Margin Account Execution. If the Client requests the Broker to provide the Client with margin financing for Securities trading and open a margin account in the name of the Client (“Margin Account”), please sign as below. If applicable, the date of my/our request to change from the Cash Account to Margin Account is . Margin Facility: Authorization under Section 148 of Securities and Futures Ordinance (Cap.571) The Client hereby authorizes and agrees that during the subsistence of the margin facilities between the Broker and the Client and whether or not the Client is indebted to the Broker for the time being, the Broker may for a period of 12 months from the date hereof dispose of the Client’s securities in any of the following manner without any notice to the Client: (1) deposit with financial institutions as security for advances or loans made to the Broker; (2) deposit with clearing houses as security for the Broker's discharge or satisfaction of its obligations under the relevant clearing systems; (3) lend such securities for the purposes of fulfilling settlement obligations with other brokers, dealers or clients; (4) dispose of such securities in settlement of any liability of the Client or the Client’s affiliates to repay or discharge the Broker or its affiliates (including but not limited to First Shanghai Futures Limited) of any indebtedness due and owing by the Client or the Client’s affiliates; and (5) otherwise deal with or dispose of such securities in any manner not restricted under the Securities and Futures Ordinance as the same may be modified, supplemented or re-enacted from time to time. The Client understands that the Client’s authorization given herein shall remain valid for a period of 12 months from the date hereof. Upon expiry of a period of 12 months as aforesaid, the Client’s authorization shall, unless renewed according to the Securities and Futures (Client Securities) Rules, become null and void. The Client understands that the Client may revoke the Client’s authorization at any time by giving to the Broker at least five business days' prior written notice. The Client also understands that the Broker will remain liable to the Client for the return of equivalent securities to the Client free from encumbrances after full payment by the Client of all outstanding loans and expenses under the facilities. The Client acknowledges that by granting the above authorization, the Broker can pool the Client’s securities and deposit them as collateral for loans and adva...
