April 16, 1990
TO: STATE SECURITIES MEMBERS NO. 7-90
RE: TERM OF EFFECTIVENESS FOR SECURITIES REGISTRATION
IN MICHIGAN
__________________________________________________________
In December 1988, Section 471.705(h) of the Michigan
Securities Act was amended to provide a one-year term of
effectiveness for securities registration. To continue the
effectiveness of a registration statement beyond the one-year
term, a fund must submit a renewal application to the Michigan
Corporation and Securities Bureau. The date the Bureau received
the renewal application would then become the new effective
registration date. Inasmuch as this date most likely preceded
the anniversary date of the initial registration, the term was
actually shorter than one year.
We are pleased to inform you that the Michigan Corporation
and Securities Bureau has informed us that if the cover letter
for a fund's renewal indicates the anniversary date of the
initial registration, the Bureau will issue its order of
effectiveness as of that date, provided that the renewal
application is received prior to the expiration of the current
registration period. Specifically, the Bureau has recommended
that renewal applications be submitted approximately 30 days
prior to the expiration of the current registration period in
order to maintain continuity and a full one-year registration
period.
Susan S. Burgess
Legal Assistant