Terms & Conditions

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OVERVIEW

This website is operated by RIGHTFOCUS INVESTMENTS PVT. LTD. (hereinafter referred to as “RIPL”) Throughout the site, the terms “we”, “us” and “our” refer to RIGHTFOCUS INVESTMENTS PVT. LTD. who offers this website, including all information, tools and services available from this site to you, the user, conditioned upon your acceptance of all terms, conditions, policies and notices stated here.

By visiting our site and/ or purchasing something from us, you engage in our “Service” and agree to be bound by the following terms and conditions (“Terms of Service”, “Terms”), including those additional terms and conditions and policies referenced herein and/or available by hyperlink. These Terms of Service apply to all users of the site, including without limitation users who are browsers, vendors, customers, merchants, and/ or contributors of content.

Please read these Terms of Service carefully before accessing or using our website. By accessing or using any part of the site, you agree to be bound by these Terms of Service. If you do not agree to all the terms and conditions of this agreement, then you may not access the website or use any services. If these Terms of Service are considered an offer, acceptance is expressly limited to these Terms of Service.

Any new features or tools which are added to the current site shall also be subject to the Terms of Service. You can review the most current version of the Terms of Service at any time on this page. We reserve the right to update, change or replace any part of these Terms of Service by posting updates and/or changes to our website. It is your responsibility to check this page periodically for changes. Your continued use of or access to the website following the posting of any changes constitutes acceptance of those changes.

Advisory

In this Agreement, unless otherwise defined, the following terms shall have the meaning as follows:

Portfolio means the Securities held by the Clients pursuant to investments made on the advice of the Investment Advisor under this Agreement;

Investment Plan shall mean the investment plan structured by the Investment Advisor pursuant to this Agreement;

Funds shall mean the monies deployed by the Client towards investments suggested by the Investment Advisor under this Agreement;

Regulations shall mean the SEBI (Investment Advisor Regulations) 2013 issued by the Securities and Exchange Board of India;

Securities shall mean all the securities as defined in Sec 2(h) of Securities Contract (Regulation) Act, 1956.

1. Appointment: The Client hereby appoints the Investment Advisor to provide financial planning services and advice on investing in, purchasing, selling or otherwise dealing in Securities or investment products, and advice on investment portfolio containing Securities under the terms and conditions of this Agreement.

2. Scope of Services: The services under this Agreement shall be restricted to the following scope:

The Services be limited to devising an Investment Plan and advising the Client with respect to Portfolio strategy and investment and divestment of Securities and Funds held by the Client, on a non-exclusive basis for an agreed fee structure and for a period hereinafter described, entirely at the Client’s risk.
The Investment Advisor’s authority over the Client’s investments shall only extend to services as described above. The actual investment shall be undertaken by the Client.
The Client has the sole discretion to decide on whether to act upon the advice tendered by the Investment Advisor and the Investment Advisor shall have no power, authority, responsibility or obligation to ensure or cause the client to act upon the advice tendered by investment advisor pursuant to this agreement.

3. Responsibilities of the Client:

Provide the Investment Advisor with clear investment objectives including, but not limited to, period and purpose of investment, income details, existing investments, risk appetite etc., and other pertinent matters as may be reasonably required by the Investment Advisor from time to time.
Authorize the Investment Advisor to respond to inquiries from, communicate and share information with the Client’s accountants, legal counsel, advisors and other consultants or professionals as deemed necessary by the Investment Advisor to provide its services to the Client and/or as requested by the Client.

4. Terms:This agreement shall commence on ________________ (hereinafter referred to as the “Date of Commencement”) and remain valid for a period of five (5) years therefrom. On expiry, the Agreement shall be deemed to be renewed ipso facto for another five (5) years unless agreed otherwise by the Parties.

5. Consideration and Expenses:

The Parties agree that the consideration for the Services provided herein shall be assessed on Monthly / Quarterly/ half yearly or yearly basis as may be mutually agreed by the parties where the yearly term shall commence on the “Date of Commencement” of this agreement (hereinafter referred to as the “Financial Calendar”) every year.
The calculation of the fees shall be on the basis of “fixed fee” and “return based fee” in accordance with the terms set forth under Annexure I of this Agreement attached herein below.
The Client shall also pay any applicable taxes, levies or duties, including service tax that may be levied on any transactions undertaken pursuant to this Agreement.
In the event that the Client defaults on payment of consideration of services in accordance with the terms set forth under Annexure I after thirty (30) days from when due notice of default has been served, the Investment Advisor may disable the access of the Client to his/her Client Account.

6. Termination:

It is agreed that either party to this Agreement shall have the right to terminate this Agreement without having to assign any reasons, by providing the other party, a thirty (30) days’ prior written notice of the same.
Without prejudice to any other remedy available at law or equity, in the event of default by either of the Parties, the non-defaulting Party shall have the right to terminate this Agreement forthwith in the event of the defaulting Party failing to perform or rectify such breach of its obligations under this Agreement within a period of thirty (30) days from the date of notice to rectify such default.
It is further agreed that in the event of termination of this Agreement, the Client shall be liable to pay the fee due till the date of termination of this Agreement on a pro-rata basis of assessment subject to Annexure I attached herein under.

7. Confidentiality: The Investment Advisor agrees to handle all information provided by the Client with utmost care and confidentiality in accordance with applicable regulations and prescribed industry standards. However, if required by an appropriate government authority or by the Regulations, the Investment Advisor may have to divulge said confidential information but agrees to provide appropriate notice to the Client before doing so.

8. Investment Risks: The Client expressly acknowledges and agrees that all investments are subject to third party risks, market risks etc., and in no circumstance shall the Investment Advisor be liable for any losses suffered by the Client as a result of any investment made pursuant to this Agreement. A list of such risks has been described in Annexure II of this Agreement; however, it shall in no manner serve as conclusive list of all possible risks that could arise out of such investment.

9. Limitation of Liability:

The Parties hereby agree that the risks and losses incurred by the Client in pursuance of financial advice rendered by the Investment Advisor shall be borne solely and exclusively by the Client and/or any legal representative of the Client.
The Client understands that the responsibility of the Investment Advisor does not extend beyond providing a financial advice that is best suited to the investment needs of the Client and as such any investment decision made by the Client, relying completely or in part, upon the financial advice rendered by the Investment Advisor shall be deemed to have been made voluntarily and independent of the Investment Advisor’s influence.
The Client understands that the financial advice rendered by the Investment Advisor is subjective and unique to the investment related needs and the financial situations of the Client and is designed in the light of the market conditions. Any advice rendered to a third party by the Investment Advisor and benefits thus accrued or the losses incurred by the same shall have no bearing whatsoever upon the unique financial advice rendered to the Client.
The Client Further agrees that any risk undertaken and/or loss incurred by employing the unique financial advice rendered by the Investment Advisor to a third party shall be the responsibility and/or the liability of the Client and/or any legal representative thereof.
The Investment Advisor undertakes to render financial advice best suited to the Client’s requirement with considerable diligence. The Investment Advisor shall not be liable for any loss incurred by the Client during or after the term of this Agreement.

10. Conflict of Interests: The Client also understands that the Investment Advisor may give advice or take action in performing their duties to other clients, or for their own accounts, that differ from advice given to or acts taken for the Client. The Investment Advisor is not obligated to buy, sell or recommend for Client any security or other investment, that the Investment Advisor may buy, sell or recommend for any other Client or for its own accounts. This Agreement does not limit or restrict in any way Investment Advisor from buying, selling or trading in any security or other investments for their own accounts, subject to compliance with the Regulations.

11. Execution/Distribution Services: The Investment Advisor company also provides services involving execution of the said investments through a Separately Identifiable Department (SID). Should the Client wish to avail of the said execution services, it shall enter into a separate agreement for the same. In case the Client also avails of the execution services, the investment advice rendered to the Client may be made available in a central depository where the SID providing execution services may access the same. This will only be done on the express authorization of the Client, and incompliance with the Regulations, to ensure smooth processing for the Client.

It is expressly agreed between the parties that it is not mandatory for the customer to opt for Execution services from Right Focus Investments Pvt Ltd. Customer can make their own choice and can just take the advice of the investment advisor and execute the same with anyone else of their choice.
Right Focus offers advise on advanced investment strategies. One such strategy is through a dynamic asset allocation model that is created by Right Focus which is proprietary to them. Called “Finatoz Timing Model or FTM”. Customer shall not disclose or share the advise received from the investment advisor under the FTM model with others.
In case the customer decides to execute the investment advise with any other service provider, then the advise on conventional asset allocation based portfolio management with annual rebalancing will be provided. “FTM based advise models will not be applicable in such situations.

12. Representations, Warranties and Declarations: The Client hereby represents, warrants, declares and undertakes to the Investment Advisor as under:

The Client has full legal capacity and authorizations to execute this Agreement and it shall form a legal, valid and binding obligation on the Client, enforceable against the Client in accordance with its terms.
The execution, delivery and performance by the Client of this Agreement and the acts and transactions contemplated hereby do not and will not, with or without the giving of notice of lapse of time or both, violate, conflict with, require any consent under or result in a breach of or default under: a) Any law to which it is subject to; or b) Any order, judgment or decree applicable to it; or c) Any term, condition, covenant, undertaking, agreement or other instrument to which it is a party or by which it is bound.
The Client has read the Agreement and is aware of all the risks associated with the nature of the Services and the transaction contemplated under the Agreement, whether set out in the Agreement or not, and shall not hold the Investment Advisor and/or any person appointed by it, responsible for the same.
The Investment Advisor shall have the full liberty and absolute discretion to make necessary changes in the Agreement and/or do any act, deed, matter or thing necessary to comply with any law for the time being in force and the Investment Advisor shall not be held liable for the same.

13. Non-Exclusivity: The Parties agree that the relationship arrangement enshrined under this Agreement is based on non-exclusivity of services. The Client is free to obtain any legal, accounting, and any other financial services from any professional source to supplement and to implement the recommendations of the Investment The Client will retain absolute discretion over all investment and implementation decisions.

14. Assignment: Neither the Investment Advisor nor the Client shall have the right or power to assign this Agreement or parts thereof, without the express written consent of the other Party. In the event of the merger, dissolution or termination of either Party, the Parties agree that either Party may assign to a successor entity any rights, obligations and functions it may have remaining under this Agreement.

15. General Conditions:

This Agreement shall be applicable only to financial advice contained in the financial analysis, investment recommendation or plan individually prepared for the Client and shall not relate to any advice given by any person or persons not specifically designated by the Investment Advisor in writing to perform such services.
The advice and recommendations given to the Client are intended strictly for the Client benefit, and no other persons shall be entitled to rely on such information.
The Investment Advisor is not responsible for the actions, omissions or insolvency of any agent, broker or independent contractor that is recommended to perform any action for the Client’s account.
The Investment Advisor is responsible only for the assets over which the Client has provided the Investment Advisor discretionary authority and not for the diversification or prudent investment of any other assets of the Client.
This Agreement represents the complete agreement of the parties with regard to the subject matter and supersedes any prior understanding or agreements, oral or written.
No provision hereof or breach of any provision may be waived except by a written waiver, signed by the waiving Party. No waiver of any right under or breach of this Agreement shall be construed to be a waiver of any other right or breach.
Any provision of this Agreement which is prohibited or unenforceable under any law, rule or regulation shall be ineffective only to the extent of such prohibition or lack of enforceability and shall not invalidate the remaining provisions hereof.
No services other than those discussed in this Agreement, are implied or guaranteed, except as individually negotiated and confirmed in writing by the Parties.

16. Severability: The Parties herein agree that in the event of any of the clauses rendered unlawful in accordance with the imposition of new government policies, rules or enactments, the rest of the clauses shall continue to remain in operation except as otherwise agreed upon by the Parties in writing.

17. Notice: Any notice, demand or other communication to be made under or in connection with this Agreement shall be made in writing unless otherwise stated. Such notice, demand, request or other communication shall be deemed to have been duly given or made when it shall be (i) delivered personally; or (ii) sent by facsimile; or (iii) sent by registered mail with acknowledgement due, postage prepaid or courier; or (iv) sent by email (provided that the email is followed up with a copy by any of the aforesaid modes) to the addresses as mentioned above.

Any change in the same must be intimated to the other Party at the earliest.

18. Arbitration and Dispute Resolution:

Any dispute in connection with the interpretation, performance, termination of this Agreement, or otherwise in connection with this Agreement (“Dispute”) shall be referred to arbitration under the Arbitration and Conciliation Act, 1996, as may be amended from time to time, or any re-enactment thereof, by a sole arbitrator to be mutually appointed by both Parties.
The arbitration proceedings shall be conducted at Bengaluru, in the English language.
The arbitration award in respect of a Dispute shall be final and binding on the Parties, and enforceable in accordance with its terms. The arbitrator shall state reasons for his / her findings in writing. The Parties agree to be bound thereby and to act accordingly.

19. Governing law and Jurisdiction:

The terms & Conditions of this Agreement shall be governed by the Laws of India.
The Parties agree that the courts in Bengaluru shall have exclusive jurisdiction over any dispute arising out of this Agreement.

Execution

In this Agreement, unless otherwise defined, the following terms shall have the meaning as follows:

Advisory Department shall mean the separately identifiable department of RIPL that provides advisory services to clients, some of whom may also avail of execution services under this Agreement;

Central Depository shall mean the system maintained by RIPL wherein investment plans of Client’s created by the Advisory Department are dropped, pursuant to authorization by the Client for the purpose of execution under this Agreement;

Client’s Account shall mean the account created by the Client on the web portal of RIPL, which may be used by the Client or his representative to conduct Investment Transactions, and to track the status of his Investment Transactions;

Funds shall mean the monies deployed by the Client towards the Investment Transactions;

Investment Platform shall mean any authorized third party online investment platform empaneled with Association of Mutual Funds, India through which the Client invests into the Investment Entity;

Investment Transactions shall mean, but not be limited to, purchases, sales, subscriptions, transfers, switching, conversions and redemptions;

Securities shall mean all the securities as defined in Sec 2(h) of Securities Contract (Regulation) Act, 1956;

Trail Commission shall mean the commission received by RIPL by the Investment Platform for services provided under this Agreement;

Investee Entity shall mean the Securities into which the Client invests its Funds, including but not limited to mutual funds, equity securities, derivatives, SIPs etc;

Investment Plan shall mean the portfolio of the Client structured by the Advisory Department or an independent third party advisor;

Regulations shall mean the SEBI (Investment Advisor Regulations) 2013 issued by the Securities and Exchange Board of India;

Tripartite Agreement shall mean the agreement entered into between the Client, RIPL, and the Investment Platform, appointing the Third Party Transaction Platform to conduct Investment Transactions on behalf of the Client through the portal of RIPL;

Interpretation:Save where the context otherwise requires in this Agreement:

Words of any gender are deemed to include those of the other gender;
Words using the singular or plural number also include the plural or singular number, respectively;
Where a word or phrase is defined, its other grammatical forms have the corresponding meaning;
The terms “hereof”, “herein”, “hereby”, “hereto” and derivative or similar words refer to this entire Agreement or specified Clauses of this Agreement, as the case may be;
The term “Clause” and “Schedule” refers to the specified Clause and Schedule of this Agreement;
Clauses, headings, bold typeface, index, titles and Schedule headings are only for convenience and shall be ignored for the purposes of interpretation;

Reference to any legislation or applicable Law or to any provision thereof shall include references to any such Law as it may, after the date hereof, from time to time, be amended, supplemented or re-enacted, and any reference to statutory provision shall include reference to any subordinate.

20. Scope of Services:

Setting up Investment Transactions for the Client based on the Investment Plan (a) provided by the Client who has appointed a third-party investment advisor, or (b) obtained through the Central Depository.
Providing the Client with access to undertake Investment Transactions based entirely on the Investment Plan.
Providing a platform for the Client to monitor and track his investments made through the Investment Platform.
Coordination with the Investment Platform on behalf of the Client as and when required.
RIPL’s authority over the Client’s investments shall only extend to services as described above. RIPL will only serve as a platform for the Client to undertake Investment Transactions, based wholly on the portfolio plan provided by the Client. This will not be construed to include Investment Advice, which may be provided by RPIL’s separately identifiable advisory department but the two shall in no way be connected and be deemed to be provided by two different unconnected entities.
The Client has the sole discretion to decide on whether to enter into any Investment Transaction, and RIPL shall have no power, authority, responsibility or obligation to encourage or dissuade the client to enter into any Investment Transaction pursuant to this agreement.

21. Responsibilities of the Client:

Creating a Client Account on the portal of RIPL, providing all necessary details that may be required for conducting Investment Transactions.
Entering into a Tripartite Agreement if so required.
Providing RIPL with the Investment Plan or authorizing RPIL to obtain the same from the Central Depository.
Authorizing the execution of the Investment Transactions through the Clint Account through the Investment Platform.
Authorizing RIPL to respond to inquiries from, communicate and share information with the Client’s accountants, legal counsel, advisors and other consultants or professionals as deemed necessary by RIPL to provide its services to the Client and/or as requested by the Client.

22. Consideration and Expenses:

The Parties understand that the services provided under this Agreement are solely to ease the process of investment for the Client.
RIPL may receive commissions (in the form of Trail Commission or any other mode) from the Investment Platform which could be either be from the platform itself or from any product company or could be an insurance or investment product as the case may be, for carrying out services under this Agreement.

23. Term: This agreement shall commence on the date of execution and remain valid for a period of five (5) years therefrom. On expiry, the Agreement shall be deemed to be renewed ipso facto for another five (5) years unless agreed otherwise by the Parties.

24. Termination:

It is agreed that either party to this Agreement shall have the right to terminate this Agreement without having to assign any reasons, by providing the other party, a thirty (30) days’ prior written notice of the same.
Without prejudice to any other remedy available at law or equity, in the event of default by either of the Parties, the non-defaulting Party shall have the right to terminate this Agreement forthwith in the event of the defaulting Party failing to perform or rectify such breach of its obligations under this Agreement within a period of thirty (30) days from the date of notice to rectify such default.
It is further agreed that in the event of termination of this Agreement, the Client shall be liable to pay the fee due till the date of termination of this Agreement on a pro-rata basis of assessment subject to Annexure II attached herein under.

25. Confidentiality: RIPL agrees to handle all information provided by the Client with utmost care and confidentiality in accordance with applicable regulations and prescribed industry standards. However, if required by an appropriate government authority or by the Regulations, the RIPL may have to divulge said confidential information but agrees to provide appropriate notice to the Client before doing so.

26. SIDs: It is expressly clarified herein that the advisory services and execution services are provided by two completely unconnected departments of the Company and shall in no manner be construed to imply one entity. The Company has followed all instructions prescribed by SEBI under the Regulations with respect to Separately Identifiable Departments in this regard

27. Investment Risks: RIPL is simply a facilitator of Investment Transactions and is in no way responsible to the potential risks that arise out of the said transactions. All investment risks shall be between the Investment Platform and the Client and RIPL shall not be responsible for any loss arising out of an investment risk in any manner whatsoever.

28. Limitation of Liability:

The Parties hereby agree that the risks and losses incurred by the Client while availing of the services provided by RIPL, which cannot be directly and specifically attributed to any negligence by RPIL, shall be borne solely and exclusively by the Client and/or any legal representative of the Client.
The responsibility of RIPL does not extend beyond facilitating Investment Transactions based wholly on the Investment Plan, and as such any investment decision made by the Client shall be deemed to have been made voluntarily and independent of RIPL’s influence.
The Client understands that the services rendered by RIPL is executed at the sole discretion of the Client. Any service provided to a third party by RIPL and benefits thus accrued or the losses incurred by the same shall have no bearing whatsoever upon the unique financial service rendered to the Client.
That in the event of the Client providing direct instructions to the Investment Platform or their agents, RIPL shall not be liable for any change caused by the same. The Client must update RIPL of any changes being effected by the Client directly with the Investment Entity.
RIPL will not be required to further verify any instruction so long as it is made from the Client’s Account.
RIPL is not liable for any loss or damage caused by the delay of the Client in ensuring sufficient balance to cover any and all costs which are payable in connection with Investment Transactions.

29. Conflict of Interests: The Client also understands that RIPL may take action in performing their duties to other clients, or for their own accounts, that differ from Investment Transaction opportunities or usage of different Investment Platforms as provided to the Client. RIPL is not obligated to provide different Investment Transaction opportunities or usage of different Investment Platforms for the Client which RIPL may provide to other Clients or for its own accounts. This Agreement does not limit or restrict in any way RIPL from buying, selling or trading in any security or other investments for their own accounts, subject to compliance with the Regulations.

30. Representations, Warranties and Declarations: The Client hereby represents, warrants, declares and undertakes to RIPL as under:

The Client has full legal capacity and authorizations to execute this Agreement and it shall form a legal, valid and binding obligation on the Client, enforceable against the Client in accordance with its terms.
The execution, delivery and performance by the Client of this Agreement and the acts and transactions contemplated hereby do not and will not, with or without the giving of notice of lapse of time or both, violate, conflict with, require any consent under or result in a breach of or default under: a) Any law to which it is subject to; or b) Any order, judgment or decree applicable to it; or c) Any term, condition, covenant, undertaking, agreement or other instrument to which it is a party or by which it is bound.
The Client has read the Agreement and is aware of all the risks associated with the nature of the Services and the transaction contemplated under the Agreement, whether set out in the Agreement or not, and shall not hold RIPL and/or any person appointed by it, responsible for the same.
RIPL shall have the full liberty and absolute discretion to make necessary changes in the Agreement and/or do any act, deed, matter or thing necessary to comply with any law for the time being in force and RIPL shall not be held liable for the same.
That all Investment Transactions so proposed to be concluded by the Client are subject to the local laws, regulatory norms and RIPL shall be within its rights to refuse access to any Investment Transactions which do not confirm to the same.
All Investment Transactions proposed to be conducted by the Client are subject to RIPLs internal policies and also policies and terms of the Third Party Transaction Platform as may be amended from time to time and RIPL shall be within its rights to refuse any transactions which do not confirm to the same.

31. Non-Exclusivity: The Parties agree that the relationship arrangement enshrined under this Agreement is based on non-exclusivity of services. The Client is free to obtain any legal, accounting, and any other financial services from any professional source to supplement the services provided by RIPL. The Client will retain absolute discretion over all investment and implementation decisions.

32. Assignment: Neither RIPL nor the Client shall have the right or power to assign this Agreement or parts thereof, without the express written consent of the other Party. In the event of the merger, dissolution or termination of either Party, the Parties agree that either Party may assign to a successor entity any rights, obligations and functions it may have remaining under this Agreement.

33. Severability: The Parties herein agree that in the event of any of the clauses rendered unlawful in accordance with the imposition of new government policies, rules or enactments, the rest of the clauses shall continue to remain in operation except as otherwise agreed upon by the Parties in writing.

34. Notice: Any notice, demand or other communication to be made under or in connection with this Agreement shall be made in writing unless otherwise stated. Such notice, demand, request or other communication shall be deemed to have been duly given or made when it shall be (i) delivered personally; or (ii) sent by facsimile; or (iii) sent by registered mail with acknowledgement due, postage prepaid or courier; or (iv) sent by email (provided that the email is followed up with a copy by any of the aforesaid modes) to the addresses as mentioned above.

Any change in the same must be intimated to the other Party at the earliest/ within ____.

35. Arbitration and Dispute Resolution:

Any dispute in connection with the interpretation, performance, termination of this Agreement, or otherwise in connection with this Agreement (“Dispute”) shall be referred to arbitration under the Arbitration and Conciliation Act, 1996, as may be amended from time to time, or any re-enactment thereof, by a sole arbitrator to be mutually appointed by both Parties.
The arbitration proceedings shall be conducted at Bengaluru, in the English language.
The arbitration award in respect of a Dispute shall be final and binding on the Parties, and enforceable in accordance with its terms. The arbitrator shall state reasons for his / her findings in writing. The Parties agree to be bound thereby and to act accordingly.

36. Governing law and Jurisdiction:

The terms & Conditions of this Agreement shall be governed by the Laws of India.
The Parties agree that the courts in Bengaluru shall have exclusive jurisdiction over any dispute arising out of this Agreement.

37. CONTACT INFORMATION

Questions about the Terms of Service should be sent to us at support@finatoz.com.

Annexure I

Consideration

Refer : www.finatoz.com/pricing/#fees

Annexure II

Consideration

1. Third Party Risk:

The Investment Advisor shall not be liable for any loss or damage caused by reason of failure or delay by the issuers of the Securities to deliver Securities of issuers purchased even though payment have been made for the same or failure or delay in making payment in respect of any units of Securities of issuers sold though they may have been delivered and the Client shall hold the Investment Advisor harmless and free from any claim in respect thereof.
The Investment Advisor shall also not be liable for any delay, failure or refusal of the issuers in registering or transferring of Securities to the Client’s name or for any interest, dividend or other loss caused to the Client arising therefrom.

2. Risk Acknowledgment:

The Investment Advisor does not guarantee the future performance of any of the Securities purchased or any specific level of performance, the success of any investment decisions or strategy that the Investment Advisor may use. The Client understands that investment decisions made for the Client’s account by the Investment Advisor are subject to various market, currency, economic, political and business risks, and that those investment decisions will not always be profitable.
Except as may otherwise be provided by law, the Investment Advisor will not be liable to Client for (a) any loss that Client may suffer by reason of any investment decision made or other action taken or omitted in good faith by the Investment Advisor with that degree of care, skill, prudence, and diligence under the circumstance that a prudent person acting in a fiduciary capacity would use (b) any loss arising from the Investment Advisor’s adherence to Client’s written or oral instructions; or (c) any act or failure to act by any broker or dealer who the Investment Advisor directs transactions for the Client, or by any other third party.

3. Market and Other Related Risks:
The Client expressly agrees and acknowledges that all investments are subject to market and other related risks and there is no assurance or guarantee, whether directly or indirectly, that the value of or return on investments will always be accretive, and that it could depreciate to an unpredictable extent. The Client further agrees and acknowledges that the details of risk foreseen by the Investment Advisor and risk relating to the Securities recommended by the Investment Advisor for investment or disinvestments includes but is not restricted to the following:

Investment in equities, derivatives and mutual funds are subject to market risks and there is no assurance or guarantee that the objective of the schemes will be achieved.
With any investment in Securities, the net asset value of the Portfolio can go up or down depending upon the factors and forces affecting the capital market.
The performance may be affected by changes in Government policies, general levels of interest rates and risk associated with trading volumes, liquidity and settlement systems in equity and debt markets.
Investments in debt instruments are subject to default risk and interest rate. Interest rate risk results from changes in demand and supply for money and other macro-economic factors and creates price changes in the value of the debt instruments. Consequently, the net asset value of the Portfolio may be subject to fluctuation.
Investments in debt instruments are subject to reinvestment risks as interest rates prevailing on interest or maturity due dates may differ from the original coupon of the board, which might result in the proceeds being invested at a lower rate.
Engaging in Securities lending is subject to risks related to fluctuations in collateral value/settlement/liquidity/counter party.
Use of derivatives instruments like index, futures, stock futures and options contracts, warrants, convertible, Securities, swap agreements or any other derivative instruments, including but not restricted to, for the purpose of hedging and Portfolio balancing, as permitted under the Regulations and guidelines will expose to certain risk inherent to such derivatives. The Client is aware that the derivatives are highly leveraged instruments and even a small price movement in the underlying security could have a large impact on their value.

The Client understands that the following specific risks may arise in the context of Investment in Derivatives:

Investment in futures involves daily settlement of all positions. Every day the open positions are marked to market based on the closing level of the Index. The Index may move against the position that may have been assumed leading to Marked to Market losses; sometimes these may be substantial.
Under certain market conditions, it may be difficult or impossible to execute transactions. There may be insufficient liquidity owing to factors including insufficient bids or offers or suspension of trading owing to other reasons. The Client acknowledges this liquidity risk.
Buying an option carries a risk of losing the entire premium that is paid upfront on it, if the market in the security moves in a contrary direction to the position assumed.
The Exchange may impose restrictions and have absolute authority to restrict the exercise of options in specified circumstances in specified times. This reflects that there is liquidity risk involved in Investment in options.
The Option writer who sells the options runs the risk of losing substantial amount if the underlying asset does not move in the anticipated direction.
Investment in Derivatives for the purposes of hedging is subject to Basis risk. Basis risk is the risk that the Instrument of the hedge is not a perfect match for the Underlying. The Client acknowledges this Basis risk.
The Client expressly acknowledges that the aforementioned risks are strictly indicative and that other risks may arise in the context of investment in derivatives, particularly when positions are assumed synthetically, including for the purposes of generating returns.
The Client expressly agrees and undertakes not to hold the Investment Advisor liable, financially or otherwise, in respect of the aforesaid under any circumstances whatsoever.