Common use of Market Forces Clause in Contracts

Market Forces. Your payments or receipts under a transaction will be linked to changes in the particular financial market or markets to which the transaction is linked, and you will be exposed to price, currency exchange, interest rate or other volatility in that market or markets. You may sustain substantial losses on the contract, trade, product or financial investment if the market conditions move against your positions. It is in your interest to fully understand the impact of market movements, in particular the extent of profit/loss you would be exposed to when there is an upward or downward movement in the relevant rates, and the extent of loss if you have to liquidate a position if market conditions move against you. Your position may be liquidated at a loss, and you will be liable for any resulting deficit in your account with the Company. The Company may supply you with a sensitivity analysis, and if this is supplied, you would be well advised to familiarise yourself with it. However, the Company is not obliged, nor will it be obliged, to supply you with such a sensitivity analysis. Under certain market conditions you may find it difficult or impossible to liquidate a position, to assess a fair price or assess risk exposure. This can happen, for example, where the market for a transaction is illiquid or where there is a failure in electronic or telecommunications systems, and where there is the occurrence of an event commonly known as “force majeure” (which shall include without limitation, any form of restriction, moratorium or suspension on trading imposed by an exchange, market or other authority regulating trading in the transactions). Placing contingent orders, such as “stop-loss” or “stop-limit” orders, will not necessarily limit your losses to the intended amounts, as it may be impossible to execute such orders under certain market conditions. Because the prices and characteristics of over- the- counter transactions are individually negotiated and there is no central source for obtaining prices, there are inefficiencies in transaction pricing. We consequently cannot and do not warrant that our prices or the prices we secure for you for such transactions are or will at any time be the best price available to you. We may make a profit from a transaction with you no matter what result the transaction has from your point of view. An over-the-counter transaction generally cannot be assigned or transferred without the consent of the other party. The Company is not obliged to repurchase a transaction from you. Because transactions are customised and not fungible, engaging in a transaction with another dealer to offset a transaction you have entered into with the Company will not automatically close out those positions (as would be true in the case of equivalent exchange- traded futures and options) and will not necessarily function as a perfect hedge. You should be aware that if you trade through or on an electronic system, you will be exposed to the risks of any defect, deficiency or malfunction in, and/or any breakdown, disruption or failure of, any telecommunications, computer or other electronic equipment or system associated with such electronic system. This may result in the transaction not being executed according to your instructions or not executed at all. The methods and risks of trading on each electronic system may also differ. Transactions on markets in other jurisdictions, including markets formally linked to a domestic market, may expose you to additional risk. Such markets may be subject to regulation that may offer different or diminished investor protection. Before you trade, you should enquire about any rules relevant to your particular transactions. Your local regulatory authority will be unable to compel the enforcement of the rules of regulatory authorities or markets in other jurisdictions where your transactions have been effected.

Market Forces. Your payments or receipts under a transaction will be linked to changes in the particular financial market or markets to which the transaction is linked, and you will be exposed to price, currency exchange, interest rate or other volatility in that market or markets. You may sustain substantial losses on the contract, trade, product or financial investment if the market conditions move against your positions. It is in your interest to fully understand the impact of market movements, in particular the extent of profit/loss you would be exposed to when there is an upward or downward movement in the relevant rates, and the extent of loss if you have to liquidate a position if market conditions move against you. Your position may be liquidated at a loss, and you will be liable for any resulting deficit in your account with the Company. The Company may supply you with a sensitivity analysis, and if this is supplied, you would be well advised to familiarise yourself with it. However, the Company is not obliged, nor will it be obliged, to supply you with such a sensitivity analysis. Under certain market conditions you may find it difficult or impossible to liquidate a position, to assess a fair price or assess risk exposure. This can happen, for example, where the market for a transaction is illiquid or where there is a failure in electronic or telecommunications systems, and where there is the occurrence of an event commonly known as “force majeure” (which shall include without limitation, any form of restriction, moratorium or suspension on trading imposed by an exchange, market or other authority regulating trading in the transactions). Placing contingent orders, such as “stop-loss” or “stop-limit” orders, will not necessarily limit your losses to the intended amounts, as it may be impossible to execute such orders under certain market conditions. Because the prices and characteristics of over- the- over-the-counter transactions are individually negotiated and there is no central source for obtaining prices, there are inefficiencies in transaction pricing. We consequently cannot and do not warrant that our prices or the prices we secure for you for such transactions are or will at any time be the best price available to you. We may make a profit from a transaction with you no matter what result the transaction has from your point of view. An over-the-counter transaction generally cannot be assigned or transferred without the consent of the other party. The Company is not obliged to repurchase a transaction from you. Because transactions are customised and not fungible, engaging in a transaction with another dealer to offset a transaction you have entered into with the Company will not automatically close out those positions (as would be true in the case of equivalent exchange- exchange-traded futures and options) and will not necessarily function as a perfect hedge. You should be aware that if you trade through or on an electronic system, you will be exposed to the risks of any defect, deficiency or malfunction in, and/or any breakdown, disruption or failure of, any telecommunications, computer or other electronic equipment or system associated with such electronic system. This may result in the transaction not being executed according to your instructions or not executed at all. The methods and risks of trading on each electronic system may also differ. Transactions on markets in other jurisdictions, including markets formally linked to a domestic market, may expose you to additional risk. Such markets may be subject to regulation that may offer different or diminished investor protection. Before you trade, you should enquire about any rules relevant to your particular transactions. Your local regulatory authority will be unable to compel the enforcement of the rules of regulatory authorities or markets in other jurisdictions where your transactions have been effected.

Market Forces. Your The Client’s payments or receipts under a transaction will be linked to changes in the particular financial market or markets to which the transaction is linked, and you the Client will be exposed to price, currency exchange, interest rate or other volatility in that market or markets. You The Client may sustain substantial losses on the contract, trade, product or financial investment if the market conditions move against your the Client’s positions. It is in your the Client’s interest to fully understand the impact of market movements, in particular the extent of profit/loss you the Client would be exposed to when there is an upward or downward movement in the relevant rates, and the extent of loss if you have the Client has to liquidate a position if market conditions move against youthe Client. Your The Client’s position may be liquidated at a loss, and you the Client will be liable for any resulting deficit in your the Client’s account with the Company. The Company may supply you the Client with a sensitivity analysis, and if this is supplied, you the Client would be well advised to familiarise yourself be familiar with it. However, the Company is not obliged, nor will it be obliged, to supply you the Client with such a sensitivity analysis. Under certain market conditions you and/or the operational rules of certain markets (eg: the suspension of trading in any security because of price limits or halts) the Client may find it difficult or impossible to liquidate a position, to assess a fair price or assess risk exposure. This can happen, for example, where the market for a transaction is illiquid or where there is a failure in electronic or telecommunications systems, and where there is the occurrence of an event commonly known as “force majeure” (which shall include without limitation, any form of restriction, moratorium or suspension on trading imposed by an exchange, market or other authority regulating trading in the transactions). Placing contingent orders, such as “stop-loss” or “stop-limit” orders, will not necessarily limit your the Client’s losses to the intended amounts, as it may be impossible to execute such orders under certain market conditions. Because the prices and characteristics of over- the- over-the-counter transactions are individually negotiated and there is no central source for obtaining prices, there are inefficiencies in transaction pricing. We The Company consequently cannot and do does not warrant that our the Company’s prices or the prices we secure the Company secures for you the Client for such transactions are or will at any time be the best price available to youthe Client. We The Company may make a profit from a transaction with you the Client no matter what result the transaction has from your the Client’s point of view. An over-the-counter transaction generally cannot be assigned or transferred without the consent of the other party. The Company is not obliged to repurchase a transaction from youthe Client. Because transactions are customised and not fungible, engaging in a transaction with another dealer to offset a transaction you have the Client has entered into with the Company will not automatically close out those positions (as would be true in the case of equivalent exchange- exchange-traded futures and options) and will not necessarily function as a perfect hedge. You The Client should be aware that if you trade the Client trades through or on an electronic system, you the Client will be exposed to the risks of any defect, deficiency or malfunction in, and/or any breakdown, disruption or failure of, any telecommunications, computer or other electronic equipment or system associated with such electronic system. This may result in the transaction not being executed according to your the Client’s instructions or not executed at all. The methods and risks of trading on each electronic system may also differ. Transactions on markets in other jurisdictions, including markets formally linked to a domestic market, may expose you the Client to additional risk. Such markets may be subject to regulation that may offer different or diminished investor protection. Before you tradethe Client trades, you the Client should enquire about any rules relevant to your the Client’s particular transactions. Your The Client’s local regulatory authority will be unable to compel the enforcement of the rules of regulatory authorities or markets in other jurisdictions where your the Client’s transactions have been effected.