The Alberta Securities Commission (ASC) and the Financial and Consumer Affairs Authority of Saskatchewan (FCAA) have recently announced an amendment to the self-certified investor prospectus exemption, effectively removing the initially set expiry date of April 1, 2024. This decision comes after a three-year pilot phase that demonstrated a sustained interest in this exemption. The self-certified investor prospectus exemption is designed to provide enhanced flexibility for businesses and investors in Alberta and Saskatchewan. It achieves this by allowing self-certified investors, who have attested to possessing certain financial and investment knowledge and understanding the associated risks, to participate in investment opportunities on a similar footing as accredited investors.
Investors under this exemption are subject to investment limits of CA$10,000 in any single business and CA$30,000 across multiple businesses within a calendar year, a measure intended to mitigate investment risks. The regulatory orders pertinent to this exemption (ASC Blanket Order 45-538 and FCAA General Order 45-538) are accessible through the websites of the ASC and FCAA, respectively. Additionally, a minor amendment has been made to the wording in Annex 2 to better align with the language used for accredited investors. These amendments took effect on April 1, 2024.
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