OSC Issues Report On Continuous Disclosure Review Of Investment Fund Sales Communications

Last week, the OSC published Staff Notice 81-720 - Report on Staff's Continuous Disclosure Review of Sales Communications by Investment Funds.

The notice summarizes the findings of an OSC targeted continuous disclosure (CD) review of the advertising and marketing materials of publicly offered investment funds and provides related OSC guidance.

Summary of findings:

• Investment funds are generally in compliance with disclosure requirements related to sales communications;
• Some basic requirements were frequently not met, such as:
  • the date of first publication for a written sales communication was not provided;
  • sales communications contained only some of the required information and referred the reader to other sources (e.g. the fund's website or prospectus), for more information.