Common use of Stabilisation Clause in Contracts

Stabilisation. Deutsche Numis may deal on a client's behalf in investments that may be subject to on-going stabilisation or may have been the subject of recent stabilisation. Such stabilisation may be or may have been carried out by Deutsche Numis or by another party. Stabilisation enables the market price of a security to be maintained artificially during the period when a new issue of securities is sold to the public. Stabilisation may affect not only the price of the new issue but also the price of other securities related to it. The regulatory system allows stabilisation in order to help counter the fact that, when a new issue comes onto the market for the first time, the price can sometimes drop for a time before buyers are found. Stabilisation is carried out by a "stabilisation manager" (normally the firm chiefly responsible for bringing a new issue to market). As long as the stabilisation manager follows a strict set of rules, he is entitled to buy back securities that were previously sold to investors or allotted to institutions which have decided not to keep them. The effect of this may be to keep the price at a higher level than it would otherwise be during the period of stabilisation. The stabilisation rules: • limit the period when a stabilising manager may stabilise a new issue; • fix the price at which he may stabilise (in the case of shares and warrants but not loan stock or bonds); and • require him to disclose that he may be stabilising but not that he is actually doing so. The fact that a new issue or a related security is being stabilised should not be taken as any indication of the level of interest from investors, nor of the price at which they are prepared to buy the securities.

Stabilisation. Deutsche Numis may deal on a client's behalf in investments that may be subject to on-going stabilisation or may have been the subject of recent stabilisation. Such stabilisation may be or may have been carried out by Deutsche Numis or by another party. Stabilisation enables the market price of a security to be maintained artificially during the period when a new issue of securities is sold to the public. Stabilisation may affect not only the price of the new issue but also the price of other securities related to it. The regulatory system allows stabilisation in order to help counter the fact that, when a new issue comes onto the market for the first time, the price can sometimes drop for a time before buyers are found. Stabilisation is carried out by a "stabilisation manager" (normally the firm chiefly responsible for bringing a new issue to market). As long as the stabilisation manager follows a strict set of rules, he is entitled to buy back securities that were previously sold to investors or allotted to institutions which have decided not to keep them. The effect of this may be to keep the price at a higher level than it would otherwise be during the period of stabilisation. The stabilisation rules: •  limit the period when a stabilising manager may stabilise a new issue; •  fix the price at which he may stabilise (in the case of shares and warrants but not loan stock or bonds); and •  require him to disclose that he may be stabilising but not that he is actually doing so. The fact that a new issue or a related security is being stabilised should not be taken as any indication of the level of interest from investors, nor of the price at which they are prepared to buy the securities.

Stabilisation. Deutsche Numis On occasion, we may deal make investments on a client's behalf in investments that may be subject to on-going stabilisation or your behalf, where the price may have been the subject of recent stabilisation. Such stabilisation may be or may have been carried out influenced by Deutsche Numis or by another partymeasures taken to stabilise it. Stabilisation enables the market price of a security to be maintained artificially during the period when a new issue of securities is sold to the public. Stabilisation may affect not only the price of the new issue but also the price of other securities related relating to it. The regulatory system allows CySEC Rules allow stabilisation in order to help counter the fact that, when a new issue comes onto the market for the first time, the price can sometimes drop for a time before buyers are found. Stabilisation is carried out by a "“stabilisation manager" ” (normally the firm chiefly responsible for bringing a new issue to market). As long as the stabilisation stabilising manager follows a strict set of rules, he is entitled to buy back securities that were previously sold to investors or allotted to institutions which have decided not to keep them. The effect of this may be to keep the price at a higher level than it would otherwise be during the period of stabilisation. The stabilisation rules: • Stabilisation Rules: (i) limit the period when a stabilising manager may stabilise a new issue; • ; (ii) fix the price at which he they may stabilise (in the case of shares and warrants but not loan stock or bonds); and • and (iii) require him them to disclose that he may be stabilising but not that he is actually doing so. The fact that a new issue or a related security is being stabilised should not be taken as any indication of the level of interest from investors, nor or of the price at which they are prepared to buy the securities.