Common use of GOOD MARKET PRACTICE Clause in Contracts

GOOD MARKET PRACTICE. Furthermore, good market practice is one of London's attractions for international business. SFA's aim is to deliver effective regulation which will not stifle innovation or be so restrictive that business would be ...ATTRACTIVE TO INTERNATIONAL driven to competing international markets. BUSINESS Member Firms Firms regulated by SFA are involved in dealing or advising in securities or derivatives. This encompasses shares, bonds, traded options, corporate MEMBERS FIRMS ACTIVE ON: finance, financial futures and commodities futures on metals, oil, cereals, coffee and others. Firms regulated by SFA are active on many UK and overseas exchanges. Their earnings make a significant contribution to -- LONDON STOCK EXCHANGE the British economy. SFA has 1300 member firms. Many of them have a long and successful -- LONDON INTERNATIONAL business pedigree; others are newer ventures created in response to demand FINANCIAL FUTURES AND for new or specialised products and services. Most are located in London OPTIONS EXCHANGE where the organised markets are, some are in other UK cities and towns serving the needs of their regional client base. The greater proportion are UK firms but significant numbers are -- LONDON METAL EXCHANGE incorporated overseas, notably in North America, Japan and Western Europe, with branches in the UK. Member firms will state their membership of SFA on their stationery or -- INTERNATIONAL PETROLEUM advertisements. An updated list of members is published from time so time, EXCHANGE and a claim to membership can always be verified by checking with SFA. Whatever their activities or origin, all member firms endorse the -- LONDON COMMODITIES principles of self regulation and through the payment of subscriptions EXCHANGE cover the cost of its administration. The taxpayer does not pay for investor protection. Through representation on the Board and in committees, members help to -- OPTIONS MARKET, LONDON develop and refine the rules by bringing to bear their practical knowledge and experience. Furthermore, there is a senior person in each firm directly responsible for ensuring that this is in compliance with the -- OVERSEAS EXCHANGES rules. The Process The regulatory process undertaken by SFA has four main parts: Authorisation -- This is the initial vetting of a firm to ensure that it is suitable to be permitted to conduct investment business. Firms that seek authorisation must provide information which demonstrates that they are adequately funded, have viable business plans, that their management AUTHORISATION OF FIRMS... and staff are suitably experienced and competent and that there is no history of malpractice. SFA check the information and if applicant firms are considered to be "fit and proper" they are granted authorisation (i.e. licensed) and become members of SFA. They are obliged to comply with SFA's rules. Authorisation includes the individual registration of directors, managers and investment staff in the firm. Some will have to take an examination to show that they understand the fundamentals of market practice and regulation. Those who are not registered are not permitted to deal or to give customer advice.

GOOD MARKET PRACTICE. ....attractive to international business SFA's Role SFA's role is to help protect investors, both private and professional, from financial loss caused by members' insolvency, failure to meet adequate standards of competence, or deliberate acts of deception. Furthermore, good market practice is one of London's attractions for international business. SFA's aim is to deliver effective regulation which will not stifle innovation or be so restrictive that business would be ...ATTRACTIVE TO INTERNATIONAL driven to competing international markets. BUSINESS Members firms active on: -- London Stock Exchange -- London International Financial Futures and Options Exchange -- London Metal Exchange -- International Petroleum Exchange -- London Commodities Exchange -- Options Market, London -- Overseas Exchanges Member Firms Firms regulated by SFA are involved in dealing or advising in securities or derivatives. This encompasses shares, bonds, traded options, corporate MEMBERS FIRMS ACTIVE ON: finance, financial futures and commodities futures on metals, oil, cereals, coffee and others. Firms regulated by SFA are active on many UK and overseas exchanges. Their earnings make a significant contribution to -- LONDON STOCK EXCHANGE the British economy. SFA has 1300 member firms. Many of them have a long and successful -- LONDON INTERNATIONAL business pedigree; others are newer ventures created in response to demand FINANCIAL FUTURES AND for new or specialised products and services. Most are located in London OPTIONS EXCHANGE where the organised markets are, some are in other UK cities and towns serving the needs of their regional client base. The greater proportion are UK firms but significant numbers are -- LONDON METAL EXCHANGE incorporated overseas, notably in North America, Japan and Western Europe, with branches in the UK. Member firms will state their membership of SFA on their stationery or -- INTERNATIONAL PETROLEUM advertisements. An updated list of members is published from time so time, EXCHANGE and a claim to membership can always be verified by checking with SFA. Whatever their activities or origin, all member firms endorse the -- LONDON COMMODITIES principles of self regulation and through the payment of subscriptions EXCHANGE cover the cost of its administration. The taxpayer does not pay for investor protection. Through representation on the Board and in committees, members help to -- OPTIONS MARKET, LONDON develop and refine the rules by bringing to bear their practical knowledge and experience. Furthermore, there is a senior person in each firm directly responsible for ensuring that this is in compliance with the -- OVERSEAS EXCHANGES rules. The Process The regulatory process undertaken by SFA has four main parts: Authorisation -- This is the initial vetting of a firm to ensure that it is suitable to be permitted to conduct investment business. Firms that seek authorisation must provide information which demonstrates that they are adequately funded, have viable business plans, that their management AUTHORISATION OF FIRMS... and staff are suitably experienced and competent and that there is no history of malpractice. SFA check the information and if applicant firms are considered to be "fit and proper" they are granted authorisation (i.e. licensed) and become members of SFA. They are obliged to comply with SFA's rules. Authorisation includes the individual registration of directors, managers and investment staff in the firm. Some will have to take an examination to show that they understand the fundamentals of market practice and regulation. Those who are not registered are not permitted to deal or to give customer advice.firms...

GOOD MARKET PRACTICE. Furthermore, good market practice is one of London's attractions for international business. SFA's aim is to deliver effective regulation which will not stifle innovation or be so restrictive that business would be ...... ATTRACTIVE TO INTERNATIONAL driven to competing international markets. BUSINESS Member Firms Firms regulated by SFA are involved in dealing or advising in securities or derivatives. This encompasses shares, bonds, traded options, corporate MEMBERS FIRMS ACTIVE ON: finance, financial futures and commodities futures on metals, oil, cereals, coffee and others. Firms regulated by SFA are active on many UK and overseas exchanges. Their earnings make a significant contribution to -- LONDON STOCK EXCHANGE the British economy. SFA has 1300 member firms. Many of them have a long and successful -- LONDON INTERNATIONAL business pedigree; others are newer ventures created in response to demand FINANCIAL FUTURES AND for new or specialised products and services. Most are located in London OPTIONS EXCHANGE where the organised markets are, some are in other UK cities and towns serving the needs of their regional client base. The greater proportion are UK firms but significant numbers are -- LONDON METAL EXCHANGE incorporated overseas, notably in North America, Japan and Western Europe, with branches in the UK. Member firms will state their membership of SFA on their stationery or -- INTERNATIONAL PETROLEUM advertisements. An updated list of members is published from time so time, EXCHANGE and a claim to membership can always be verified by checking with SFA. Whatever their activities or origin, all member firms endorse the -- LONDON COMMODITIES principles of self regulation and through the payment of subscriptions EXCHANGE cover the cost of its administration. The taxpayer does not pay for investor protection. Through representation on the Board and in committees, members help to -- OPTIONS MARKET, LONDON develop and refine the rules by bringing to bear their practical knowledge and experience. Furthermore, there is a senior person in each firm directly responsible for ensuring that this is in compliance with the -- OVERSEAS EXCHANGES rules. The Process The regulatory process undertaken by SFA has four main parts: Authorisation -- This is the initial vetting of a firm to ensure that it is suitable to be permitted to conduct investment business. Firms that seek authorisation must provide information which demonstrates that they are adequately funded, have viable business plans, that their management AUTHORISATION OF FIRMS... and staff are suitably experienced and competent and that there is no history of malpractice. SFA check the information and if applicant firms are considered to be "fit and proper" they are granted authorisation (i.e. licensed) and become members of SFA. They are obliged to comply with SFA's rules. Authorisation includes the individual registration of directors, managers and investment staff in the firm. Some will have to take an examination to show that they understand the fundamentals of market practice and regulation. Those who are not registered are not permitted to deal or to give customer advice.

GOOD MARKET PRACTICE. failure to meet adequate standards of competence, or deliberate acts of deception. Furthermore, good market practice is one of London's . . . ATTRACTIVE TO INTERNATIONAL attractions for international BUSINESS business. SFA's aim is to deliver effective regulation which will not stifle innovation or be so restrictive that business would be ...ATTRACTIVE TO INTERNATIONAL driven to competing international markets. BUSINESS Member Firms Firms regulated by SFA are involved MEMBERS FIRMS ACTIVE ON: in dealing or advising in securities or derivatives. This encompasses shares, bonds, traded options, -- LONDON STOCK EXCHANGE corporate MEMBERS FIRMS ACTIVE ON: finance, financial futures and commodities futures on metals, oil, cereals, coffee and others. -- LONDON INTERNATIONAL FINANCIAL Firms regulated by SFA are active on FUTURES AND OPTIONS EXCHANGE many UK and overseas exchanges. Their earnings make a significant contribution to -- LONDON STOCK EXCHANGE the British economy. -- LONDON METAL EXCHANGE SFA has 1300 member firms. Many of them have a long and successful -- LONDON INTERNATIONAL PETROLEUM EXCHANGE business pedigree; others are newer ventures created in response to demand FINANCIAL FUTURES AND for new or specialised -- LONDON COMMODITIES EXCHANGE products and services. Most are located in London OPTIONS EXCHANGE where the organised markets are, some are in -- OPTIONS MARKET, LONDON other UK cities and towns serving the needs of their regional client base. -- OVERSEAS EXCHANGES The greater proportion are UK firms but significant numbers are -- LONDON METAL EXCHANGE incorporated overseas, notably in North America, Japan and Western Europe, with branches in the UK. Member firms will state their membership of SFA on their stationery or -- INTERNATIONAL PETROLEUM advertisements. An updated list of members is published from time so time, EXCHANGE and a claim to membership can always be verified by checking with SFA. Whatever their activities or origin, all member firms endorse the -- LONDON COMMODITIES principles of self regulation and through the payment of subscriptions EXCHANGE cover the cost of its administration. The taxpayer does not pay for investor protection. Through representation on the Board and in committees, members help to -- OPTIONS MARKET, LONDON develop and refine the rules by bringing to bear their practical knowledge and experience. Furthermore, there is a senior person in each firm directly responsible for ensuring that this is in compliance with the -- OVERSEAS EXCHANGES rules. The Process The regulatory process undertaken by SFA has four main parts: Authorisation -- This is the initial vetting of a firm to ensure that it is suitable to be permitted to conduct investment business. Firms that seek authorisation must provide information which demonstrates that they are adequately funded, have viable business plans, that their management AUTHORISATION OF FIRMS... FIRMS . . . management and staff are suitably experienced and competent and that there is no history of malpractice. SFA check the information and if applicant firms are considered to be "fit and proper" they are granted authorisation (i.e. licensed) and become members of SFA. They are obliged to comply with SFA's rules. Authorisation includes the individual registration of directors, managers and investment staff in the firm. Some will have to take an examination to show that they understand the fundamentals of market practice and regulation. Those who are not registered are not permitted to deal or to give customer advice.

GOOD MARKET PRACTICE. Furthermore, good market practice is one of London's attractions for international business. SFA's aim is to deliver effective regulation which will not stifle innovation or be so restrictive that business would be .......ATTRACTIVE TO INTERNATIONAL driven to competing international markets. BUSINESS Member Firms Firms regulated by SFA are involved in dealing or advising in securities or derivatives. This encompasses shares, bonds, traded options, corporate MEMBERS FIRMS ACTIVE ON: finance, financial futures and commodities futures on metals, oil, cereals, coffee and others. Firms regulated by SFA are active on many UK and overseas exchanges. Their earnings make a significant contribution to -- LONDON STOCK EXCHANGE the British economy. SFA has 1300 member firms. Many of them have a long and successful -- LONDON INTERNATIONAL business pedigree; others are newer ventures created in response to demand FINANCIAL FUTURES AND for new or specialised products and services. Most are located in London OPTIONS EXCHANGE where the organised markets are, some are in other UK cities and towns serving the needs of their regional client base. The greater proportion are UK firms but significant numbers are -- LONDON METAL EXCHANGE incorporated overseas, notably in North America, Japan and Western Europe, with branches in the UK. Member firms will state their membership of SFA on their stationery or -- INTERNATIONAL PETROLEUM advertisements. An updated list of members is published from time so time, EXCHANGE and a claim to membership can always be verified by checking with SFA. Whatever their activities or origin, all member firms endorse the -- LONDON COMMODITIES principles of self regulation and through the payment of subscriptions EXCHANGE cover the cost of its administration. The taxpayer does not pay for investor protection. Through representation on the Board and in committees, members help to -- OPTIONS MARKET, LONDON develop and refine the rules by bringing to bear their practical knowledge and experience. Furthermore, there is a senior person in each firm directly responsible for ensuring that this is in compliance with the -- OVERSEAS EXCHANGES rules. The Process The regulatory process undertaken by SFA has four main parts: Authorisation -- This is the initial vetting of a firm to ensure that it is suitable to be permitted to conduct investment business. Firms that seek authorisation must provide information which demonstrates that they are adequately funded, have viable business plans, that their management AUTHORISATION OF FIRMS... and staff are suitably experienced and competent and that there is no history of malpractice. SFA check the information and if applicant firms are considered to be "fit and proper" they are granted authorisation (i.e. licensed) and become members of SFA. They are obliged to comply with SFA's rules. Authorisation includes the individual registration of directors, managers and investment staff in the firm. Some will have to take an examination to show that they understand the fundamentals of market practice and regulation. Those who are not registered are not permitted to deal or to give customer advice.

GOOD MARKET PRACTICE. Furthermore, good market practice is one of London's attractions for international business. SFA's aim is to deliver effective regulation which will not stifle innovation or be so ...ATTRACTIVE TO INTERNATIONAL restrictive that business would be ...ATTRACTIVE TO INTERNATIONAL driven to BUSINESS... competing international markets. BUSINESS Member Firms MEMBER FIRMS MEMBERS FIRMS ACTIVE ON: Firms regulated by SFA are involved in dealing or advising in securities or derivatives. This - LONDON STOCK EXCHANGE encompasses shares, bonds, traded options, corporate MEMBERS FIRMS ACTIVE ON: finance, financial futures and - LONDON INTERNATIONAL commodities futures on metals, oil, cereals, FINANCIAL FUTURES AND coffee and others. Firms regulated by SFA are OPTIONS EXCHANGE active on many UK and overseas exchanges. Their earnings make a significant contribution - LONDON METAL EXCHANGE to -- LONDON STOCK EXCHANGE the British economy. - INTERNATIONAL METAL EXCHANGE SFA has 1300 member firms. Many of them have a long and successful -- LONDON INTERNATIONAL business pedigree; others - LONDON COMMODITIES EXCHANGE are newer ventures created in response to demand FINANCIAL FUTURES AND for new or specialised products and - OPTIONS MARKET, LONDON services. Most are located in London OPTIONS EXCHANGE where the organised markets are, some are in other UK - OVERSEAS EXCHANGES cities and towns serving the needs of their regional client base. The greater proportion are UK firms but significant numbers are -- LONDON METAL EXCHANGE incorporated overseas, notably in North America, Japan and Western Europe, with branches in the UK. Member firms will state their membership of SFA on their stationery or -- INTERNATIONAL PETROLEUM advertisements. An updated list of members is published from time so time, EXCHANGE and a claim to membership can always be verified by checking with SFA. Whatever their activities or origin, all member firms endorse the -- LONDON COMMODITIES principles of self regulation and through the payment of subscriptions EXCHANGE cover the cost of its administration. The taxpayer does not pay for investor protection. Through representation on the Board and in committees, members help to -- OPTIONS MARKET, LONDON develop and refine the rules by bringing to bear their practical knowledge and experience. Furthermore, there is a senior person in each firm directly responsible for ensuring that this is in compliance with the -- OVERSEAS EXCHANGES rules. The Process THE PROCESS The regulatory process undertaken by SFA has four main parts: Authorisation -- This is the initial vetting of a firm to ensure that it is suitable to be permitted to conduct investment business. Firms that seek authorisation must provide information which demonstrates that they are adequately funded, have viable business plans, that their management AUTHORISATION OF FIRMS... and staff are suitably experienced and competent and that there is no history of malpractice. SFA check the information and if applicant firms are considered to be "fit and proper" they are granted authorisation (i.e. licensed) and become members of SFA. They are obliged to comply with SFA's rules. Authorisation includes the individual registration of directors, managers and investment staff in the firm. Some will have to take an examination to show that they understand the fundamentals of market practice and regulation. Those who are not registered are not permitted to deal or to give customer advice.: