With the Registered Retirement Savings Plan (RRSP) deadline approaching, it is a good idea to familiarize yourself with the Canadian Securities Administrators’ (CSA) Fund Facts Interactive Tool. This tool allows you to better understand the mutual funds that you are considering purchasing as an RRSP contribution.
The CSA has published a sample Fund Facts document on their web page that features an interactive tour that helps break down the information presented in a Fund Facts document.
Investors can use this tool to learn how to identify a mutual fund’s principal investments, past performance, risk rating, and cost to investors. Familiarizing yourself with the language contained in a Fund Facts document will help arm you with questions to ask, and aid in clarifying the investment characteristics that are important to your portfolio.
Currently, investors are required to receive a Fund Facts document within two days of buying a mutual fund.
In December 2014, the CSA published final amendments that will require all dealers that sell mutual funds to deliver a Fund Facts document before investors make a decision to buy a conventional mutual fund. This change brings Canada in line with global regulatory standards. The requirement for pre-sale delivery of the Fund Facts takes effect on May 30, 2016.
If you have any questions or concerns regarding any mutual funds that you have purchased or are considering purchasing, do not hesitate to contact BCSC’s Inquiries Group at 604-899-6854 or 1-800-373-6393 or through e-mail at [email protected].
Last month, I was out on the road giving presentations to groups in New Westminster and Burnaby. As usual, both presentations generated lots of conversation and questions from the floor. The session in Burnaby was particularly lively, with everyone asking one or two questions each. In this post, I am sharing a few of the […]
If you are looking at purchasing a mutual fund this RRSP season, you will want to take advantage of a relatively new document that contains key information about mutual funds. This document, known as Fund Facts, includes a description of the mutual fund, as well as answers to important questions you should be asking when […]