Common use of SETTLEMENT DATE AND ROLLOVERS Clause in Contracts

SETTLEMENT DATE AND ROLLOVERS. a. FX: With respect to FX Transactions in an Account, the Customer agrees that open positions at the Closing for value tomorrow will be rolled for value next day so that no physical settlement will take place. b. FX: The Customer’s Account shall be charged rollover charges in such amounts as notified by Velocity from time to time or as set out in the Product Information Sheet. Velocity may change such charges and rollover requirements at any time. c. CFD: A CFD Transaction does not provide you with any interest in or ownership of the underlying Instrument that is the subject of the Transaction. d. CFD: A CFD Transaction will remain ‘open’ for an indefinite period until the position is closed. As most Instruments have no maturity date, open positions will be rolled onto the next day unless you close your position, or the position is closed by Velocity under the terms of this Agreement. e. CFD: Velocity determines the value of the CFD Transaction as at Closing. Where the Client is in a long position in respect of the Transaction that is rolled-over, Velocity credits the Account with an amount equivalent to overnight interest to the next trading date equal to the applicable interest set out in the Product Information Sheet. Where the Client is in a short position in respect of the Transaction, Velocity debits the Account with an amount equivalent to overnight interest to the next trading date equal to the applicable interest set out in the Product Information Sheet. In addition to the interest as aforesaid, Velocity shall be entitled to charge such fees as set out in the applicable Product Information Sheet in respect of each Transaction that is rolled over. f. CFD: If a CFD Transaction is open at Closing prior to a relevant ex-dividend date Velocity, acting reasonably, will apply a dividend adjustment taking into account various factors including the weighting of the companies concerned in the relevant index, changes in law, regulation, rates of tax including the withholding tax requirements of any relevant tax authority such that long positions will be credited with the relevant adjustment and short positions will be debited with the relevant adjustment. g. CFD: Velocity will act reasonably and in good faith taking into account the nature of any Corporate Action that may occur and may in its discretion, without notice, change pricing, spreads and Margin factors if it deems it necessary to reflect the effect of any Corporate Action on a Transaction including where necessary closing or cancelling Transactions.