2004;

AND WHEREAS under the Mutual Reliance Review System for Exemptive Relief Applications (the "System") the Ontario Securities Commission is the principal regulator for the Application;

AND WHEREAS the Funds have represented to the Decision Makers that:

1. Each Fund is a reporting issuer as defined in the Legislation and is not in default of any of the requirements of such Legislation.

2. Units of the Dynamic Funds are presently offered for sale on a continuous basis in each of the Jurisdictions pursuant to the Dynamic Prospectus. The earliest lapse date under the Legislation for the distribution of securities of the Dynamic Funds pursuant to the Dynamic Prospectus is December 5, 2003.

3. Units of the Hathaway Funds are presently offered for sale on a continuous basis in each of the Jurisdictions pursuant to the Hathaway Prospectus. The earliest lapse date under the Legislation for the distribution of securities of the Hathaway Funds pursuant to the Hathaway Prospectus is December 5, 2003.

4. There have been no material changes in the affairs of any Dynamic Fund since the filing of the Dynamic Prospectus other than those for which amendments have been filed. Accordingly, the Dynamic Prospectus and the amendments thereto represent current information regarding each Dynamic Fund. The requested extensions will not affect the accuracy of information in the Dynamic Prospectus and therefore will not be prejudicial to the public interest.

5. There have been no material changes in the affairs of any Hathaway Fund since the filing of the Hathaway Prospectus. The requested extensions will not affect the accuracy of information in the Hathaway Prospectus and therefore will not be prejudicial to the public interest.

6. The Dynamic Funds filed a pro forma prospectus on November 5, 2003 under SEDAR Project #586034 in each of the Jurisdictions at least thirty days prior to the earliest lapse date of the Dynamic Prospectus.

7. The Hathaway Funds filed a pro forma prospectus on November 5, 2003 under SEDAR Project #586064 in each of the Jurisdictions at least thirty days prior to the earliest lapse date of the Hathaway Prospectus.

8. Additional time is required to resolve outstanding comments on the pro forma prospectuses described above.

9. The requested extension will not affect the accuracy of information in the Dynamic Prospectus or the Hathaway Prospectus and therefore will not be prejudicial to the public interest.

AND WHEREAS under the System, this MRRS Decision Document evidences the decision of each Decision Makers (collectively, the "Decision");

AND WHEREAS each Decision Maker is satisfied that the test contained in the Legislation that provides the Decision Maker with the jurisdiction to make the Decision has been met;

THE DECISION of the Decision Makers pursuant to the Legislation is that the time periods provided in the Legislation as they apply to a distribution of securities under the Dynamic Prospectus and Hathaway Prospectus are hereby extended to permit the continued distribution of units of the Funds pursuant to the Dynamic Prospectus and Hathaway Prospectus as if the lapse date of the Dynamic Prospectus and Hathaway Prospectus is January 12, 2004.

December 24, 2003.

"Leslie Byberg"