Client Agreement - Terms and Conditions of Business 

McLaren Asset Management, S.L. acts as an independent financial adviser, and in an independent capacity as a client’s agent in advising on, and arranging the purchase or sale of, investments or when providing other financialservices.  We do not act as the tied agent of any investment or insurance product provider nor do we own the investments or policies bought by our clients.

 

We advise on the merits of purchasing, selling or subscribing toinvestments or exercising any rights conferred by an investment, and arrange and effect for clients (as their agents) transactions in relation to life policies, pension contracts and collective investments.  Under this agreement we do not undertake investment management on a discretionary basis, nor do we execute the purchase or sale of gilts or stocks and shares but will introduce you to other regulated businesses for these and other specialist investment services if required.  

 

Before undertaking any financial business for you, we are required by the relevant financial authorities to confirm your identity and address as shown on this Agreement by obtaining some independent documentary evidence such as a passport and or driving licence/utility bill, and to hold onfile a copy of such documents.

 

We are pleased to offer independent advice on the following terms of business:

 

1.     We undertake not totransact for any client any business in which we have a personal or othermaterial interest unless that interest is previously disclosed in writing.

 

2.     We may contact you from time to time with information, which we believe may be relevant to your financial circumstances. 

 

3.       We normally ask you to give instructions in writing to avoid any possible disputes.  We may at our discretion accept oral, facsimile or other electronically communicated instructions provided that you agree to confirm them in writing.  We are authorised to rely on, may act on andtreat as fully authorised by the client, any instruction or communication which purports to have been given by the client or on behalf of the client by anyparty notified by the client from time to time to McLaren Asset Management asbeing so authorised.  The client agreesto indemnify McLaren Asset Management against all liabilities, actions, proceedings,claims, losses and expenses arising out of or in connection with the acceptanceof instructions by McLaren Asset Management and upon which McLaren Asset Management is authorised to rely.

 

4.     A client may terminate atany time the authority given to us to act on their behalf, without penalty, by giving notice to us in writing to that effect. Likewise, we may similarly terminate the arrangement between us. Termination will be without prejudice tothe completion of transactions already initiated and a client will be requiredto pay for any transaction effected before termination together with a due proportion of any agreed payment for services provided by us.  

 

5.     Mostof our income is derived from brokerage or a share of fees received from fund managers, insurance companies, and other providers of investment and insurance products and services as a result of arranging a client’s financial business with them. We retain that brokerage fee to cover costs of fund research, regulatory and compliance requirements applicable to financial institutions, and other legal and functionality costs, but we do not charge for advice and other services in respect of such investment or insurance products, unless specifically agreed in writing with a client. We reserve theright to act as agent for third parties and to share with them any suchcommissions or fees as are received by us. In making recommendations to you, we do not favour one company over another because of the commission payable, rather we offer “best advice”.

 

6.       We do not normally charge fees to clients for advice and other services in respect of investment or insurance matters, unless specifically agreed in writing with you.  Our standard fee for clients who prefer a fee-based service, is €150 or £150 + VAT (at 16%) per hour or part thereof, subject to a minimum fee of €500 + VAT.  This hourly fee will be charged to a potential new client who opts for us to be paidby brokerage, after three hours initial unpaid work (to cover initial meeting,report and subsequent meeting, including travel if necessary) if research and or other work is necessary and yet no business results. 

 

7.     McLaren Asset Management are financial advisers.  Where we offer legal or tax advice, it is intended to be helpful and is based on our experience andinformation available to us at the time, therefore although we seek expert legal and tax counsel from professionals in their field, we cannot be held responsible for any adverse consequence, and we strongly recommend clientsobtain their own legal and / or tax opinion where appropriate in relation to their financial affairs and the suitability of the transaction considered orembarked upon.  

 

8.    McLaren Asset Management does not handle client money, and financial mandates are usually made to the investment house directly.  Fees or other charges incurred for arranging telegraphic transfers,currency conversion, or other banking transactions will be borne by you unless otherwise agreed in writing.

 

9.     All financial transactions will be registered in the name of the client, (or his nominee(s) if we are so instructed in writing) and policies, certificates orother documents of title will be sent to the client, (or to his nominee(s) as the case may be).  If you instruct us to register investments in the name of, or jointly with, any third party we shall accept no liability for their default.  

 

10.   All contract notes and documents of title in respect of investments will be forwarded to a client by ordinary air or surface mail, as soon as practical after we have received and checked them. Where several documents relating to a series of transactions areinvolved, these will normally be held until the series is complete, when they will all be forwarded to you.  We do not otherwise offer clients a safe custody service and accept no liability for thedefault of any third party to whom you instruct us to forward documents.

 

11.   We shall keep records of all our business transactions for at least seven years. Aclient (or his agent) may inspect all our records relating to his business with us, including contract notes, vouchers and entries in our books or electronic recording media. We treat all clients’ records as confidential, so we reservethe right to provide copies of a client’s particular records rather than allowaccess to files containing records of other clients.  In pursuance of our obligation of confidentiality, we will not disclose any information about your financialaffairs to anyone, whether purporting to act on your behalf or otherwise, without your express knowledge and consent.

 

12.   Investments, including policies and other insurance based products, purchased by clients of McLarenAsset Management through our agency may have the benefit of investor protection legislation in the countries from which they are issued or managed.  In some cases, insurance or investment companies themselves may give ‘‘cancellation rights’’ to investors who change their mind within a limited period (usually about two weeks) of making aninvestment.  McLaren Asset Managementcannot accept any responsibility for the failure of investments, or of product providers themselves, but local ‘‘investor compensation schemes’’ may beavailable in the countries concerned, which will generally extend to expatriate investors.  McLaren Asset Management willinform you on request of the availability of cancellation rights and/orinvestor compensation schemes, in relation to specific insurance or investment contracts recommended to you.

 

13.   The value of investments can and does fluctuate and any individual investment may experience upward or downward movements. There is an inherent risk that losses may beincurred rather than profit made as a result of buying or selling investments, particularly with regards to Alternative Investment type funds, such as Hedge funds.   The latter are suitable for sophisticated investors as part of a balanced portfolio, and such investors must have the financial capacity to withstand the risks involved andpotentially bear the loss of their entire investment.

 

14.   Where you embark on a strategy for releasing equity from your property for partial own use and or tax mitigation, and where the majority of the capital is invested into asset-backed investments with the aim of achieving returns to meet interest or capital andinterest repayments, there is a risk that investments will not generate the required return.  You will then need touse other reserves of capital to service interest or capital and interestrepayments, and if these are not available, possession and sale by the lendinginstitution of your capital asset on which the loan is secured may be necessary to fully liquidate the loan.

 

15.   Both McLaren Asset Management and you as our client undertake to notify each otherin the event of any material change in the information provided in thisagreement.

 

16.   Ifyou should have any complaint about the advice or service you receive or aproduct in which you have invested you should write to the Manager at the address in Marbella given at the head of this Agreement.

 

17.   This agreement shall be governed by the laws of Spain.