Scotia Cassels Investment Counsel Limited - MRRS Decision

Headnote

Mutual Reliance Review System for ExemptiveRelief Applications -- relief from requirement to obtain specificand informed written consent from clients once in each twelve-monthperiod with respect to certain funds -- subject to conditions.

Applicable Ontario Legislation

Ontario Regulation 1015, R.R.O. 1990, sec. 227(2)(b)(ii),233.

IN THE MATTER OF

THE SECURITIES LEGISLATIONOF

ONTARIO, ALBERTA AND NEWFOUNDLAND

AND LABRADOR

AND

IN THE MATTER OF

THE MUTUAL RELIANCE REVIEWSYSTEM

FOR EXEMPTIVE RELIEF APPLICATIONS

AND

IN THE MATTER OF

SCOTIA CASSELS INVESTMENTCOUNSEL LIMITED

MRRS DECISION DOCUMENT

WHEREAS the local securities regulatoryauthority or regulator (the Decision Maker) in each ofthe Provinces of Ontario, Alberta and Newfoundland and Labrador(the Jurisdictions) has received an application fromScotia Cassels Investment Counsel Limited (Scotia Cassels)for a decision under the securities legislation of the Jurisdictions(the Legislation) that the restriction against an adviserexercising discretionary authority with respect to a client'saccount to purchase or sell the securities of a related issuerof the registrant without the specific and informed writtenconsent of the client once in each twelve month period afterthe adviser has disclosed to the client all relevant facts andobtained the initial written consent of the client (the AnnualConsent Requirement) not apply to one or more mutual fundsor pooled funds managed or to be managed by Scotia Cassels oran affiliate or associate of Scotia Cassels (the Funds)subject to certain conditions.

AND WHEREAS pursuant to the Mutual RelianceReview System for Exemptive Relief Applications (the System),the Ontario Securities Commission is the principal regulatorfor this application;

AND WHEREAS Scotia Cassels has representedto the Decision Makers that:

1. Scotia Cassels is a corporation incorporatedunder the laws of Canada and is registered as an investmentcounsel/portfolio manager and commodity trading counsel andmanager in Ontario and as a portfolio manager and investmentcounsel in Alberta and Newfoundland and has an equivalentadviser registration in each of the other provinces and theYukon Territory.

2. All discretionary management clients ofScotia Cassels receive a Statement of Policies which liststhe related issuers of Scotia Cassels. These related issuersinclude the Funds. In the event of a significant change inits Statement of Policies, Scotia Cassels will provide toeach of its clients a copy of the revised version of, or amendmentto, the Statement of Policies.

3. Scotia Cassels manages some of its clientsassets on a discretionary basis with segregated, separateportfolios of securities for each client and may trade inthe securities of one or more of the Funds. All discretionaryclients of Scotia Cassels enter into an investment managementaccount agreement with Scotia Cassels in which the clientspecifically consents to Scotia Cassels exercising its discretionunder the agreement to trade in the securities of one or moreof the Funds.

4. Units of each of the Funds may be offeredon a continuous basis and will be acquired by residents ofthe Jurisdictions either under a prospectus filed by the Fundor on a private placement basis.

AND WHEREAS under the System this MRRSDecision Document evidences the decision of each Decision Maker(collectively, the Decision);

AND WHEREAS each of the Decision Makersis satisfied that the test contained in the Legislation thatprovides the Decision Maker with the jurisdiction to make theDecision has been met;

THE DECISION of the Decision Makers pursuantto the Legislation is that Scotia Cassels is exempt from theAnnual Consent Requirement under the Legislation in respectof the exercise of discretionary management authority to investin the securities of the Funds set out in Scotia Cassels Statementof Policies provided Scotia Cassels has secured the specificand informed consent of the client in advance of the exerciseof discretionary authority in respect of the Funds.

June 3, 2003.