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Futures (Hong Kong and Global) and Options (Hong Kong

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Brokerage 50% off
From 1st June, 2017 to 31st August, 2017, Clients trading Specific Futures
(Hong Kong and Global) and Options (Hong Kong)* can enjoy 50% off for
For further information or opening a futures account, please contact
* Details and lists of specific Hong Kong futures and options and global
futures are as follows.
Futures (Hong Kong and Global) and Options (Hong Kong) Promotion
Global Futures Promotion Brokerage Normal Brokerage
E-mini S & P
E-mini Dow
Taiwan Index
Xinhua China
A50 Index
Nifty Index
SGX Nikkei
225 Index
Global Futures Promotion Brokerage Normal Brokerage
British Pound US 5 / US 12.5 / US 10 / US 25 /
US 5 US 12.5 US 10 US 25
Euros US 5 / US 12.5 /
US 10 / US 25 /
Swiss Franc US 5 / US 12.5 /
US 10 / US 25 /
Japanese Yen US 5 / US 12.5 /
US 10 / US 25 /
New Zealand
Metal & Energy Futures
US 20 / US 30 /
Silver US 10 / US 15 /
US 20 / US 30 /
Copper US 10 / US 15 /
US 20 / US 30 /
Palladium US 10 / US 15 /
US 20 / US 30 /
Light Sweet
Crude Oil
Global Futures Promotion Brokerage Normal Brokerage
2 Yrs US
5 Yrs US
10 Yrs US
Hong Kong Futures Contract Promotion
Brokerage Normal Brokerage
Hang Seng
Brokerage Normal Brokerage
Brokerage Normal Brokerage
Hang Seng
Brokerage Normal Brokerage
Hong Kong Futures Contract Promotion
Brokerage Normal Brokerage
London Tin
List of Promotion for Hong Kong Options
Hong Kong Options Trading Promotions Brokerage
Products Offline
H-Share Index
Index Options HKD10 (Fixed) HKD7.5(Fixed) HKD20(Fixed) HKD15(Fixed)
Terms and Conditions of Futures (Hong Kong and Global) and Options (Hong
Kong) Promotion (“T&Cs”)
1. Futures (Hong Kong and Global) and Options (Hong Kong) Promotion (“the
Promotion”) of Kim Eng Futures (Hong Kong) Limited (“Kim Eng”)
commences on 1 June, 2017 and ends on 31 August, 2017 (“Promotion Period”)
(both dates inclusive) and is only applicable to the transactions trading under List
of Promotion for Hong Kong and Global Futures and List of Promotion for Hong
Kong Options.
2. Client including existing client and new client opening a futures account who
submit(s) a new application for the Promotion during the Promotion period.
Client should read the T & Cs and the risk disclosure statement as stated herein
3. After the successful applications, eligible client shall be eligible for the offer of
the Promotion during the Promotion Period.
4. Client must go through the suitability assessment before participating the
5. The Promotion is not valid and cannot be used in conjunction with any other
ongoing campaigns related to Futures and Options offered by Kim Eng from
time to time, unless notified otherwise.
6. The Promotion is not eligible for client who receives margin call notice for
his/her margin account under Kim Eng Securities (Hong Kong) Limited.
7. The Promotion offer is not applicable to Kim Eng Securities (Hong Kong)
Limited’s contract and permanent staff and their direct family members.
8. By participating in this Promotion, the client should:
(a) agree that client has read and understood the T&Cs and the Risk Disclosure
Statements herein and agree to be bound by the T&Cs of the Promotion;
(b) agree that Kim Eng’s decision on all matters relating to the Promotion,
including the eligibility of Client to participate in the Promotion, shall be final
and binding;
(c) agree that all applications are subject to Kim Eng’s credit evaluation and
9. Kim Eng reserves the right to reject at its sole and absolute discretion any
application submitted without assigning any reason thereof.
10. Client is liable and shall personally bear all applicable fees and any other charges
that may be levied against them under applicable laws, if any, in relation to their
participation in the Promotion.
11. Kim Eng reserves the right to suspend, amend or terminate the Promotion from
time to time, and to amend the rights of the terms and conditions without further
12. Before making any investment decision, investors should carefully consider their
own circumstances, risk tolerance, investment experience and investment
objectives. If you are in doubt, you should seek independent legal, financial and
other professional advice.
13. All remarks and footnotes stated in the Promotion materials shall form part of the
Warning to Option Holders
Some options may only be exercised on its expiry day (european-style exercise) and
other options may be exercised at any time before expiration (american-style exercise).
Client understands that upon exercise some options require delivery and receipt of the
underlying commodities and that other options require a cash payment.
An option is a wasting asset and there is a possibility that as an option holder client
may suffer the loss of the total premium paid for the option. Client acknowledges that,
as an option holder, in order to realise a profit it will be necessary to either exercise
the option or close the long option position in the market. Under some circumstances
it may be difficult to trade the option due to lack of liquidity in the market. Client
acknowledges that Kim Eng has no obligation either to exercise a valuable option in
the absence of client’s instruction or to give to client’s prior notice of the expiration
date of the option.
Warning to Option Writers
As a writer of an option client may be required to pay additional margin at any time.
Clients acknowledge that as an option writer, unlike an option holder, client may be
liable for unlimited losses based on the rise or fall of the price of the underlying
commodities and client’s gains are limited to the option premium.
Additionally, writers of american-style call (put) options may be required at any time
before expiry to deliver (pay for) the underlying securities to the full value of the
strike price multiplied by the number of underlying commodities. Client recognises
that this obligation may be wholly disproportionate to the value of premium received
at the time the options were written and may be required at short notice.
Risk of Trading Futures and Options
The risk of loss in trading futures contracts or options is substantial. In some
circumstances, client may sustain losses in excess of client’s initial margin funds.
Placing contingent orders, such as “stop-loss” or “stop-limit” orders, will not
necessarily avoid loss. Market conditions may make it impossible to execute such
orders. Client may be called upon at short notice to deposit additional margin funds. If
the required funds are not provided within the prescribed time, client’s position may
be liquidated. Client will remain liable for any resulting deficit in client account.
Client should therefore study and understand futures contracts and options before
client trades and carefully consider whether such trading is suitable in the light of
client’s own financial position and investment objectives. If client trades options
client should be familiar with the exercise and expiration procedures and client rights
and obligations upon exercise or expiry.
This brief statement does not disclose all of the risks and other significant aspects of
trading in futures and options. In light of the risks, client should undertake such
transactions only if client understands the nature of the contracts (and contractual
relationships) into which client is entering and the extent of client’s exposure to risk.
Trading in futures and options is not suitable for many members of the public. Client
should carefully consider whether trading is appropriate for me/us in light of client’s
experience, objectives, financial resources and other relevant circumstances.
Effect of ‘Leverage’ or ‘Gearing’ of Futures
Transactions in futures carry a high degree of risk. The amount of initial margin is
small relative to the value of the futures contract so that transactions are “leveraged”
or “geared”. A relatively small market movement will have a proportionately larger
impact on the funds client has deposited or will have to deposit: this may work against
client. Client may sustain a total loss of initial margin funds and any additional funds
deposited with the firm to maintain client’s position. If the market moves against
client’s position or margin levels are increased, client may be called upon to pay
substantial additional funds on short notice to maintain my/our position. If client fails
to comply with a request for additional funds within the time prescribed, client’s
position may be liquidated at a loss and client will be liable for any resulting deficit.
Risk-reducing Orders or Strategies of Futures
The placing of certain orders (e.g. “stop-loss” orders, or “stop-limit” orders) which
are intended to limit losses to certain amounts may not be effective because market
conditions may make it impossible to execute such orders. Strategies using
combinations of positions, such as “spread” and “straddle” positions may be as risky
as taking simple “long” or “short” positions.
Variable Degree of Risk of Options
Transactions in options carry a high degree of risk. Purchasers and sellers of options
should familiarize themselves with the type of options (i.e. put or call) which they
contemplate trading and the associated risks. Client should calculate the extent to
which the value of the options must increase for your position to become profitable,
taking into account the premium and all transaction costs.
The purchaser of options may offset or exercise the options or allow the options to
expire. The exercise of an option results either in a cash settlement or in the purchaser
acquiring or delivering the underlying interest. If the option is on a futures contract,
the purchaser will acquire a futures position with associated liabilities for margin. If
the purchased options expire worthless, client will suffer a total loss of client
investment which will consist of the option premium plus transaction costs. If client is
contemplating purchasing deep-out-of-the-money options, client should be aware that
the chance of such options becoming profitable ordinarily is remote.
Selling (‘writing’ or ‘granting’) an option generally entails considerably greater risk
than purchasing options. Although the premium received by the seller is fixed, the
seller may sustain a loss well in excess of that amount. The seller will be liable for
additional margin to maintain the position if the market moves unfavorably. The seller
will also be exposed to the risk of the purchaser exercising the option and the seller
will be obligated to either settle the option in cash or to acquire or deliver the
underlying interest. If the option is on a futures contract, the seller will acquire a
position in a futures contract with associated liabilities for margin. If the option is
‘covered’ by the seller holding a corresponding position in the underlying interest or a
futures or another option, the risk may be reduced. If the option is not covered, the
risk of loss can be unlimited.
Certain exchanges in some jurisdictions permit deferred payment of the option
premium, exposing the purchaser to liability for margin payments not exceeding the
amount of the premium. The purchaser is still subject to the risk of losing the
premium and transaction cost. When the option is exercised or expires, the purchaser
is responsible for any unpaid premium outstanding at that time.
The information contained in the promotion leaflet does not constitute an offer or
solicitation for the subscription or sell and purchase of any securities, futures or
options, or any prediction of likely future movements in prices of any investment
products and should not be treated as an investment recommendation. The participants
of this promotion offer shall assume full responsibilities for their own actions and
decisions made. Kim Eng Futures (Hong Kong) Limited had taken reasonable and
appropriate measures to secure its obligations in this promotion activity and shall not
be responsible for any losses, damages or fees incurred by the customers as a result of
this offer. Investment involves risks and the prices of securities may go up or down
and may even become valueless. Investors should read the relevant Risk Disclosure
Statement and relevant documents before making any investment decision. If there is
any inconsistency or conflict between the English and Chinese versions of this offer,
the English version shall prevail.

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