Foreign Currency Accounts. The provisions of this Section shall apply to any account which will hold a currency denominated in any currency other than United States Dollars (USD) (each such currency referred to as a “Foreign Currency” and each such account referred to as a “Foreign Currency Account”). Each Foreign Currency Account shall be established, and the Foreign Currency or Foreign Currencies to use in any specific transaction shall be determined by me. Whether made in cash, by wire transfer or by other means, any withdrawal, payment or transfer from any Foreign Currency Account will be made in the Foreign Currency designated by me for such transaction, and the Foreign Currency Account shall be debited in such Foreign Currency, including any applicable fees, as a result of any such withdrawal, payment or transfer. Notwithstanding any other provisions of this agreement, no withdrawal, payment or transfer from any Foreign Currency Account may be made by means of a check drawn against such account. I understand should RBC CM accept any instructions given by me or any authorized party for your Foreign Currency Account in a currency other than USD, I must either have a Foreign Currency Account containing the specified Foreign Currency with a sufficient balance or RBC CM shall proceed to debit your Foreign Currency Account for the USD equivalent of the amount of Foreign Currency to be paid at the RBC CM prevailing rate of exchange, whether such exchange is from USD or a different Foreign Currency. I further agree that the actual execution of the instructions may be reasonably delayed by you or subject to the timing required for settlement of the foreign exchange transaction (or both), as appropriate, in order to complete the conversion of currency, if necessary, and you shall not be liable to me or any other party for any costs, expenses, interest or claims arising from such delays, including any interest on amounts to be transferred pursuant to such Instructions. Such timing can vary depending on the currency involved, time zones, local processing turnaround and other factors. The profit or loss in the currency conversion of any foreign trade will be affected by fluctuations in currency rates where there is a need to convert from one currency to another. I further understand and agree that you shall have the right to convert foreign currency or foreign securities to USD in order to satisfy any obligation I may have outstanding (e.g. margin calls, foreign tax withholding, etc.) with you at the RBC CM prevailing rate of exchange. The foreign currency conversion rate that appears on your trade confirmation includes your spread-based revenue (“spread”) for performing this function, in addition to any commissions or fees related to the foreign trade or your Account. Spread is the difference between the rate you obtain and the rate I receive. The foreign currency conversion rate and your spread will depend on market fluctuations as well as the amount, date and type of foreign currency transaction. In performing foreign currency transactions, I understand you may act as agent or principal. You may, at your discretion, reject a foreign currency transaction request. You convert foreign currencies on the day you carry out your foreign trade. Any Foreign Currency held in your account shall at all times and for all purposes be and remain denominated in the applicable Foreign Currency such that your account balance may be designated in multiple currencies. At any and all times, your calculation of the balance in any Foreign Currency Account, as evidenced in your records, shall (absent manifest error) be conclusive. Except to the extent otherwise required by the context thereof, any references to USD (or to specific USD amount) in this agreement, in the agreement governing your account or in any other account documents now or hereafter applicable to any Foreign Currency Account, shall, with respect to such account, be deemed to refer instead to the applicable Foreign Account Currency (or to equivalent amounts in the Foreign Account Currency) and, without limiting the generality of the foregoing, I agree that: (i) any such reference to a minimum average balance requirement expressed in USD shall at all times apply to any Foreign Currency Account as though expressed in the then equivalent amount in the applicable Foreign Currency; (ii) any such reference to any other minimum or maximum amount expressed in USD shall at all times apply with respect to any Foreign Currency Account as though expressed in the then equivalent amount in the applicable Foreign Currency; and (ii) any such reference to any service commission or other fee or charge expressed in USD (including any such reference in any fee schedule furnished to me by you) shall at all times apply with regard to any Foreign Currency Account as though expressed in the then equivalent amount in the Foreign Currency. For all purposes relating to any Foreign Currency Account, the amount in the applicable Foreign Currency at any time equivalent to any given amount in USD shall be calculated at the then prevailing currency exchange rate as determined (absent manifest error) by you. By establishing and/ or utilizing any Foreign Currency Account, I certify and acknowledge that I am doing so on your own initiative based upon an informed decision which I have reached after making such investigations and performing such analyses as I have deemed appropriate. Foreign Currency that I deposit or maintain in a Foreign Currency Account will be on deposit at an affiliated bank of yours. I understand that Foreign Currency is not eligible for FDIC coverage nor any equivalent of such protection under the laws of any foreign jurisdiction. Balances maintained in your Foreign Currency Account with the intent to purchase securities may earn interest at current rates then afforded to similar deposit accounts at the bank at which your Foreign Currency is deposited. Foreign securities and foreign cash held with the intent to purchase securities are eligible for SIPC coverage. Foreign Currency transactions or investments in Foreign Currency are ineligible for SIPC protection. Foreign Currency will not automatically invest under an Automatic Sweep Investment option/Cash Sweep program. There are a number of different risks associated with foreign securities; including but not limited to country risk (political, social, and/or economic instability), native governmental, regulatory and taxation rules that differ from U.S. regulatory requirements or may be at odds with your stated investment objectives and/or currency risk. Before investing in any foreign security, I will become knowledgeable about that country’s political, social and economic conditions, as well as its tax laws and securities regulations and consider such factors in connection with all investment decisions. Further, I understand that issuers of foreign securities may not publish or make available to shareholders prospectuses, annual reports, proxies or other shareholder documents and that even if published, such documents may not be available in English. RBC CM’s sole obligation with respect to such documents is to forward the documents as received by RBC CM from the issuer of the securities for your account.
Appears in 1 contract
Sources: Customer Account Agreement
Foreign Currency Accounts. The provisions of this Section shall apply to any account which will hold a currency denominated in any currency other than United States Dollars (USD) (each such currency referred to as a “Foreign Currency” and each such account referred to as a “Foreign Currency Account”). Each Foreign Currency Account shall be established, and the Foreign Currency or Foreign Currencies to use in any specific transaction shall be determined by me. Whether made in cash, by wire transfer or by other means, any withdrawal, payment or transfer from any Foreign Currency Account will be made in the Foreign Currency designated by me for such transaction, and the Foreign Currency Account shall be debited in such Foreign Currency, including any applicable fees, as a result of any such withdrawal, payment or transfer. Notwithstanding any other provisions of this agreement, no withdrawal, payment or transfer from any Foreign Currency Account may be made by means of a check drawn against such account. I understand should RBC CM accept any instructions given by me or any authorized party for your Foreign Currency Account in a currency other than USD, I must either have a Foreign Currency Account containing the specified Foreign Currency with a sufficient balance or RBC CM shall proceed to debit your Foreign Currency Account for the USD equivalent of the amount of Foreign Currency to be paid at the RBC CM prevailing rate of exchange, whether such exchange is from USD or a different Foreign Currency. I further agree that the actual execution of the instructions may be reasonably delayed by you or subject to the timing required for settlement of the foreign exchange transaction (or both), as appropriate, in order to complete the conversion of currency, if necessary, and you shall not be liable to me or any other party for any costs, expenses, interest or claims arising from such delays, including any interest on amounts to be transferred pursuant to such Instructions. Such timing can vary depending on the currency involved, time zones, local processing turnaround and other factors. The profit or loss in the currency conversion of any foreign trade will be affected by fluctuations in currency rates where there is a need to convert from one currency to another. I further understand and agree that you shall have the right to convert foreign currency or foreign securities to USD in order to satisfy any obligation I may have outstanding (e.g. margin calls, foreign tax withholding, etc.) with you at the RBC CM prevailing rate of exchange. The foreign currency conversion rate that appears on your trade confirmation includes your spread-based revenue (“spread”) for performing this function, in addition to any commissions or fees related to the foreign trade or your Account. Spread is the difference between the rate you obtain and the rate I receive. The foreign currency conversion rate and your spread will depend on market fluctuations as well as the amount, date and type of foreign currency transaction. In performing foreign currency transactions, I understand you may act as agent or principal. You may, at your discretion, reject a foreign currency transaction request. You convert foreign currencies on the day you carry out your foreign trade. Any Foreign Currency held in your account shall at all times and for all purposes be and remain denominated in the applicable Foreign Currency such that your account balance may be designated in multiple currencies. At any and all times, your calculation of the balance in any Foreign Currency Account, as evidenced in your records, shall (absent manifest error) be conclusive. Except to the extent otherwise required by the context thereof, any references to USD (or to specific USD amount) in this agreement, in the agreement governing your account or in any other account documents now or hereafter applicable to any Foreign Currency Account, shall, with respect to such account, be deemed to refer instead to the applicable Foreign Account Currency (or to equivalent amounts in the Foreign Account Currency) and, without limiting the generality of the foregoing, I agree that: (i) any such reference to a minimum average balance requirement expressed in USD shall at all times apply to any Foreign Currency Account as though expressed in the then equivalent amount in the applicable Foreign Currency; (ii) any such reference to any other minimum or maximum amount expressed in USD shall at all times apply with respect to any Foreign Currency Account as though expressed in the then equivalent amount in the applicable Foreign Currency; and (ii) any such reference to any service commission or other fee or charge expressed in USD (including any such reference in any fee schedule furnished to me by you) shall at all times apply with regard to any Foreign Currency Account as though expressed in the then equivalent amount in the Foreign Currency. For all purposes relating to any Foreign Currency Account, the amount in the applicable Foreign Currency at any time equivalent to any given amount in USD shall be calculated at the then prevailing currency exchange rate as determined (absent manifest error) by you. By establishing and/ or utilizing any Foreign Currency Account, I certify and acknowledge that I am doing so on your own initiative based upon an informed decision which I have reached after making such investigations and performing such analyses as I have deemed appropriate. Foreign Currency that I deposit or maintain in a Foreign Currency Account will be on deposit at an affiliated bank of yoursunaffiliated bank. I understand that Foreign Currency is not eligible for FDIC coverage nor any equivalent of such protection under the laws of any foreign jurisdiction. Balances maintained in your Foreign Currency Account with the intent to purchase securities may earn interest at current rates then afforded to similar deposit accounts at the bank at which your Foreign Currency is deposited. Foreign securities and foreign cash held with the intent to purchase securities are eligible for SIPC coverage. Foreign Currency transactions or investments in Foreign Currency are ineligible for SIPC protection. Foreign Currency will not automatically invest under an Automatic Sweep Investment option/Cash Sweep program. There are a number of different risks associated with foreign securities; including but not limited to country risk (political, social, and/or economic instability), native governmental, regulatory and taxation rules that differ from U.S. regulatory requirements or may be at odds with your stated investment objectives and/or currency risk. Before investing in any foreign security, I will become knowledgeable about that country’s political, social and economic conditions, as well as its tax laws and securities regulations and consider such factors in connection with all investment decisions. Further, I understand that issuers of foreign securities may not publish or make available to shareholders prospectuses, annual reports, proxies or other shareholder documents and that even if published, such documents may not be available in English. RBC CM’s sole obligation with respect to such documents is to forward the documents as received by RBC CM from the issuer of the securities for your account.
Appears in 1 contract
Sources: Customer Account Agreement