POLICY FOR THE EXECUTION OF ORDERS
Policy for the Execution of Orders
The purpose of this policy is to organize efficient arrangements for procurement, when the Company executes Clients’ orders, having the best possible outcome for its Clients.
The objective of this document is to direct the said arrangements and to certify compliance with the requirements of the legislation, including the department and general process, which are established in the Internal Procedures Manual.
Scope and Services
Upon the execution of trades on behalf of its Clients, the policy shall apply. As orders of Clients are executed, the Company will always act as principal (counterparty). The Company does not guarantee that when an order is executed, the Client’s price will be more favorable than one which could possibly be available elsewhere.
The Company is obliged to take several factors into consideration. The factors are listed below:
The Company generates an owned tradable prices retrieved from information sourced over independent price providers, including banks that mainly provides liquidity across the world market. To ensure that the Client receives the best execution is to make sure that the bid/ask spread calculations is made with reference to a wide range of underlying price providers, including data sources.
As a Client opens a position on a few types of financial instruments, it has a corresponding commission or a financing fee.
c) Orders of all sizes
Orders are placed in lot sizes. A unit which measures the amount of the transaction is called “lot”, wherein it differs from each financial instrument. If the Client wanted to execute a large size order, it might be less favorable in some cases as liquidity arises in the market. The Company reserves the right to decline an order of a Client, if the size of the order is large and cannot be filled by the Company.
Price changes over time. The frequency with which they do differs with financial instruments as well as the condition of the market. For instance, the Company generates its own tradable prices, which are distributed through the trading platform of the Company, therefore, the technology used by the Client to make communications with the Company plays a crucial role.
The Company executes orders relative to either one or more trading instruments in contracts for difference (“CFDs”) on foreign exchange ("FX").
The Company offers the following foreign exchange trading products:
a) Foreign Exchange CFD
b) Spot metals CFD
c) Commodities CFD
d) Indices CFD
Best execution principles
The Company is mandated to put several factors into consideration when an order of a Client is executed. The following are the factors listed below:
a) The Client's characteristics and to where it is categorized (e.g. As retail or as professional)
b) The characteristics of the order of the Client.
c) The characteristics of trading instruments that are the order’s subject.
d) The characteristics of the execution venues to which that order is able to be directed.
In situations where the Client is provided with a certain instruction by the Company as to how an order is being executed and the Company agreed on this instruction, therefore, an execution of order will be done, along with that specific instruction.
However, if the Client wished to carry out an order and provided a certain instruction, then by executing that order, the Company will comply with the Company’s duty to provide the best execution for the Client. This might result in being incapable to follow the Company’s order execution policy for that certain order.
Execution entities are mainly the venue to which orders are either being placed or to where the Company’s transmission of orders for execution is being done. The Execution Entities in order of the Clients will be accordingly authorized investment firms.
Generally, the funds deposited by Clients with the Company, including orders that are placed through a trading platform is safeguarded by the Company and is the one responsible for all funds.
Review and Monitoring
The Policy implemented by the Company will be monitored, including the relevant order execution arrangements, particularly on an on-going basis to determine and propose better enhancements.
The Company is required to review the Policy and the relevant order execution arrangements on a regular basis at least annually in order to assess if the Company is able to provide the best execution for its Clients.
The Company is obliged to acquire the Client’s prior consent to this Policy when creating a business relationship towards the Client. Moreover, the Company is required to take in the Client’s prior consent before the execution of Clients’ orders or receiving or transmitting orders for execution.
The Company is able to obtain the above consents under a general agreement. The Company will treat Clients who received the Policy or approved to receive the Policy electronically or through the internet, including those who have generally agreed upon on the Trading Terms and Conditions of the Company.
Customer Support Department