Firm Capital Mortgage Investment Corporation not impacted by recently announced changes to Canadian securities regulations
TORONTO, Sept. 25, 2013 /CNW/ – Firm Capital Mortgage Investment Corporation (the “Corporation” or “Firm Capital”) (TSX:FC) is pleased to announce that it is not affected by the recently announced changes to the Canadian securities regulations.
The Canadian Securities Administrators reviewed Mortgage Investment Corporations in Canada and concluded that certain Mortgage Investment Corporations should not be characterized as investment funds under applicable Canadian securities laws due to the nature of their investment activities. The Corporation has always been a regular reporting issuer, and not an investment fund, under applicable Canadian securities laws and, as such, is already in compliance with those new requirements. Although certain funds may be required to reorganize, no action is required by Firm Capital.
Furthermore, the Canadian Securities Administrators have recently published proposed regulatory changes that would prevent any investment fund from investing in mortgages other than mortgages that are fully and unconditionally guaranteed by the government of Canada, the government of a province or territory of Canada or by an agency of such government, among other things. As the Corporation is not an investment fund, those proposed regulatory changes will not apply to Firm Capital.
Firm Capital, and its predecessor entities, have been public since 1999, and have provided shareholders with the following investment attributes…read more