The aim of this prospectus is to inform the client of the risks that his investment portfolio may be exposed to through the transactions that take place in the financial market and alert him to any possible financial loss that may result from these risks. The possibility of client’s financial loss is an issue and the company considers it as its duty to explain these accompanying risks. However, this statement does not include all the potential risks especially associated with the personal circumstances of the client. Therefore, the company advises clients who are not experienced in the financial instruments trading deals – including derivative financial instruments – to obtain professional advice. The company finds it necessary for the customer to be aware of the risks involved in transactions before entering into trade in the international market. In addition to the importance of knowing the risks involved, the company emphasizes the importance of customer’s awareness that he must have sufficient financial resources to enable him to take risks. Therefore, this leaflet is provided to facilitate understanding of these risks.
Definitions
The following expressions and words should have the meanings set forth as listed below wherever they appear in this statement, unless otherwise intended:
- The company: INFINITY ECN Company
- Customer: The natural or legal (moral) person contracting with the company.
- Disclosure policy: the policy of disclosing the risks mentioned in this document, its amendments, its appendices and / or any part of it mentioned or not mentioned.
- Transactions: orders and offers of sale and/or purchase that are made in the financial market, especially those associated with financial instruments, including derivative financial instruments such as contracts for difference (CFDs) and others.
Legal Framework
The company works according to international laws and regulations for investing in financial instruments, in addition to the company’s regulations and internal laws, as well as the principles of transparency and fairness.
Minimum Disclosure Policy
This document and any of its amendments or appendices constitute the minimum of the disclosure policy which the client acknowledges that he has read, understood, and knew about, and that the risks cited in it were mentioned as examples just to mention a few of them. The purpose of this prospectus is to introduce the client to the most prominent types of potential risks resulting from trading in financial market transactions, and to warn him of any loss, non-profits or risks that may be associated with concluding these deals.
However, this document does not constitute any guarantee against all risks, especially those of the customer, and it does not substitute for the minimum knowledge that the client must have in order to conclude deals. The mission of the company is to facilitate client’s access to transactions in international markets and to provide the required credit and protection for the client’s physical investments in light of fair financial policies and transparent working mechanisms.
The company confirms that this prospectus and the risks contained in it are not considered as the exclusive risks that may result from the deals, but rather it is the general framework for these risks, and this prospectus is read as an integral part with the other documents issued by the company and published and/or that will be published on this site, including any amendments that may occur to them.
Main Risks
It is agreed upon that the client, after understanding what was mentioned in the prospectus, and before entering into deals, is satisfied with it with the presence of the following main risks:
- Communication systems failure:
- The customer admits his responsibility for any financial losses or non-gain that occurs to him due to failure, damage, weakness, inefficiency and/or unsuitability of his communication system, whether this is due to the client’s hardware, software, or misuse, and whether for reasons related to the customer or others because the customer is responsible for the validity of the aforementioned communication systems and their suitability to the company’s systems and software and trading markets. The claim of ignorance about how to deal with these systems and not making the necessary updates to them does not exempt the customer from responsibility.
Moreover, the customer acknowledges that only one order for each client is allowed in the queues on the company’s servers, and that closing the order window does not count as canceling the request. - Information source:
It is agreed that the company’s servers are the source of obtaining information about offers and deals, and it is not permissible to rely on the offers stored on the client’s devices. It is also agreed that the company does not bear any responsibility for any losses or additional expenses or damages that arise to the client as a result of that. - Exchange rates fluctuate:
The client acknowledges that he is fully aware of the risks resulting from trading in international markets and that he is aware of the effect of fluctuating currency exchange rates on his investment portfolio and his investment return, including any losses resulted from currency exchange differences between the trading currency and global currencies. The client understands the existence of high risks resulting from the multiple fluctuations in market prices, derivative financial instruments and the underlying asset, which will positively or negatively affect the client’s investments. This may affect the ability to execute the customer’s orders at the quoted prices, and consequently losses occur. The customer confirms his agreement that the company will not bear any responsibility for not doing this procedure. - The company’s role and responsibility for the investment decision:It is agreed between the two parties that the company’s role is to provide advice in the field of investment and the opinion of the company is not binding on the client, and the company is not considered responsible for any losses for the client as a result of concluding deals under the direction or advice of the company or any of its employees, since the last investment decision is the customer’s decision.
The client realizes that monetization of some financial instruments will not be easy within simple periods due to the fluctuation of supply and demand for them in the global market and the resulting inability to know their financial value or the risks involved.
The customer declares that he has an independent decision regarding his investments; so in case of any advice or deal offered by the company, the latter does not bear the responsibility of any losses resulted by this advice and this offer. The company is not the client’s advisor; its function is limited to providing credit to the client and facilitating his access to the global market. The company does not guarantee profit for the client’s deals nor does it insure him against losses resulting from the deals. - Contracts for difference:These contracts represent a fairly high risk in calculating the potential rapid loss in funds with the possibility of a rapid profit for them as well, and the client must be aware of the risks of these contracts which are considered one of the fastest contracts in affecting the client’s financial position negatively or positively. Therefore, specialists advise that investment in such contracts should be from the risk capital, so that its potential loss does not constitute a fatal blow to the client’s investment portfolio, and on the other hand, these contracts may constitute a source of quick profit.
- Physical delivery of trading instruments:The client agrees that he is not entitled to physical delivery of the trading instruments in these contracts.
- Margin requirements:
The determination of margin requirements is usually based on closing prices and the company’s prices may sometimes not represent the updated prices of the financial instruments in the international market. The client is responsible for monitoring his assets and he is responsible for having the minimum margin conditions and the efficiency of his investment portfolio. Moreover, he authorizes the company to cancel any of his deals when he is unable to provide the mentioned margin. - Approved means of communication:The client agrees that the trading platform is the main and approved method for submitting requests to the company, and that the company is not obligated to provide the communication service over the phone except when the electronic platform is disrupted and according to the company’s estimate.
The company’s trading platform provides the direct transmission of the customer’s request once the option to buy or sell is chosen, but these requests cannot be modified, so choosing the option to buy and sell means making sure of this option and the inability to retract it. Furthermore, the company is not obligated to implement more than one request for the customer. - Settlement of trades:
The settlement of transactions in securities and stock exchanges is only in cash, and the difference between the purchase price and the sale price represents the result of investments. - Responsibility to update publications:
The client relieves the company from any liability resulting from not updating its publications after its issuance, even if this will make the publications inaccurate due to changing the investment conditions. The company’s publications do not constitute any guarantee that there will be incomplete or inaccurate publications or publications that have been altered by changing their circumstances. The company is free to withdraw, amend and/or cancel any publication at any time without notifying the customer at any stage and according to its discretion. - Correcting errors in customer balances:
Any errors in the account of the client’s balances are not considered the responsibility of the company; that the company has the power to review and amend the accounts and make the necessary correction on them, and any dispute about the balances is resolved on the basis of the fair market value as decided by the company. The limitations, accounts and information of the company are the sole reference for correction, so any correction procedure done by the company is valid and binding on both parties. - The company’s commitment to list the requests:
The company is not obligated to include specific requests, such as requests to determine the limits of losses or stop these losses, because technological constraints and market and trading restrictions may not allow the implementation of these requests. - Taxes:
It is agreed that any tax obligations imposed by the country of the client rests solely with the client, without any liability on the company. - Fees and Commissions:
The company has the right to charge any fees, commissions or expenses imposed by the company’s internal regulations, including any interest deducted or added for the purpose of keeping any open deal(s).
The client acknowledges his prior knowledge of these regulations and acknowledges the right of the company whenever the need arises. - Conflict of interest:
The client understands that the company is the authorized party to many client deals. Any conflict of interest that may result is considered justified on the part of the client as long as the execution of the transactions is carried out in good faith and according to the laws and regulations. - Client suitability for contract trading:
The company makes an assessment of the client’s suitability for trading contracts for difference and determines his efficiency to understand its risks without relieving that client from his/her duties.
Policy Review
The company has the right to review this statement many times whenever needed without notifying the clients, either before or during the deals, and at any time the company finds necessary.
Contact Us
The company welcomes any questions in this regard, Email us at support@infinityecn.com