Corporate & Securities Law

Addendum: Effective December 2, 2010 investment company issuers may continue to file at the PORTFOLIO level until a legal challenge to the Montana Commissioner of Insurance and Securities' (CSI) decision for issuers to file at the CLASS level is challenged in court by hearing in late January, 2011.

Issuers are CAUTIONED that if they make an initial or renewal filing at the PORTFOLIO level after January 1, 2011 they will have to retroactively re-file at the CLASS level if the CSI's position is upheld.

Reprinted memo from October, 2010: Investment company and similar issuers, starting January 1, 2011, must register or notice file their securities in Montana at the class rather than at the previously-required portfolio level. Beginning January 1, 2011, new and renewing issuers must submit a new application for each class previously incorporated in a portfolio filing of multiple classes. NOTES: (1) Notification of registration of each class included in a prospectus containing more than one class is required by the Montana Securities Department unless the issuer undertakes to ?sticker? the prospectus indicating the classes not available to Montana investors; and (2) Issuers are encouraged to file their Consent to Service of Process with the Department at the trust level.

For more information please see here.

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Full post as published by Jim Hamilton's World of Securities Regulation on December 07, 2010 (boomark / email).