Financial Services Guide - OCM

By: Online Forex Trading  05-Apr-2012
Keywords: Financial Services Guide

OCM Online Capital Markets Pty Ltd
ACN 140 899 476
Level 2 19-21 Hunter St. Sydney
NSW 2000
Australia

FINANCIAL SERVICES GUIDE

AUSTRALIAN FINANCIAL SERVICES
LICENCE NO: 343628

DATE: 31 May 2010

Table of Contents

1. PURPOSE FOR THIS FINANCIAL SERVICES GUIDE 1
2. THIS GUIDE CONTAINS IMPORTANT INFORMATION ABOUT: 1
3. ABOUT O.C.M ONLINE CAPITAL MARKETS PTY LTD. 1
4. WHO IS RESPONSIBLE FOR THE FINANCIAL SERVICES PROVIDED? 2
5. FINANCIAL SERVICES AND FINANCIAL PRODUCTS 2
6. OTHER DOCUMENTS 3
7. STATEMENT OF ADVICE 3
8. WHO WE ACT FOR 4
9. THE NATURE OF THE ADVICE 4
10. HOW YOU CAN GIVE US INSTRUCTIONS 4
11. HOW TRANSACTIONS ARE CONFIRMED TO YOU 4
12. HOW YOUR PERSONAL INFORMATION IS DEALT WITH 5
13. HOW WE ARE REMUNERATED FOR THE SERVICS WE PROVIDE 5
14. HOW OUR EMPLOYEES ARE REMUNERATED 6
15. OUT ASSOCIATIONS & RELATIONSHIPS WITH OTHERS 6
16. OUT INSURANCE ARRANGEMENTS 7
17. COMPLAINTS 7
18. OUR CONTACT DETAILS 7

FINANCIAL SERVICES GUIDE

1. PURPOSE OF THIS FINANCIAL SERVICES GUIDE
The purpose of this Financial Services Guide (“FSG”) is to provide you with key information about, and the financial services offered by OCM Online Capital Markets Pty Limited (“The Company”) to help you in making an informed decision about whether to use our services.
Further detail about our services and the products we offer is also available on our website at (“the website domain”).
When we use the term “you” (or “Client”) we mean you, as the user of our products.
This FSG may be viewed online on The Company’s website domain. You should ensure that you download and read the entire FSG. A paper copy of the FSG is also available, free of charge to any person in Australia, on request.

2. THIS GUIDE CONTAINS IMPORTANT INFORMATION ABOUT:

• who we are;
• the services and products we offer;
• the remuneration and other benefits that may be paid to us, our employees or others;
• any associations or relationships we may have with financial product issuers;
• our internal and external dispute resolution procedures and how you can access them if you have a complaint against us;
• our compensation arrangements; and
• how you can contact us.

The information contained in this FSG is general information only and has been prepared without taking into account the Client’s objectives, financial situation or needs. We provide no warranty regarding the suitability for the Client of any of the services described in this FSG.

3. ABOUT THE COMPANY

The Company trades as “Xforex” which is a registered trademark and in respect of which the business name “Xforex” is registered in Western Australia. The Company is an Australian incorporated company which was registered in 2009. The Company is a wholly owned subsidiary of OLCM Holdings Limited of Cyprus (“OLCM”). OLCM is a privately owned company which is governed by Cypriot law, registration number HE222651. As such, it is part of the OLCM Group, which has established online development, marketing, consulting and operations in the fields of derivative trading.
The Company intends to operate using the name Xforex only in Australia and in doing so will offer advanced, but easy to use, trading tools along with low account minimums and extensive educational resources. Xforex will be among the business name used throughout the OLCM Group around the world for the provision of financial services to retail clients.
The Company provides you with various trading services, including a highly efficient, properly controlled trading environment as well as support features and extensive educational resources enabling Clients to trade in various financial products.
Our mission is to provide our clients with:
• leading edge technology;
• best execution; and
• exemplary customer service.
The Company aims to establish a constant relationship with their clients, based on professionalism, integrity and mutual cooperation.
The Company is regulated by the Australian Securities and Investments Commission (“ASIC”).
4. WHO IS RESPONSIBLE FOR THE FINANCIAL SERVICES PROVIDED?
The Company is responsible for the financial services provided, including the distribution of this FSG. The Company holds an Australian Financial Services Licence (“AFS Licence”) issued by ASIC (AFS Licence 343628).
OLCM (or another company) will provide The Company with the use of its automated electronic trading platform which The Company will in turn make available to Clients.

5. FINANCIAL SERVICES AND FINANCIAL PRODUCTS

We are authorised by our AFS Licence to provide the following financial services to retail and wholesale Clients:

  • Provide financial product advice with respect to derivatives and foreign exchange contracts;
  • Deal in derivatives and foreign exchange contracts; and
  • Make a market in derivatives and foreign exchange contracts.

6. OTHER DOCUMENTS

You must carefully read this FSG as well as our Product Disclosure Statement (PDS), and the Client Agreement. A copy of the PDS and the Client Agreement, which sets out the contractual relationship between The Company and the Client, can be downloaded from the Company website domain. You must confirm via the online application that you have read this FSG, and the PDS, and that you accept the terms and conditions set out in the Client Agreement before you can trade with us and enter into transactions. These documents contain important information about the financial services and products we offer, including information about the associated risks and costs and details of other fees and charges which may apply.
The Client Agreement sets out the basis of our ongoing relationship with you including the basis upon which transactions will take place and the obligations of both The Company and the Client.
The PDS has been prepared by us and contains information about the particular financial products we offer, including significant risks and details of fees and charges which apply. The PDS will assist you in making an informed decision about the products offered by The Company.

7. STATEMENT OF ADVICE

In general, we will not provide you with personal advice, that is, advice that takes into account one or more of your objectives, financial situation and needs or advice which could reasonably be regarded as having done so. However, in limited circumstances we may provide personal advice. In such circumstances, we will give you (and you may request) a Statement of Advice (“SoA”) or a Statement of Additional Advice (“SoAA”) or a Record of Advice (“RoA”).
Where personal advice is given, the SoA/SoAA provided will contain the advice, the basis on which it is given and other information such as our fees and any associations we have with financial product issuers or other parties which may have influenced the advice.
You will not receive a SoA or SoAA where we give you further personal advice (after the initial personal advice) and your relevant personal circumstances are not significantly different from your relevant personal circumstances in our previous SoA or SoAA. In such cases the details of such personal advice will be documented in a RoA. We will maintain records of any RoA for at least 7 years.
Should you require a copy of any SoA/SoAA/RoA then please contact us to request a copy. Our contact details are set out in clause 18 of this FSG.

8. WHO WE ACT FOR

The Company acts as principal and not as your agent or broker. When we receive your instructions and execute them, we are the party to the other side of the transaction and the party with whom you are entering a contract.

9. THE NATURE OF THE ADVICE

In general, The Company will only provide general advice regarding financial products that you can acquire through us. This information or advice will not take into consideration your particular objectives, financial situation or needs. These issues should be considered by you before making any investment decision on the basis of any information or general advice that we provide to you.
Under the law governing financial services, general advice has a defined meaning which may be different to what you understand or expect general advice to mean. In the context of the provision of financial services, general advice can include information or an opinion about the financial products and the markets but general advice does not include any direct or implied recommendation that the financial products referred to are appropriate to your particular objectives, financial situation or needs.
We recommend that you take all reasonable steps to fully understand the possible outcomes of trades and strategies in relation to utilising the Company Trading Platform whereby you enter into Transactions.

10. HOW YOU CAN GIVE US INSTRUCTIONS

You can instruct us in the following ways:

  • Electronically through our internet online Trading Platform to which you will be granted access; or
  • By telephone if the Trading Platform is unavailable.

The Company reserves the right not to accept instructions in any of the ways described above where we cannot verify the identity of the Client.

11. HOW TRANSACTIONS ARE CONFIRMED TO YOU

The Company will maintain accurate records of all Client orders and trades executed. The Company will provide you with documentation to confirm the transactions you have executed. We will provide electronic access to all trade confirmations to you automatically via the Trading Platform. You can access your account or call a The Company representative at any time to view and/or obtain details of your transactions, account balances and open positions.
You must review any confirmation or statement to ensure its accuracy and you must report any discrepancies to us soon as reasonably practical. Confirmations are deemed to be conclusive and binding on you if not objected to in writing within one Business Day of the transaction being entered into.

12. HOW YOUR PERSONAL INFORMATION IS DEALT WITH

We recognise the importance of ensuring that you have confidence in the way we handle your personal information and that it is kept private. We have procedures which include the secure storage of your personal information. A copy of our Privacy Policy is available on our website or by contacting us and requesting a copy.
The Company recognises that it uses knowledge which it has about its Clients in a way that is likely to advance its own interests. However that is the nature of our business as a market maker in financial products, and The Company has policies and procedures designed to minimise any actual or potential conflicts between its own interests, and those of its Clients.
You are entitled to access your personal information that The Company holds. You also have the right to correct or ask us to correct information about you that is inaccurate, incomplete or out of date.
In accordance with the Anti-Money Laundering and Counter-Terrorism Act 2006, The Company has an obligation to collect information about, and verify the identity of, its Clients. This information is referred to as Know Your Client information or KYC information. The Company will carry out its Customer identification and verification procedures in accordance with the Anti-Money Laundering and Counter-Terrorism Act 2006 and the Privacy Act 1988.

13. HOW WE ARE REMUNERATED FOR THE SERVICES WE PROVIDE

Spread
Prices and rates quoted by The Company in respect of the financial products offered will include a spread in favour of The Company. The Company acts as a market maker and generates its income from the spreads which are embedded in the rates and prices quoted. The spread is the difference between the price or rates quoted by The Company and the sale or purchase price (as the case may be) in respect of the particular financial product, that is the spread is the difference between the rate quoted by us and the rate at which we buy or sell the financial products to or from our Clients. This spread is factored into the prices and rates quoted to clients and are not additional charges to the Client.

Inactive Accounts
If there is no trading activity for a period of one year on a Client account, The Company may charge a fixed fee of $10 per year for you to maintain the account. If there are insufficient funds in the account for this purpose, The Company reserves the right to charge a lower administrative fee and/or to close the account.

Interest
Client funds are payable into The Company’s Client trust account which is a segregated trust account held, used and withdrawn in accordance with the Corporations Act and the Client Agreement. All interest that may accrue on the Client trust account is retained by The Company for its own benefit.
A daily swap charge may apply to each financial instrument open position at the closing of the Company’s trading day as regard to that financial instrument. If such swap charge is applicable, it will either credited or debited by the Client’s account, depending of the nature of the position Client holds.

No Commission
The Company does not charge fees or commission such as brokerage to its clients.

Hedging counterparties
If any commission is received from a hedging counterparty this is payable by that hedging counterparty direct to us and is not an additional charge to the Client. Any such commission from hedging counterparties may be based on volumes of business transacted with the hedging counterparty.

Further Information
Client’s may request particulars of our remuneration (including commission) or other benefits provided the request is made within a reasonable time after the Client is given this FSG and before any financial services identified in this FSG are provided to the Client.

Charges
The Company reserves the right to review its charges where a service is outside the standard Trading Platform functionality.

14. HOW OUR EMPLOYEES ARE REMUNERATED

Our employees are paid by way of salary and may also receive discretionary bonuses linked to performance.
Our employees may also qualify for non-monetary benefits if they meet performance targets. Incentives include non-monetary rewards such as sports tickets and attendance at conferences. The type of these benefits will vary depending on particular circumstances, such as the employee’s position and the particular service provided. We maintain a register of any benefits that our representatives receive.

15. OUR ASSOCIATIONS & RELATIONSHIPS WITH OTHERS

We do not have any relationships or associations with financial product issuers which might influence us in providing you with our financial services. The Company is the issuer of the financial products it offers.

16. OUR INSURANCE ARRANGEMENTS

The Company has professional indemnity ("PI") insurance arrangements in place as required under section 912B of the Corporations Act. Our PI insurance takes into account the nature and volume of our business, the number of Clients and kind of Clients we have, our representatives and the maximum potential extent of our liability.
Our PI insurance also covers claims in relation to the conduct of representatives and employees who no longer work for us but who did at the time of the relevant conduct.

17. COMPLAINTS

We want to know about any problems or concerns you may have with our advice or services so we can take steps to resolve the issue. We have internal and external dispute resolution procedures to resolve complaints from Clients. A copy of these procedures may be obtained by contacting us and requesting a copy.
Initially, all complaints will be handled and investigated internally. Should you still feel dissatisfied with the outcome, you have the ability to escalate your concerns to an external body for a resolution.

If you have a complaint about the financial services provided to you, please take the following steps:

  1. If you are dissatisfied with the outcome of our investigation, you have the right to complain to the Australian Financial Ombudsman Service Limited (“FOS”) who may be contacted on 1300 780 808 or in writing at G.P.O. Box 3, Melbourne VIC 3001.
  2. You can contact ASIC in Australia on 1300 300 630. This is a Freecall Infoline. This is another alternative that you may use to make a complaint and obtain information about your rights.

18. OUR CONTACT DETAILS

You can contact us by the following means:
Telephone
Call us on +67 290 372997
Mail
Write to us at OCM Online Capital Markets Ltd. Level 2 19-21 Hunter St. Sydney, NSW, 2000 Australia
Fax
Send us a fax to +67 290 372997
Email
Send us an email to
In person
Visit our offices at Level 2 19-21 Hunter St. Sydney, NSW, 2000 Australia
Visit our Website at

The information in this article was current at 27 Mar 2012

Keywords: Financial Services Guide

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