IN THE MATTER OF THE SECURITIES LEGISLATION OF BRITISH COLUMBIA,
ALBERTA, SASKATCHEWAN, QUEBEC, NOVA SCOTIA, NEWFOUNDLAND AND LABRADOR, NORTHWEST
TERRITORIES AND NUNAVUT
AND
IN THE MATTER OF THE MUTUAL RELIANCE REVIEW SYSTEM FOR EXEMPTIVE RELIEF APPLICATIONS
AND
IN THE MATTER OF FRANKLIN TEMPLETON INVESTMENTS CORP.
AND THE FRANKLIN TEMPLETON PORTFOLIOS
MRRS DECISION DOCUMENT
WHEREAS the local securities regulatory authority
or regulator (the "Decision
Maker") in each of British Columbia, Alberta, Saskatchewan, Qu�bec, Nova Scotia,
Newfoundland and Labrador, Northwest Territories and Nunavut (the
"Jurisdictions") has received an application from Franklin Templeton Investments
Corp. (the "Applicant") for a decision pursuant to the securities legislation of
the Jurisdictions (the "Legislation") that trades in Units are not subject to
the requirements of the Legislation of the Jurisdictions relating to the filing of forms
and the payment of fees within 10 days of each trade (the "Reporting
Requirement");
AND WHEREAS, unless otherwise defined, the terms herein have the meaning set
out in
National Instrument 14-101 Definitions, or in Qu�bec Commission Notice 14-101;
AND WHEREAS pursuant to the Mutual Reliance Review System for Exemptive Relief
Applications (the "System"), the Commission des valeurs mobili�res du Qu�bec
is the principal regulator for this application;
AND WHEREAS the Applicant has represented to the Decision Maker that:
1. The Applicant will be the manager and promoter and the trustee of the Franklin
Templeton Portfolios (the "Portfolios"), which will include the 11 Portfolios
listed on Schedule "A" and any additional Portfolios established by
the Applicant or an affiliate of the Applicant from time to time. The Portfolios
will be
open-end mutual fund trusts created under the laws of the Province of Ontario
or the
Province of Alberta.
2. Each Portfolio will seek to achieve its investment objectives by investing
substantially all of its assets, either directly or indirectly through derivatives,
in of one or more underlying funds, each of which is an investment fund managed
by the
Applicant, an affiliate of the Applicant or a third party investment manager
(the "Underlying Funds").
3. The office of the Portfolios will be at the same address as the Applicant.
4. Units of the Portfolios (a "Units" or "Units") will be
sold on a private placement basis to investors who are eligible to rely on exemptions
from the
prospectus requirements in their province or territory of residence. It is not
currently contemplated that the Portfolios will become reporting issuers or listed
on a stock
exchange.
5. Units will be offered on a continuous basis to investors at a price per Unit equal to
the net asset value per unit of the Portfolio calculated in accordance with the
declaration of trust of the Portfolios.
6. Units of the Portfolios may also be distributed to existing unitholders upon the
reinvestment of distributions made by the Portfolios.
7. The Legislation in each of the Jurisdictions contains Reporting Requirements in respect
of the distribution of Units of the Portfolios.
AND WHEREAS under the System, this MRRS Decision Document evidences the decision
of each
Decision Maker (collectively, the "Decision");
AND WHEREAS each of the Decision Makers is satisfied that the test contained in the
Legislation that provides the Decision Maker with the jurisdiction to make the Decision
has been met;
THE DECISION of the Decision Makers under the Legislation is that the Reporting
Requirements will not apply to a trade in Units, provided that within 30 days of the end
of each financial year of each Fund, such Fund will:
(i) file a) with the applicable Decision Maker a report in respect of all trades
in Units during such financial year, in a form prescribed by the Legislation
under the Reporting
Requirements and b) with the Commission des valeurs mobili�res du Qu�bec its
annual
financial statements within 140 days of its year end.
(ii) remit to the applicable Decision Maker the fee prescribed by the applicable
Legislation for a filing under the Reporting Requirements;
Any future funds intending to rely on this decision in Quebec will first notify
the
Commission des valeurs mobili�res du Qu�bec of such an intention and shall first receive
consent from the Commission des valeurs mobili�res du Qu�bec to so rely on this
decision.
DATED at Montreal, Qu�bec this 5th day of September 2003.
| Jean-Marie Gagnon | Guy Lemoine |
SCHEDULE "A"
FRANKLIN TEMPLETON PORTFOLIOS
Franklin Templeton Capital Preservation Pooled Portfolio
Franklin Templeton Balanced Income Pooled Portfolio
Franklin Templeton Domestic Growth Pooled Portfolio
Franklin Templeton Global Growth Pooled Portfolio
Franklin Templeton International Growth Pooled Portfolio
Franklin Templeton Domestic Balanced Growth Pooled Portfolio
Franklin Templeton Global Balanced Growth Pooled Portfolio
Franklin Templeton International Balanced Growth Pooled Portfolio
Franklin Templeton Domestic Maximum Growth Pooled Portfolio
Franklin Templeton Global Maximum Growth Pooled Portfolio
Franklin Templeton International Maximum Growth Pooled Portfolio