AGREEMENT: FOREX MARGIN, SWAPS ETC.

Straighthold Investment Group, Inc., hereinafter referred to as the Company, offers the service of conversion arbitrage operations on the FOREX international currency market to any natural or legal person, hereinafter referred to as the Client, subject to the provisions of the present Agreement.

The following actions performed by the Client will be understood as full and unconditional acceptance of the terms of the present Agreement:
- filling in the registration form, available at https://secure.liteforex.org, for the purpose of opening an account with the Company;
- making a deposit to the account within thirty days from the date of its opening. The place of the Agreement is understood to be the place of the party’s location.

Equity - means the secured part of the Client’s account, considering the opened positions, bound with the Balance and Floating Rate (Profit/Loss) by the following formula: Balance + Floating rate + Swap, i.e. the funds on the Client’s account less the current loss for the open positions, plus the current earnings for the open positions.

Free Margin - means the funds which are not used for the security of the opened positions. It is calculated by the formula: Free Margin = Equity - Margin.

Margin - means the amount of guarantee required for opening a position, which is equal to 1% (in the case of a 1:100 leverage) of the contract amount for the position opened.

Margin Level – is a characteristic of the state of the account. It is calculated by the formula: (Equity / Margin)*100%.

Base currency - means the currency in which the account, the balances, the commission charges and payments are nominated and calculated.

Balance - means the overall financial result of all the completed transactions and operations concerning depositing/withdrawal of funds from the commercial account.

Account History - means the list of completed transactions and non-commercial operations on the commercial account.

Settlement Currency - is the currency of the depositing/withdrawal operations.

Client - is the natural or legal person concluding conversion arbitrage operations with the Company, according to the quotations offered by the Company.

Client’s Terminal - means the software product MetaTrader, version 4.xx, being used, on which the Client can receive information about bidding on financial markets (within the scope determined by the Company) on a real-time basis, carry out technical analysis of markets, perform commercial operations, issue/amend/withdraw indents and receive communications from the Company.

Company - refers to the legal person Straighthold Investment Group, Inc. that provides the settlement of bargains and accounts with the Client, in accordance with the present Agreement.

Client’s Log File - refers to the file created by the client’s terminal, which registers all the inquiries and orders sent by the Client to the Dealer, with accuracy to the second.

Server’s Log File – means the file created by the server that registers all the inquiries and orders sent by the Client to the Dealer, as well as the results of their processing, with accuracy to the second.

Margin Trading - means performing arbitrage operations with currency contracts that lead to opening positions, the amount of which is several times larger than the variation margin.

Initial Margin - means the amount of the guarantee required by the Company for opening a position.

Required Margin - means the cash security required by the Company for the purpose of maintaining the open position(s).

Nonmarket Quotation - refers to the quotation satisfying all the following requirements: the presence of a wide price gap; quick return of the price to the initial level leading to the price gap; the absence of fast price movement preceding the emergence of this quotation; the absence of macroeconomic or corporate events having substantial influence on the instrument’s rate at the time of emergence of this quotation (Straighthold Investment Group, Inc. has a right to delete the information about the nonmarket quotation from the server’s database).

Non-commercial Operation - means an operation dealing with depositing (withdrawing) funds to/ from the commercial account or an operation that deals with providing or repaying credit.

Normal Market Conditions - refers to the state of the market satisfying all of the following requirements: the absence of wide gaps in the process of providing quotations to the trading platform; the absence of fast price movement; the absence of wide price gaps.

Normal Market - see "Normal Market Conditions".

Scope of a Trade Operation - refers to the product of the number of lots multiplied by the lot size.

Order – refers to the Company’s Client’s command to open or close the position after the price reaches the indent level.

Open position – means the result of the first phase of a complete transaction. As a result of opening a position, the Client undertakes obligations: to perform an opposite operation of the same volume; to maintain the equity at the level of no less than 10% of the margin required.

Opening the Market - means the resumption of trading operations after weekends, holydays or an interval between trading sessions.

Deferred Order - means the order of a Client to the Dealer to open a position after the price reaches the indent level.

Complete Transaction - consists of two opposite trading operations of the same volume (opening a position and closing the position): a purchase followed by selling or selling followed by a purchase.

Quotations Flow - means the sequence of quotations for each instrument received at the trading platform

Instant Execution - means the mechanism of providing quotations to the client without prior request, when the client sees the Dealer’s quotations flow in a real-time mode, , he or she can at any time give an order to perform a trading operation.

Point - is the unit of a rate’s low order.

The Company’s Business Hours - means the period of time during the workweek when the trading terminal of the Company carries out transactions with standard currency contracts. The exceptions are normalrest days and holidays, periods of change in the routine of the Company, as well as the time when the Clients cannot be served for technical reasons. In these cases the Company must take all the possible measures to advise the Client of the changes in the normal work routine and give him or her an opportunity to eliminate the risks resulting from these changes.

Size of a Lot - means the amount of base currency in each lot defined in the contracts’ specification.

The Developer – means “MetaQuotes Software Corp.” company, the developer of the trading platform.

Swap - means the amount of money knocked off or deposited to the Client’s account for prolongation (postponement) of a position until the next day.

Server - means the software product MetaTrader Server, version 4.xx, in use, with which the Client’s orders and requests are processed; the Client is provided information about bidding at financial markets (within the scope determined by Straighthold Investment Group, Inc.) on a real-time basis; the respective obligations of the Client and the Dealer are offset, and the terms and restrictions are observed.

Adviser - means the commercial account control algorithm in the form of a program in MetaQuotes Language 4, which sends requests and orders to the server using the client’s terminal.

Spike - see "Nonmarket Quotation"

Contract Specification - means the basic trading terms (such as put and call, the size of a lot, the minimum volume of a trading operation, the pitch of trading operation volume change, initial margin, the margin for locked positions etc.) for each instrument.

Spread - refers to the difference between the Ask and Bid quotations in points.

Account - means a special personal account opened with the Company by a Client. This account is used to offset the obligations of the Client and the Dealer resulting from the bargains concluded under the present Agreement.

Ticker - means the individual identification number designated at the trading platform to each opened position or deferred indent.

Trading operation - operation means the operation of buying or selling of any instrument by the Client.

Trading Account – refers to the unique personalized register for trading platform operations reflecting complete transactions, open positions, non-commercial operations and indents.

Trading Platform - means the aggregate of software and hardware that deal with the receipt of information concerning bidding at financial markets on a real-time basis, trading operations offset by the respective obligations between the Client and the Dealer, as well as compliance with existing conditions and limitations. Simplistically speaking, for the purposes of the present regulations, it consists of a Server and a Client’s Terminal.

Transaction - means the aggregate of all the trading operations concerning exchange of base currency for quotation currency and

Level of an order - is the price stated in the order.

Force Majeure Events - means the events which can’t be foreseen of prevented. This concept usually implies: acts of nature; wars; acts of terrorism; acts of government, legislative and executive bodies; hackers’ attacks and other unlawful acts with respect to the servers.

The Price Preceding the Nonmarket Quotation - means the price at the closing of the minute bar preceding the minute bar with the nonmarket quotation.

Price Gap - refers to two types of situation: A bid of the current quotation that is higher than the ask of the preceding quotation, and an ask of the current quotation that is lower than the bid of the preceding quotation.

Price Gap at the Opening of the Market - refers to two types of situation: A bid of the quotation at market opening that is higher than the ask of the quotation at market closing, or an ask of the quotation at market opening that is lower than the bid of the quotation at market closing.

Appreciable Error - refers to the opening/closing of the Client’s position or exercising his indent at a substantially different price than the usual one for the relevant instrument, within the quotations flow at the time of this action, as well as any other action or inaction on the dealer’s part resulting in an error when estimating the price level at a certain time.

2.1. The work with the commercial account is performed in accordance with the regulations on quoting and indents processing, which you can download from the company’s website at http://liteforex.org

2.2. Depending on the type of the commercial account, the following types of interest on the funds which are not used in trading operations are provided for*:

3.1. The Client fills in the registration form to open an account with the Company. The registration form can be found on the Internet by clicking the link: https://secure.liteforex.org

4.1. A Client has the right to withdraw a sum free from liabilities, i.e. a sum that is not used for covering a margin, from his account without having to close it.

4.2. Money transfer is performed within three banking days after receipt of a respective order from the Client.

4.3. After such an order from the Client is received, the amount withdrawn is deducted from the existing balance of the account on the day the order is received.

4.4. Once this amount is paid, the bank transfer operation is paid for by the Client.

4.5. The Client, being the administrator of his account, has the sole right to give orders concerning trading operations and orders concerning repayment of money.

4.6. All orders concerned with withdrawal of amounts from the account must be confirmed by entering an additional password (the Client’s PIN-code). If the PIN-code is lost, restoring it can take up to two weeks and is only possible if the account registration information is in complete agreement with the account holder's passport information.

The Client does not have the right to request investment/trading advice from the Company, or any other information that could motivate the Client to perform trading operations.

The Company, at its sole discretion, may provide information, recommendations and advice to the Client, but in this case it is not responsible for any consequences or profitability of such recommendations or advice. The Client agrees that unless there is a fact of fraud, intentional neglect of duty or grievous dereliction of duty, the Company is not responsible for any losses, costs or expenses of the Client resulting from inaccuracy of information provided, including, but not limited to, the information about trading operations performed by the Client.

5.1. The Client has acknowledged and agrees that the Company is not responsible for actions or inaction of the Client concerning the performance of operations on the FOREX market.

5.2. The Client is personally responsible for the state of his account and agrees that this right is valid until the account is closed.

The Client undertakes to indemnify the Company from any liabilities, expenses, claims and damage resulting, directly or indirectly, from the Client’s inability to perform his relevant obligations under the present Agreement and Regulations.

The Company is not responsible for any losses of the Client, loss of profit, lost opportunities (due to possible market fluctuations), expenses or damage, in accordance with the terms of the present Agreement, unless otherwise provided for in the Regulations.

5.3. The Company reserves the right to alter or modify the present Agreement after notifying the Client accordingly, up until 5 days before the relevant modifications should go into effect.

5.4. The above mentioned rights of the Company are permanent and will remain in full force until the Client informs the Company about closing the account or terminating the Agreement.

5.5. In case of any disagreement concerning the balance of the Client’s account, the parties will review the protocols concerning the Client’s operations in the log files of the Company’s server.

5.6. The Company:
5.6.1. is not a provider of communication service and for this reason is not responsible for any failure to perform obligations as a result of lineout;
5.6.2. does not compensate moral damage to the Clients.

5.7. The Client agrees that:
5.7.1. The recommendations and information concerning the market situation, which is provided to the Client by the Company or any person within the Company, should not be understood as an offer to perform a transaction.

5.8. The Client represents and warrants that:
5.8.1. He or she has enough expertise and experience to be engaged in trading operations on the FOREX market at his own risk;
5.8.2. He or she is able to be engaged in trading operations on the FOREX market;
5.8.3. All information provided by him/her to the Company is true, correct and complete; The Client will immediately inform the Company of any changes to this information.

5.9. Clients have the right to keep joint accounts, and each holder of such an account has the right:
5.9.1. To take part in trading operations using this account, subject to the provisions of the present Agreement;
5.9.2. Receive all the correspondence and documents related to the account;
5.9.3. Receive or withdraw money from the account;
5.9.4. In case of death of one or several account holders, the Company must be informed accordingly in writing; a copy of the death certificate must be enclosed with this notification.

The Company has the right to suspend or terminate the present Agreement immediately, upon notifying the Client in writing hereof.

The Client has the right to suspend or terminate the present Agreement immediately, without notifying the Company in writing.

Termination of the present Agreement does not exempt the Company or the Client from any responsibilities that existed under the present Agreement or Regulations before termination, including the responsibilities with respect to the open positions and deposit/withdrawal operations of amounts to/from the Client’s account.

In the case of a situation not provided for by the present Agreement or Regulations, the Company will act in accordance with the procedures established in the market and with principles of justice and equity.

6.1. The risk of loss through trading operations on the FOREX market can be significant. For this reason the Client must examine his financial capabilities related to such trading operations thoroughly.

6.2. The Client can lose all his initial funds and any additional funds deposited for the purpose of strengthening or controlling his position on the market.

6.3. Placing restricting orders, such as "stop-loss", does not always restrict the Client’s losses to the sum planned, for market conditions can sometimes make performance of such orders impossible.

6.4. The Client must realize that the Company is not responsible for losses resulting, directly or indirectly, from the restrictions imposed by the Government, regulations concerning operations with currency and market operations, interruptions in the bidding process, military actions or other circumstances known as “force majeure”, which are not subject to control by the Company.

The Company has the right to reasonably determine the duration and sphere of influence of the force majeure events. The Company will take all the necessary measures to advise the Client about the beginning of force majeure events, including, but not limited to:

а) any action, event or phenomenon (including, but not limited to, strikes, riots, civil disorders, acts of terrorism, wars, acts of elements, accidents, fires, floods, storms, blackouts, lineouts, equipment errors), which, according to the Company’s well-grounded opinion, has led to destabilization of the market or markets for one or several instruments;

b) suspension of operations; liquidation or shutdown of a market, or the absence of some event on which the Company’s quotations are based, or imposing restrictions or special terms for trading operations in some market or in respect of some event.

a) increase marginal requirements;

b) close any or all the Client’s open positions at the price considered by the Company to be reasonably fair;

c) suspend or alter the sphere of application of any or all the terms of the present Agreement and/or Regulations for the time during which the named force majeure event makes implementation of the designated terms impossible; or, on the contrary, not to take any measures with respect to the Company, the Client or any other clients, if the company considers it appropriate in view of existing circumstances.

7.1. The parties will take all possible measures to settle disputes and differences amicably, through negotiation and correspondence, by sending claim letters.

7.2. The Client’s claims arising out of the present Agreement will be considered by the Company only if documented in writing and submitted no later than three calendar days from the date of the event in question.

7.3. The time for consideration of the Client’s claim may not exceed fourteen business days.

In case the claim is considered to be justified, the only compensation for the damage will be an entitlement payment transferred to the Client’s commercial account. If the Client had an intention to perform some action but did not perform it for some reason, the Company will not compensate the resulting loss of profit or losses, and will not pay the Client any moral damage. In case the decision is made in favor of the Client, the Company will transfer the entitlement payment to the Client’s commercial account within one day from the date of the decision. Should any dispute not be provided for by the present Regulations, the final decision concerning the claim will be settled by Straighthold Investment Group, Inc., based on established market practice and its understanding of the principles of equitable settlement in the matter.