Service Conditions

Effective as of 21.12.2025

1. Background information on the Company

1.1. General information

Business name: Quantum Rise osoba rizikového kapitálu s.r.o.
Registration number: 09427261
LEI: 3157001DXPWIOKQV0W08
Address: Walterovo náměstí 985/6, Jinonice, 15800 Praha 5, Czech Republic
Phone: +420 292 332 337
Email (general): info@quantumrise.eu, office@quantumrise.eu
Web page: quantumrise.eu, docs.quantumrise.eu

On August 26, 2020, Quantum Rise osoba rizikového kapitálu s.r.o. (hereinafter: “Company”), was entered in the list of persons performing property management comparable to management of investment funds within the meaning of Article 15 (1) of the Act No. 240/2013 on Investment Companies and Investment Funds, kept by the Czech National Bank under Section 596(e) of the Act No. 240/2013.

The legal form of the Company is a limited company: “s.r.o.” stands for “společnost s ručením omezeným” in Czech, which translates to “limited liability company” (LLC) in English. This is a common legal form for private companies in the Czech Republic, similar to the German GmbH or the UK Ltd. Owners of an s.r.o. have their liability limited to their capital contributions, and the company is a separate legal entity.

Under Article 15(3) of the Act No. 240/2013, the entity providing services pursuant to Article 15(1) must include the wording “osoba rizikového kapitálu”. The term “osoba rizikového kapitálu” translates to “venture capital entity” in English. This legislative requirement was introduced to clearly differentiate traditional investment funds from investment/management companies.

FOLLOWING THE SECTION 15(4)(A)(6) OF THE ACT NO. 240/2013, QUANTUM RISE, OSOBA RIZIKOVÉHO KAPITÁLU S.R.O. IS NOT SUBJECT TO SUPERVISION BY THE CZECH NATIONAL BANK.

1.2. Language and means of communication

Clients may communicate with the Company and request documents or information in Czech or English, unless otherwise agreed.

The Company shall communicate information (including declarations of intention) to its Clients at its offices, on its Website, or other agreed channels (e.g., e-mail or post). If the Client has informed the Company of its e-mail address and/or has access to the Client portal, the Company shall have the right to send all messages (including declarations of intention) to the Client by e-mail or Client Portal, unless otherwise provided in legal acts. The Client may communicate information (including declarations of intention) to the Company in hard copy, by e-mail, through the Client Portal, or via other agreed channels.

1.3. Information on the classification of Clients

According to Article 15(4) of the Act No. 240/2013, the Company may collect monetary funds or assets assessable in monetary terms only from a Client who invests through the Company monetary funds or assets assessable in monetary terms corresponding to an amount of at least 125,000 EUR, and about whom the Company can reasonably assume, that this investment corresponds to the Client’s financial background, investment objectives, and expertise and experience in the field of investments, and the Client confirms these facts before concluding the Agreement.

Prior to the provision of Service, the Company shall gather information on the Client’s experience and knowledge, financial position and investment objectives as well as other circumstances related to the Service, to assess the Client’s experience in operating on the securities market, and knowledge of the financial market, the planned investment period, and consider the suitability and relevance of the Service.

Taking into account the provisions of Section 15(4) and Section 272(1)(i) of the Act No. 240/2013, the Company considers only “Qualified Clients (Qualified Investors)” eligible, specifically those who:

Have declared that they are fully aware of all the possible risks associated with investing with the Company and whose paid-in investment or contribution to the entrusted financial funds managed by the Company amounts to at least EUR 125,000;
Have confirmed with their signature that they have been informed and warned about the distinctive features of the regulation of persons providing asset management services for profit in an entrepreneurial or similar manner, that they have been informed about the risks associated with this type of investment, and that they have been acquainted with the specifics of investments offered by the Company as a person providing asset management services for profit in an entrepreneurial or similar manner.
Have declared and confirmed with their signature that they have read, fully understood, and accept:
1. all the provisions of the Management agreement;
2. all the provisions of the General Conditions;
3. all the provisions of the Service Conditions;
4. all the provisions of the Special Conditions (where applicable);
5. all the fees specified in the Fee Schedule;
6. all the provisions of the Investment Policy Statement;
7. the description of the Investment Strategy and other information specified in the Key Information Document (KID);
8. the Company’s policies and the Articles of Association.
Have declared that they have been informed about the sources from which they can obtain information about their investment or where they can request it.

2. Information on the Service provided by the Company, and the general risks involved in investment

2.1. Information on the Service

In accordance with the Agreement, the Company undertakes to invest the entrusted funds in its own name and for the benefit of the Client, unless otherwise provided in the Agreement or where the nature of a specific action indicates that the Company is acting directly on behalf of the Client. Once the Company obtains the right to dispose of the transferred funds in its own name and for the benefit of the Client, those funds become part of the Client’s portfolio of assets (the “Portfolio”). In consideration of the Service, the Client shall pay the Company the fees outlined in the Fee Schedule.

Employees of the Company who provide information about investment terms must possess the requisite knowledge and skills. Employees must participate in training, successfully pass knowledge-based tests, and observe the other relevant Company guidelines to ensure the validity of the prescribed level of knowledge at all times while working in the relevant position.

The Company shall maintain records of all transactions executed during the provision of Service, in accordance with applicable legal requirements.

The Company shall send the Client reports on the status and value of the Portfolio as of the last day of each calendar month. Such reports shall be provided within 30 calendar days following the relevant month. The Company may also provide an annual report covering the entire calendar year; however, the Company shall not be obligated to present an annual report if the corresponding data are already included in another periodically published report (including if the data are available to the Client via the Client Portal). The Client agrees that reports may be delivered electronically to the Client’s email address.

The Client acknowledges that the Company shall not be responsible for fulfilling any of the Client’s tax obligations arising out of the Agreement, whether by paying taxes on the Client’s behalf or by providing tax filings or advice, unless otherwise expressly agreed in writing.

Each investment has two sides: risk and profit. Each Client has a different risk tolerance; thus, the Client must choose an investment product in accordance with their risk level. The Company may share information on investment opportunities and related risks, but it is the Client alone who is responsible for analysing all risks involved in investing and assessing their potential effects and consequences.

The Company recommends that Clients:

exercise caution when choosing an Investment Strategy and make the investment decision in view of the risks. The Company may provide information, yet it is up to the Client to make the decision;
work out the nature of Investment Strategies and the risks involved before making the investment decision;
monitor the investment portfolio via the Client Portal with sufficient frequency to keep an eye on the changes in the market prices and other changes. In case of any questions, Clients are advised to contact the Company’s support at the email address or via the phone number specified on the Company’s Website at https://quantumrise.eu/contact/.

The Client acknowledges that investing under the Agreement involves various risks. No returns or profits are guaranteed, and any past performance does not guarantee future results. The following introduction provides an overview of the principal risks involved when using the Service, yet it is not an exhaustive list of all risks.

What is a risk?

Risk is the potential for a loss or a smaller-than-expected profit. It is crucial first to be aware of risks and appreciate that those related to fluctuations in the price of the investment instrument are unavoidable. For example, the price of a security is affected by the issuer’s financial performance, market depth and liquidity, trends in the general economic environment, the political situation, and many other factors. Given the Client’s risk tolerance, these risks need to be reduced or taken into account.

When investing, it is necessary to ensure the Portfolio is not exposed to multiple risks at the same time; for example, a Portfolio is risky if it includes only companies in a single industry, as they are exposed to similar risks.

Market risk

The market value of investment instruments can fluctuate due to changes in economic conditions, interest rates, or general market sentiment.
Example: During a global economic downturn, stock prices across multiple industries may plunge, significantly reducing the overall value of the Client’s Portfolio.

Currency risk

If investments are made in a currency different from the Account base currency, foreign exchange fluctuations can negatively affect returns.
Example: If the Account is denominated in EUR but holds USD assets, a sharp depreciation of the USD against the EUR can diminish the gains once converted back to EUR.

Liquidity risk

Some investments may be difficult to sell or convert into cash quickly or at a favorable price.
Example: Shares of a thinly traded small-cap company may not find sufficient buyers, forcing a sale at a significantly lower price than anticipated.

Issuer risk

The issuer of certain securities may default or fail to meet obligations (e.g., coupon payments, principal repayment).
Example: A corporate bond issuer facing severe financial troubles might suspend interest payments or enter bankruptcy.

Inflation risk

Inflation can erode the real value of returns if it exceeds the nominal gains from the assets. 
Example: An investment yielding 3% annually effectively loses purchasing power if inflation runs at 5%.

Derivative risk

Derivatives often involve leverage, amplifying both potential gains and potential losses. 
Example: A slight price move in the underlying asset can cause a disproportionately large profit or loss in an options contract.

Roll-over risk

Rolling over expiring futures contracts or swaps and shifts in the futures curve can significantly impact performance. 
Example: If the market is in “contango”, each futures roll may be at a higher price, diminishing overall returns.

Joint account risk

If assets are held in a joint/omnibus account with other Clients, the Client may share any proportional losses if the registrar or custodian becomes insolvent. 
Example: Multiple Clients’ assets are pooled into a single account, and upon the custodian’s bankruptcy, losses are allocated pro rata among all account holders.

Legal and regulatory risk

Changes in laws, regulations, or government policies can adversely affect certain assets or transactions. 
Example: A new regulation might restrict foreign ownership in a particular industry, causing a sudden drop in related stock prices.

Counterparty risk

The Company or the Client may rely on various counterparties (brokers, clearinghouses, etc.) that could default on their obligations. 
Example: A broker may go bankrupt without settling open trades, leaving the Client exposed to losses if those trades cannot be closed or transferred.

Operational risk

System failures, human errors, or technological malfunctions can disrupt trading or data accuracy. 
Example: A software glitch in the trading platform might cause unintended orders to execute, leading to unexpected losses or positions.

Settlement risk

Settlement of a transaction may be delayed or fail to occur as anticipated, potentially causing financial or timing losses. 
Example: An international stock trade might be held up due to cross-border clearing system issues, preventing the Client from selling at a desired time.

Political/Geopolitical risk

Government changes, wars, sanctions, or other geopolitical events can drastically alter market conditions. 
Example: The imposition of trade sanctions on a country’s major exports can heavily impact the share prices of companies operating in that sector.

Trading halt risk

Exchanges or regulators can halt trading in certain securities or entire markets, preventing timely transactions. 
Example: During extreme volatility, a stock exchange may impose a circuit breaker, suspending all trading for several hours or days.

Short selling Risk

If the Portfolio strategy includes short positions, losses on a short sale can theoretically be unlimited if the price of the underlying asset rises. 
Example: Shorting a stock at $50 and seeing it rise to $150 results in a substantial loss, with no clear upper limit.

Interest rate risk

Fluctuations in interest rates can affect the cost of borrowing and the market value of fixed-income securities. 
Example: A rise in interest rates can cause the price of existing bonds to fall, as newer bonds offer higher yields.

Fraud risk

The Client bears full responsibility for securing access to the Client’s Portal and the Client’s means of communication with the Company; the Company shall not be liable for any loss caused by third-party access resulting from the Client’s failure to protect such access.

THE CLIENT ACKNOWLEDGES THAT THE RISKS DESCRIBED ABOVE ARE NOT EXHAUSTIVE. BEFORE ENTERING INTO THE AGREEMENT WITH THE COMPANY, THE CLIENT MUST CAREFULLY ASSESS PERSONAL FINANCIAL CIRCUMSTANCES, INVESTMENT OBJECTIVES, AND RISK TOLERANCE, UNDERSTANDING THAT PARTIAL OR TOTAL LOSSES OF INVESTED CAPITAL MAY OCCUR.

Entering into the Agreement with the Company, the Client confirms a complete understanding of and willingness to accept these risks and shall not hold the Company liable for normal market fluctuations or unforeseen events not caused by the Company’s breach of its obligations under the agreement.

2.3. Confirmation

Entering into the Agreement with the Company, the Client agrees that:

Neither the growth of the Portfolio’s market value nor any profits from transactions or ownership of the assets are guaranteed. Any past returns or profits do not guarantee future performance. The Client shall not treat any written or oral statements from the Company as such a guarantee.
Any foreign assets in the Portfolio may be governed by the laws of a country other than the Czech Republic, which may affect the exercise of related rights, especially in the event of bankruptcy of the issuer of such assets. 
The Client has thoroughly reviewed the risks related to the Service, described in Clause 2.2 of the Service Conditions.

3. Portfolio management

Upon entering into the Agreement with the Company, the Client confirms that it has received and reviewed the Investment Policy Statement in full by signing the Agreement, thereby confirming complete understanding and acceptance of its provisions.
By entering into the Agreement with the Company, the Client authorises the Company to engage in investment activities with the Portfolio in accordance with the Investment Strategy specified in the Investment Policy Statement.
The Client assigns the Company to perform all actions necessary for the performance of the Agreement, always acting for the Client’s benefit. For this:
1. The Client shall, without undue delay upon the Company’s request, provide the Company (or any person designated by the Company) with any Power of Attorney required for the Company to fulfill its obligations under the Agreement. Such Power of Attorney shall be provided in a form acceptable to the Company.
2. The Client shall provide the Company (or its designated persons) with all necessary assistance to enable the Company to perform its obligations under the Agreement properly. Throughout the entire term of the Agreement, the Client shall not entrust its Portfolio to any third party.
3. Unless otherwise provided, the assignment granted by the Client to the Company remains valid for the entire term of the Agreement or until it is terminated.
The Company shall act professionally and make decisions independently, but always in the Client’s best interest, and the Client assigns the Company to perform all actions necessary for the performance of the Agreement, always acting for the Client’s benefit.
The Client further authorizes the Company to carry out transactions involving the assets and to represent the Client’s interests in all matters before international settlement and clearing organizations (including Euroclear or Clearstream) or any other global or local registrars (the “Registrar”) responsible for the registration of securities. This authorization includes, but is not limited to:
1. opening one or more accounts with the Registrar;
2. registering the Company as the account holder;
3. any actions with the securities in such accounts, including transferring (also between various Registrars), registering initial issuances, recording or removing any restrictions on disposing of the assets in the accounts;
4. submitting requests to obtain statements or extracts from the accounts;
5. taking all necessary steps to exercise and preserve the rights associated with the assets, which the Company manages for the benefit of the Client.
As part of its investment activity, the Company may: 
1. Purchase and sell the following assets in line with the Investment Strategy: 
  1. investment securities;
  2. financial instruments issued by an investment fund or a foreign investment fund;
  3. equity interests in commercial entities;
  4. currency market instruments;
  5. derivatives;
  6. additional property assets not listed above, such as trademarks, immovable or movable property;
  7. issue credits and loans to companies that will invest or conduct arbitrage transactions through licensed and regulated brokers under relevant agreements, including those in the United States and the European Union.
2. Enter into any other transactions involving the assets and funds directly or by engaging third parties. However, the Company remains fully responsible for fulfilling its obligations as if it were acting independently.
The Client acknowledges that certain Portfolio transactions may be carried out based on the Company’s general instructions. No transaction made under general instructions may result in a less favorable outcome for the Client than a transaction made independently. The Client shall be entitled to a share of any assets acquired or profits received through such transactions, in proportion to the Client’s stake in the total transaction volume.
The value of the Portfolio shall be determined by the Company based on the published effective value of the relevant assets.
The Agreement does not cover:
1. The exercise of voting rights associated with the assets at general meetings of shareholders or other assemblies;
2. The exercise of any rights as an asset owner if the issuer is subject to bankruptcy, liquidation, or similar proceedings, including corporate transformations under Act No. 125/2008 or equivalent laws;
3. The exercise of rights to assets that are subject to any judicial, arbitration, or similar proceedings.
The Company shall inform the Client of any need to exercise the rights mentioned in Clause 3.5 and Clause 3.6 of the Service Conditions, if the Company becomes aware of such necessity while managing the Portfolio. The Company is not obliged to do so if it is clear that the Client is already aware of this information or if the issuer publishes such information under applicable regulations or official documents.
The Client acknowledges that the Portfolio may include investments in companies controlled by the Company’s shareholders. In such cases, the Company shall act independently and solely for the benefit of the Client, and the Client’s interests shall always prevail over the interests of the Company’s shareholders.
The Client further acknowledges that the Company may invest funds in the Portfolio through a legal entity under its control without altering the Company’s obligations or liability under the Agreement.

4. Key Information Document (KID)

A Key Information Document (KID) is prepared for certain Investment Strategies (called “investment products” for KID). The Key Information Document is designed to help the Client understand the nature of the investment product, the related risks and costs, and the potential yields and losses.

Such Key Information Documents for the investment product that the Company must communicate to the Client, pursuant to the procedure laid down in law before entry into a transaction, are made available to the Client via the Website at https://quantumrise.eu/key-information-documents. Where the Client performs a transaction electronically, the Company may make the Key Information Document available in the Client Portal or by e-mail if the Client has provided no other agreed method of communication.

5. Capital contributions and withdrawals

5.1. Contributions

Within one (1) calendar month of signing the Agreement, the Client shall transfer the funds to the Company’s account opened with the credit or payment institution, defined in the Agreement.
The Client must indicate the Client (Investor) Code established by the Company in all communications, transactions, orders, and references related to the Agreement.
The Client may also entrust securities to the Company by transferring them from the Client’s brokerage account to the Company’s brokerage account, using the required details. Full details of the Company’s brokerage account are available upon request.
The Client has the right to add any other assets, whose value can be expressed in monetary terms, owned by the Client to the Portfolio.
The minimum amount of funds initially transferred by the Client to the Company corresponds to EUR 125,000.
At any time during the Agreement, the Client may increase the Portfolio by contributing additional funds for not less than EUR 10,000.
Any funds received in currencies other than the Account currency will be subject to the policies, exchange rates, and commissions of the receiving credit or payment institution. If the credit or payment institution chooses not to convert the funds and instead returns them to the Client, any fees, commissions, or deductions applied during this process shall be borne solely by the Client. The Company is not responsible for any costs, losses, delays, or discrepancies arising from such transactions. The Client acknowledges and accepts full responsibility for these potential outcomes.

5.2. Withdrawals

Withdrawal of funds from the Portfolio may only be made by transfer to the Client’s Bank Account defined in the Agreement. The Client’s request to withdraw the funds shall be satisfied by the Company, provided that:
1. the minimum amount to be withdrawn is EUR 10,000; and
2. after the withdrawal, the value of the Portfolio is not lower than EUR 125,000.
Once a withdrawal request is received and accepted, the amount of the funds to be withdrawn shall be fixed. Any subsequent increase in the funds before the withdrawal shall not affect the amount payable. The Company shall pay the Client the profit less the Company’s fee as provided in the Fee Schedule, including the relevant portion of any unpaid fees.
If the Client withdraws funds from the Portfolio prior to the expiration of the Recommended Investment Period specified in the Investment Policy Statement, and such early termination or withdrawal is not due to a cause defined in Clause 12.3 of the General Conditions, the Company shall be entitled to charge the Client an Exit Fee according to the Fee Schedule.
To fulfill the Client’s withdrawal request, the Company shall use reasonable efforts to, within one (1) calendar month (to the extent practicable), sell the necessary assets and transfer the corresponding amount to the Client’s Bank Account defined in the Agreement.
If the Client wishes to withdraw funds to a Client’s Bank Account other than the one defined in the Agreement, the Client must first submit a written request to the Company to add such Client’s Bank Account to the Agreement. The request must be accompanied by documentation confirming that the account belongs to the Client (such as a transaction statement or account certificate issued by the relevant institution where the account is opened). The Company shall verify the submitted account information within 2 (two) working days from receipt of the complete documentation. If the verification is satisfactory, the Company shall add the new Client’s Bank Account to the Agreement by way of an amendment. The Client acknowledges that the addition of a new Client’s Bank Account may trigger additional Client due diligence obligations, including the requirement to undergo enhanced Know Your Customer (KYC) procedures in accordance with Czech Anti-Money Laundering legislation (Act No. 253/2008 Coll., as amended) and the Company’s internal AML/CFT policies.
The period mentioned in Clause 5.2.4 of the Service Conditions shall commence only when the Company has obtained (including from the Client) all the account/requisite details, documentation, and authorisations needed to process the withdrawal.

6. Multi-Currency operations and conversion

6.1. Alternative Currency

Where the Account currency differs from the currency in which the Client requests withdrawals, transfers, or settlements (“Alternative Currency”), the Company shall execute the necessary currency conversions in accordance with the procedures established herein. Such operations may include currency exchange, transfer, or ancillary financial transactions required to fulfil the Client’s instructions.

6.2.Execution procedure

Upon receiving a request from the Client to withdraw the funds to the Client’s Bank Account defined in the Agreement in an Alternative Currency, the Company shall have the right, at its sole discretion, to:
1. convert the funds into the Alternative Currency indicated by the Client through an authorised financial institution, or
2. instruct a third-party banking or payment service provider to carry out the conversion.
Due to circumstances related to liquidity availability, restrictions on banking or payment systems, or other objective reasons, the conversion and withdrawal of funds in an Alternative Currency may be carried out in stages (in parts). In such cases, each conversion operation shall be executed at the exchange rate applicable at the time of the corresponding conversion operation.
The Parties agree that the Company shall make reasonable and best possible efforts to obtain the most favorable exchange rate for the Client within the conditions available at the time of the conversion operation.
All fees, charges, and expenses associated with the conversion and transfer of funds in an Alternative Currency shall be borne solely by the Client.
The Company shall not be liable for any losses, delays, or unfavorable exchange rate differences arising as a result of executing the Client’s request under the Agreement.

6.3. Currency risks and liability

The Client hereby acknowledges and agrees that all currency-related risks, including exchange rate fluctuations, additional fees, and potential losses arising from conversion or transfer operations in an Alternative Currency, shall be borne exclusively by the Client.
The Client’s request to the Company for withdrawal in an Alternative Currency shall be deemed a direct instruction made solely at the initiative of the Client, who fully understands and accepts all associated risks.
The Client undertakes to indemnify and hold harmless the Company, its affiliates, directors, employees, and representatives from any liability, claims, losses, expenses, or demands of third parties arising in connection with the conversion, exchange rate fluctuations, or other adverse consequences resulting from the execution of the Client’s request.

7. In-Kind withdrawal

7.1. Withdrawal in securities

In addition to Clause 5.2.1 of the Service Conditions, the Parties, at the request of the Client, have agreed to allow the withdrawal of the Client’s funds from the Portfolio in the form of transfer of securities to the Client’s designated investment account (hereinafter “Withdrawal of Funds in Securities”).
The Parties acknowledge that the Withdrawal of Funds in Securities constitutes a non-standard transaction, not provided for in the Agreement, which may be carried out by the Company solely at its own discretion and does not fall within the Company’s obligations under the Agreement. The execution of such a request requires the Company’s involvement in additional processes and interactions with Third Parties.
The Client confirms and agrees that the Client does not have the right to demand the execution of a Withdrawal of Funds in Securities, and that the Company is entitled to refuse consideration of such a request without providing reasons.

7.2. Commission and expenses

For the organisation and execution of the Withdrawal of Funds in Securities in accordance with the Client’s request, the Client shall pay the Company a commission in accordance with the Fee Schedule. In case the Account currency differs from the euro, the commission shall be converted into the Account currency at the official exchange rate published by the European Central Bank (or another authorised source) on the date of the transaction.
The amount of withdrawn funds shall be deemed to be the market value of the securities agreed by the Parties for transfer from the Company to the Client on the execution date, as determined according to generally accepted market quotations/official sources of the Company.
The said commission shall be payable in addition to, and independently of, all direct third-party expenses and fees, taxes, exchange and depository commissions, currency conversion costs, delivery/courier expenses, penalties, and any other costs incurred in connection with the execution of the Client’s request. VAT (if applicable) shall be charged in addition.
The Company shall be entitled to withhold the commission and expenses:
1. from the Portfolio funds prior to transfer;
2. from the Client’s advance deposit of funds;
3. by deduction from monetary proceeds related to the Portfolio; or
4. by issuing a separate invoice for payment. 
Failure to pay the specified commission/expenses entitles the Company to suspend the execution of the Withdrawal of Funds in Securities until full payment is made.

7.3. Client’s obligations

The Client shall agree in advance with the Company on the list of securities to be transferred (including names, ISINs, quantities, settlement currencies, etc.), the timeline, and any other requirements.
The Client shall ensure that it has the technical and legal ability to receive securities into its investment account.
The Client shall provide the Company in advance and in full (or upon the Company’s first request):
1. complete details of the receiving investment account;
2. exhaustive and detailed transfer instructions;
3. confirmation from the receiving institution of its readiness to accept securities from a third party and the absence of restrictions/sanctions;
4. any other documents/approvals required by third parties (KYC questionnaires, forms, consents). 
The Client shall bear the risk of all consequences arising from the provision of incorrect/incomplete instructions, restrictions imposed by the receiving party, corporate/regulatory limitations, and applicable sanctions regimes affecting the Withdrawal of Funds in Securities.

7.4. Impossibility or Failure of the Transaction

In the event that, for reasons attributable to the Client and/or the Client’s servicing third parties/providers, the receipt of securities is impossible or the operation of Withdrawal of Funds in Securities fails/is rejected/is not complete, the Company shall be entitled to:
1. cancel the transaction and carry out the withdrawal of funds by wire transfer to the Client’s Bank Account specified in the Agreement in accordance with the provisions of the Agreement;
2. charge the Client for all further costs and expenses arising from such a situation, including but not limited to Third-Party commissions and fees, costs of repeated instructions, conversion, custody, corrective transactions, fines/penalties, as well as market losses directly caused by the failure of the Withdrawal of Funds in Securities. 
The Company shall be entitled to debit and offset such amounts from the Portfolio funds and/or by issuing a separate invoice for payment.
In addition to the cases specified in Clause 7.4.1 of the Service Conditions, the Company shall be entitled, at its own discretion and at any time during the execution of the Withdrawal of Funds in Securities, to refuse to execute the Client’s request for Withdrawal of Funds in Securities in whole or in part, including but not limited to cases of sanctions, legal, operational, technological, custody/settlement, liquidity, market, currency, tax, or other risks, or circumstances which, in the reasonable opinion of the Company, hinder, complicate, or render it inexpedient to carry out such an operation. In the event of such refusal, the Company shall be entitled to execute the withdrawal of funds by wire transfer to the Client’s Bank Account specified in the Agreement, in accordance with the provisions of the Agreement, or, at its discretion and under separate conditions, to propose alternative options for agreement with the Client, if such are possible. The commission and expenses incurred by the Company up to the moment of refusal shall be payable by the Client in accordance with Clause 7.4.1.2 of the Service Conditions.

7.5. Liability

The Client shall reimburse the Company for any reasonable expenses, losses, third-party claims, and regulatory demands arising in connection with the execution of its request for Withdrawal of Funds in Securities, and shall fully indemnify and hold the Company harmless against such claims, except in cases of willful misconduct or gross negligence on the part of the Company.
The Client unconditionally agrees to the said liability and confirms that it understands the non-standard nature of the transaction.

7.6. Withdrawal period

Notwithstanding the provisions of Clause 5.2.4 of the Service Conditions, the Company’s obligation to carry out the withdrawal of the Client’s funds within the period specified therein shall, in case of a Withdrawal of Funds in Securities, be automatically extended until the Company has received from the Client all documents, confirmations, and information reasonably required in connection with the execution of such withdrawal. The period for withdrawal specified in Clause 5.2.4 of the Service Conditions shall commence only upon the Company’s receipt of the complete and satisfactory documentation and information from the Client.
For the avoidance of doubt, from the date of the Client’s request for Withdrawal of Funds in Securities, no further profits, income, or portfolio gains shall accrue to or be distributed in respect of the portion of the Portfolio subject to such withdrawal.