Agreement of the procedure for conversion
and arbitrage operations
This Agreement (herein and after called Agreement)
is concluded between EuroForex Development LLC (herein and
after called the Company ) and __________
(herein and after called the Client ). The
object of this Agreement is general order of realization of
conversion arbitrage transactions on terms provided by the
present Agreement.
The complete and unconditional acceptance of conditions in
the present Agreement is the execution of
the following by the Client:
- Completion of the registration form, downloadable at the Company’s website
at the following address: http://www.euroforex.net/agreement.htm ;
for opening of sub-account with the Company.
- Funding his/her sub-account within thirty days from the
moment of its opening.
Both parties agree that the registered office of the Company is
the place of this agreement execution
Registered office address of the Company: 35111 Silverside
Road, Suite 105, Wilmington, DE, 19810, USA
1. Definitions
Lot - a unit of the transaction sum measurement.
Transactions - set of trading operations
where the funds are passed from the base currency into to the
quotation currency and vice versa.
Equity – provided part of guarantee trade account taking
into consideration open positions. Concerned with Balance,
Floating Profit / Loss and Floating with following formula:
Equity = Balance + Floating
Buying rate (ASK) - t he price at which the currency is offered
to the Client
Selling rate ( BID ) - the price at which the Client has
offered to purchase the currency.
Floating Profit/Loss - unrealized profit (loss) on the open
positions at current values;
Free Margin – free margin, idle in the open positions’ deposit
funds. Calculated as: Free Margin = Equity - Margin.
Margin Level - index characterizing the
account. Calculated as: Equity / Margin.
Stop Out – such level under which the most unprofitable deal
of the Client is forcedly closed by the Company at
the nearest quotation . Stop Out is calculated as: ( Equity
/ Margin *100)% < 10%.
Base currency – currency , in which sub-account, all balances,
brokerage and outgoing are denominated and calculated.
Balance - amount on the Client’s sub-account after carrying
out of the last transaction during any time.
EuroFX – licensed software for arranging a deal on the FOREX-market.
.
Client - natural person or legal entity, which arranges conversion
arbitrage transactions with the Company according to the Company’s
quotations.
Conversion arbitrage transactions
– deals between the Company and the Client for
purchase or selling currency (index) contracts, which suppose
at least two opposite purchase or selling transactions of
equal volume.
Currency contracts - available for trading
currencies.
Company - legal entity EuroForex Development
LLC, which ensures all contract’s conclusions and all necessary
calculations with the Client according to the present Agreement.
Margin Trading – is a purchase/sale or other
transaction with currency or index contracts where as the result
the volumes of the open positions several times exceed the
size of variation margin.
Open position - deal of purchase (sale)
not covered by the opposite sale (purchase) of the contract.
Operating (trading) time of the Company -
period of time within a business week, where the trading terminal
of the Company provides the opportunity of
trading operations with standard currency contracts and CFD
contracts. The exceptions are the days off and holidays, temporary
changes of the Company office regulations
and also periods of time when the customer service is unavailable
due to technical problems. In these cases the Company is
obligated to undertake all possible steps in order to notify
the Client about any change in the operating
mode and to make it possible for Client to
remove currency risks appearing in this case.
Spread - difference between the purchase
price (rate) and the sale price (rate) at the same moment.
Storage - Swap - the funds,
withdrawn or added to the Client's sub-account
for the prolongation (transfer) of open position to the next
day.
Sub-account - the special personal account
for internal calculation and customer deposits, opened in the Company by
the Client, through which the obligations
of the Company and the Client are
fulfilled, which appear from the transactions, executed according
to present agreement.
2. Conditions of work
2.1 The following currencies are
available for trading:
- USD - US dollar
- EUR - Euro,
- CHF - Swiss franc,
- GBP - British pound sterling,
- JPY - Japanese yen,
- AUD - Australian dollar,
- CAD - Canadian dollar,
- NZD - New Zealand Dollar.
2.2 Transactions can be realized for the following currency
pairs:
EUR/USD , USD/CHF , USD/JPY , GBP/USD , EUR/CHF , EUR/GBP
, EUR/JPY , GBP/CHF , GBP/JPY , AUD/USD , USD/CAD, EUR/CAD,
EUR/AUD, EUR/NZD, NZD/JPY, NZD/CAD, NZD/CHF, NZD/USD, GBP/NZD, GBP/AUD, GBP/CAD, CHF/JPY, CAD/CHF,
CAD/JPY, AUD/JPY, AUD/CAD, AUD/NZD, AUD/CHF
2.3 Conditions
- Minimum deposit rate – from $200
- Board lot rate – from $10 000
- Leverage from 1:1 - 1:200
- EUR/USD ( spread – 2 points );
- EUR/GBP, USD/JPY, USD/CHF, GBP/USD ( spread – 3 points );
- EUR/CHF, AUD/USD, USD/CAD (spread - 4 points);
- EUR/JPY, NZD/USD, CHF/JPY, CAD/JPY, AUD/JPY (spread
5 points);
- GBP / JPY (spread - 7 points);
- GBP / CHF, CAD/CHF (spread - 8 points);
- EUR/CAD, AUD/CAD, AUD/CHF, NZD/JPY, NZD/CAD, NZD/CHF (spread -10 points );
- EUR/NZD, AUD/NZD, EUR/AUD, GBP/CAD, GBP/AUD (spread – 12 points);
- GBP/NZD (spread – 30 points);
- Dealer has the right to change the spread according to
the market situation
- Commission - $0
2.4 Storages are variables in size and change
depending on the interest rate. Current storages http://www.euroforex.net/trade.php
3. Rules of the trading tools transactions.
3.1 The Client , using electronic access,
can give only the following orders of trading character:
-OPEN - to open a position;
-CLOSE - to close a position;
-LIMIT – to determine limit/cancel limit/change limit
-STOP – to determine stop/cancel stop/change stop
Any other orders are unavailable and are automatically
rejected.
3.2 The client accepts responsibility for
the safety of the password, and also recognizes authenticity
of all electronic orders with its use till the moment of filing
of loss application.
3.3 Confirmed order for opening or closing a position can’t
be canceled, changed or recalled.
3.4 Limit/Stop orders are valid from the moment of their
placing or cancellation
3.5 Limit/Stop orders can be accepted only in that case if
the price in the order differs from the current market price
no less than in 10 points.
3.6 Deferred orders are realized, made out or closed out
only during trade hours.
4. Rules for transactions on the world financial
market FOREX
4.1 Following rules define the conditions, according to which
the Company renders services of execution
of investment transactions in FOREX markets to natural persons
and legal entities via Internet or a telephone line provided
by a representative of the Company. Rules
and conditions of fulfillment of the client’s orders for opening,
closing trade positions, and following change of put up levels
and d eferred orders according to the active trade tools.
4.2 The Company is obligated to give an
access to the trade tools through the informational-trade terminal EuroFX
from 23:00 Sunday till 21:00 Saturday (GMT), except the days
declared by the Company as excluded. The Company is obligated
to inform the Client via internal mail system EuroFX concerning
operating schedule on holidays and excluded days. No claims
about not- receiving the information are accepted. All possible
losses are incurred by the Client, no claims this about are
accepted. Stop Loss and Take Profit orders, whose level was
reached these days, will be executed at the declared prices.
4.3 The transaction is executed at the "BID" / "ASK" prices
offered to the Client. The Client chooses
desirable operation and makes a request for the price confirmation
by the dealer. The transaction is executed
at the prices the Client can see on the screen.
Due to the high volatility of the markets during the confirmation
process the price may change in 4 sec., and the dealer has
the right to offer the Client a new price.
The Client can refuse the new price.
4.4 The dealer has a right to decline the Client’s request
for position opening, if Free Margin is less than the margin needed to guarantee
this position.
4.5 Orders in the main currency pairs EUR / USD , USD / CHF
, GBP / USD , USD / JPY , AUD / USD , USD / CAD are always executed at the
prices declared by the Client on the first
market price information , if only this information wasn’t a market “rush”
4.6 Orders in the currency pairs EUR / JPY , EUR / GBP ,
EUR / CHF , EUR/NZD, GBP/NZD, GBP / CHF , GBP / JPY, EUR/AUD, NZD/USD, NZD/JPY, NZD/CAD, NZD/CHF, EUR/CAD,
GBP/AUD, GBP/CAD, CHF/JPY, CAD/JPY, CAD/CHF, AUD/JPY, AUD/CAD, AUD/NZD, AUD/CHF are always executed at
the prices declared by the Clienton
the second market price information or if it was exceeded by
1-2 points.
4.7 Deferred orders ( Stop Loss, Take Profit, Buy Limit,
Buy Stop, Sell Limit, Sell Stop) are put up not closer than
for 10 points of market price.
4.8 Deferred order is considered to be completed only at
the moment of its actual handle by a dealer. This moment can
differ from the time when the price reaches the necessary level.
Stop Loss and Take Profit are active only after the execution
of deferred order. Stop Loss and Take Profit at the unexecuted
deferred order are not accepted to the execution.
- The Client has no right to change or
remove Stop Loss, Take Profit and Limit Orders if the price
has reached the level of the order execution.
- When the Stop Out = 10%, the most unprofitable deal
of the Client is forcedly closed by the Company at
the nearest quotation .
- The Client takes full responsibility
for giving directions opening, closing, changes and removal
of positions or orders on the phone line through the operators
of the Company. All operations in this
case are executed under the responsibility of the Client.
No claims about the actions of an operator are accepted.
- The Company has the right to refuse
the Client in the execution of transactions
through the telephone line if the actions of the Client do
not include the following operations in the FOREX market:
opening position, closing position, changing take profit
/ stop loss, putting out d eferred orders, removing deferred
orders.
- The Company has the right to revise
(change) closed position in case of program failures. At
that the Client receives at least two independent sources
of quotation history.
- If the tool trade was opened with a spread, and the
order level was found inside the spread, the Broker has
the right to execute order at then-current market prices,
which can differ from the order level.
- In the prime time trade is realized with spreads specified
in the contracts. In case of the price leap spreads can
be increased by 5-7 points for some time.
- In case of force-majeur circumstances in the World the
spread for all currency pairs can’t exceed 40 points.
- Force-majeur circumstances , that may be the reasons
for the spread increase:
- acts of terrorism of national (state) scale
- ecocatastrophes that caused the state of emergency
- outbreak of war or hostilities
- Force-majeur circumstances , that may be the reasons
for laying-off or arranged deals revision:
- hostilities, acts of terrorism, ecocatastrophes, man-caused
catastrophes
- hacker attacks and other illegal actions against the Serverof
the Broker.
- In case of high volatility of the market after appearance
of important economic data or in case of the significant
world events, such deferred orders as sell stop, buy stop
may be executed with some delay and at prices, which can
differ from the declared prices, since the situation, when
it’s impossible to execute the orders at the declared prices,
may arise.
- In case of high volatility of the markets after appearance
of important economic data or in case of the significant
world events such deferred orders as sell, buy, close sell,
close buy, modify, delete, and also orders for placing
of deferred orders may be executed with some delay connected
with a large number of these orders. The automatic rejection
of orders by the server is also possible. It’s connected
with the mode of excess of transaction idle time.
- The Company has the right to change
the valid order of quotations unilaterally after informing
the Client on this change via internal mail system EuroFX.
No claims about not- receiving the information are accepted.
5. Sub - account opening
5.1 In order to open the sub-account, the Client fills
up the registration form, downloadable from the Company’s website
at following address: http://www.euroforex.net/agreement.htm
5.2 The Client has to fund his/her sub-account
within thirty normal days from the moment of its opening.
5.3 All funds on the sub-account of the Client provide
a credit line (margin trading) for trading tools operations in the FOREX market.
5.4 The Client understands and recognizes that the Company
can’t bear responsibility for undue management of account by
a third person. The Client is obligated to settle all connected
relationship on his own.
5.5 Electronic access to control the Client sub-account
is opened not later than the next banking day after receiving
the funds to the account of the Company.
5. All operations under the sub-account are calculated in
the US dollars.
6. The payment procedure
6.1 The Client has the
right to withdraw the funds, free from any obligations (the
funds which are not used for margin covering) without closing
of the sub-account.
6.2 Money transfer is achieved within three banking days
after receiving of instructions of transfer request instructions
from the Client.
6.3 At the receiving the transfer request instructions from
the Client, the transferring sum reduces the
balance of the Client’s sub-account (BALANCE)
on the day the funds has reached the Client’s designated
account.
6.4 When the Client withdraws the funds
from his sub-account to his designated bank account, then the Client agrees
to pay any bank transfer fees (about 30$).
6.5 The Client, being the manager of his
sub-account, has the right to give the instructions of exclusive
trading nature, and also instructions, regarding funds operations.
7. About authorities and responsibilities
of the Client And the Company.
7.1 The Client is informed
and agrees that the Company in any way is
not responsible for all mistakes or omissions of the Client at
the realization of operations and transactions in FOREX market.
7.2 The Client carries personal responsibility
for his sub-account and confirms that this applies all the
time until his sub-account is closed.
7.3 The Company has the right to change
or to modify the present agreement, after
informing the Client through the internal
mail system of the trading terminal EuroFX , 5 business days
prior to the amendments coming into force;
7.4 These authorities of the Company are the long-acting acts. They are in
force until receipt of a written notice from the Client or
the Company concerning the termination of the present Agreement and/or
closing of sub-account.
7.5 If the dispute regarding the state of the Client’s sub-account
arises both parties shall examine the history of the sub-account
operations, orders and transactions made by the Client.
Such history must be printed out by the Company.
7.6 The Company is not an Internet Service
Provider and cannot be responsible for not fulfilling any obligations
under this agreement because of the internet connection failures.
7.7 The Client agrees that market recommendations
and information transmitted to the Client by
the Company or any person inside the company does
not indicate proposal or any advice to make a transaction.
7.8 The Client declares and guarantees that:
the Client is in the sensible mind, adult
and financial well-off; the Client is able
to deal in Forex market; all the information given by the Client to
the Company is truthful, correct, and valuable
and the Client informs the Company immediately
on any change in this information.
8. Notice of the Client risk
8.1 The Client accepts
that the trade in FOREX market can carry very significant risks.
Therefore it is necessary for the Client to
thoroughly analyze his financial abilities before participating
in such operations.
8.2 The Client understands and agrees that
he can completely lose his funds and any additional funds,
deposited for his positions at the market.
8.3 The Client agrees that the Company cannot
be responsible for any losses caused directly or indirectly
by the limits, assigned by the government, currency or market
rules, the stopping of trading, the military actions or other
conditions, usually called "force majeur" and which
cannot be controlled by the Company.
8.4 The trade using the electronic trading platforms can
differ not only from the trade using interbank system, but
also from the trade using any other trading systems. If the Client trades
using the electronic trading platform supplied by the
Company, then he undergoes the risks, associated with
the system, including the software problems.
8.5 The Client is obliged to keep the passwords in the safe
and secure place and agrees not to allow the third parties to get access to
his trading platform. The Client will be directly responsible
for trading using his password even if that password wasn’t correct.
8.6 In case of any quoting errors, the Company has
the right to make the necessary corrections and to take its
own decisions on any disputes from and at the moment of the
error appearance.
8.7 The present brief information about the risk does not
cover all risks that arise from the Margin Trading. Because
of pricing abruptness for currency purchase and sale it’s connected
with high risks. Not all participants are able to bear these
risks. You should conclude an agreement only if you are absolutely
sure in the amount of possible losses and understand your rights
and obligations. The same as in all kinds of investments your
success depends not only on degree of risk, but also on evaluation
of this risk.
9. Order of consideration of claims
and disputes
9.1 All disputes that arise from this present agreement will
be attempted to be decided by negotiations and correspondence
between the Client and the company
9.2 The claims from the Client,
which appear from the present agreement, are
received by the Company for further consideration,
only in written form and not later than three calendar days
from the date when the dispute arose.
9.3 Considerations of the Client's claim
by the Company will take not more than fourteen
business days
Legal addresses, bank details and signature of Parts.
EUROFOREX DEVELOPMENT LLC
35111 Silverside Road, Suite 105, Wilmington, DE, 19810, USA
Bank details:
Address:
a/s Parex Bank óë . Smilshu 3 LV-1522, Riga, Lativia, Account: LV93PARX0006736710011 |
Data of the
Client: |
