Client Categorisation

Professional client is a client who possesses the experience, knowledge and expertise to make its own investment decisions and properly assess the risks that it incurs. In order to be considered to be professional client, the client must comply with the following criteria:

1. Entities which are required to be authorised or regulated to operate in the financial Markets, including entities authorised by EU Member State, and entities authorised or regulated by a third country:
   1. Credit institutions;
   2. IFs;
   3. Other authorised or regulated financial institutions;
   4. Insurance companies;
   5. Collective investment schemes and management companies of such schemes;
   6. Pension funds and management companies of such funds;
   7. Commodity and commodity derivatives dealers;
   8. Locals;
   9. Other institutional investors;
2. Large undertakings meeting two of the following size requirements on a company basis:
   ·       balance sheet total: EUR 20 000 000
   ·       net turnover: EUR 40 000 000
   ·       own funds: EUR 2 000 000
3. National and regional governments, including public bodies that manage public debt at national or regional level, Central Banks, international and supranational institutions such as the World Bank, the International Monetary Fund, the European Central Bank, the European Investment Bank and other similar international organisations.
4. Other institutional investors whose main activity is to invest in financial instruments, including entities dedicated to the securitisation of assets or other financing transactions.

When a client is considered a professional client, the Company must inform prior to undertaking any services that he/she will be treated as a professional client, unless otherwise agreed between the parties. In addition, the Company must inform the client that he/she can request to be treated as non-professional, and thus be subject to a higher level of protection. It is the client’s responsibility to request to be treated as a non-professional.

Eligible counterparties, are Cyprus Investment Firms, other IFs, credit institutions, insurance companies, UCITS and UCITS management companies, pension funds and their management companies, other financial institutions authorised by a EU Member State or regulated under the laws of Cyprus or under European Union law, national governments and their corresponding offices, including public bodies that deal with public debt at national level, central banks, the Central Bank and supranational organisations. In addition, the Cyprus Securities and Exchange Commission, recognizes as eligible other undertakings meeting pre-determined proportionate requirements, including quantitative thresholds.

In dealing with these counterparties, the Company shall act honestly, fairly and professionally in their dealings and to communicate in a way which is fair, clear and not misleading.

When dealing with eligible counterparties, the Company obtains express confirmation from the prospective counterparty that it agrees to be treated as an eligible counterparty. This confirmation is obtained either in the form of a general agreement or in respect of each individual transaction.

Retail client means a client who is not a professional client.