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Financial advisory
RES5Financial Advisory Services✓Ms Rahim signed the account opening forms for a leveraged foreign exchange account with Bedok Futures on 3 February and traded that same afternoon. The firm emailed her the risk disclosure document on 10 February asking her to sign and return it, which she did on 12 February. What is the position?
Regulation 47E of the SF (Licensing and Conduct of Business) Regulations requires a CMS licence holder dealing in futures contracts, OTC derivatives contracts with currency or a currency index as underlying, or leveraged foreign exchange contracts to furnish a risk disclosure document to the client before the account is set up. RES 2B 4.4 states the same sequence.
The timing is the rule. A signature obtained later does not move the account opening date.
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