News Release

Canadian securities administrators publish final amendments to syndicated mortgage regime

Aug 06, 2020

Toronto – The Canadian Securities Administrators (CSA) today published final amendments that substantially harmonize the regulatory framework for syndicated mortgages in Canada.

These final amendments will:

  • remove the prospectus and registration exemptions that currently apply to syndicated mortgages in certain jurisdictions to substantially harmonize the regulatory framework for distributions of syndicated mortgages in Canada,
  • enhance investor disclosure through revisions to the offering memorandum prospectus exemption for offerings of syndicated mortgages under that exemption, and
  • exclude syndicated mortgages from the private issuer exemption, ensuring they are offered under an exemption more appropriate for this type of security.

“These changes substantially harmonize the regulatory framework for syndicated mortgages in Canada, enhancing investors’ ability to make informed decisions about these investments and enabling registrants who distribute these products to better fulfil their obligations,” said Louis Morisset, CSA Chair and President and CEO of the Autorité des marchés financiers.

The CSA first published proposed changes to the syndicated mortgage regime in 2018 and conducted two comment periods to gather feedback.

Due to the effects of the COVID-19 pandemic, to allow time for stakeholders to implement the changes, the final amendments will come into effect on March 1, 2021.

As part of the Notice published today, certain jurisdictions are publishing material regarding local exemptions for qualified syndicated mortgages and for syndicated mortgages distributed to permitted clients or institutional investors. These publications can be found on the applicable jurisdiction’s website.

The websites of CSA members contain the CSA Notice, which outlines the amendments made to National Instrument 45-106 Prospectus Exemptions and National Instrument 31-103 Registration Requirements, Exemptions and Ongoing Registrant Obligations, as well the accompanying companion policies, and any local amendments.

The CSA, the council of the securities regulators of Canada’s provinces and territories, co-ordinates and harmonizes regulation for the Canadian capital markets.

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For Investor inquiries, please refer to your respective securities regulator. You can contact them here.

For media inquiries, please refer to the list of provincial and territorial representatives below or contact us at media@acvm-csa.ca.

For more information:

Kristen Rose
Ontario Securities Commission
416-593-2336

Sylvain Théberge
Autorité des marchés financiers
514-940-2176

Brian Kladko
British Columbia Securities Commission
604-899-6713

Sara Wilson
Financial and Consumer Services Commission, New Brunswick
506-643-7045

Renée Dyer
Office of the Superintendent of Securities
Newfoundland and Labrador
709-729-4909

Jeff Mason
Nunavut Securities Office
867-975-6591

Shannon McMillan
Financial and Consumer Affairs Authority of Saskatchewan
306-798-4160

Hilary McMeekin
Alberta Securities Commission
403-592-8186

Jason Booth
The Manitoba Securities Commission
204-945-1660

Steven Dowling
Government of Prince Edward Island
Superintendent of Securities
902-368-4550

David Harrison
Nova Scotia Securities Commission
902-424-8586

Rhonda Horte
Office of the Yukon Superintendent of Securities
867-667-5466

Tom Hall
Office of the Superintendent of Securities,
Northwest Territories
867-767-9305