Securities Law & Instruments

Headnote

Clause 213(3)(b) of the Loan and Trust Corporations Act -- application by manager (limited partnership) for approval to act as trustee of a mutual fund trust distributed under offering memorandum to accredited investors.

Statutes Cited

Loan and Trust Corporations Act, R.S.O. 1990, c. L.25, as am., clause 213(3)(b).

August 27, 2004

Osler, Hoskin & Harcourt LLP

Attention: John A. Black

Dear Sirs/Mesdames:

Re:
Cornerstone Asset Management L.P. ("Cornerstone")
Application pursuant to clause 213(3)(b) of the Loan and Trust Corporations Act (Ontario) to act as trustee of the Cornerstone Absolute Return Fund and other mutual funds to be established by Cornerstone from time to time and offered pursuant to prospectus exemptions (the "Funds")

Further to the application dated August 3, 2004 (the "Application") filed on behalf of Cornerstone and based on the facts set out in the Application, pursuant to the authority conferred on the Ontario Securities Commission (the "Commission") in clause 213(3)(b) of the Loan and Trust Corporations Act (Ontario), the Commission approves the proposal that Cornerstone act as trustee of the Funds which Cornerstone manages.

"Paul K. Bates"
"Robert L. Shirriff"