Common use of Margin Maintenance Requirements Clause in Contracts

Margin Maintenance Requirements. You must maintain a minimum amount of equity in your account to collateralize your outstanding loans and other obligations. Margin maintenance requirements are set: • By the rules and regulations of the New York Stock Exchange, the American Stock Exchange, and other regulatory agencies to the jurisdiction of which we are subject; and • According to Apex’s sole discretion and judgement. You agree to maintain in your Margin and Short Account collateral of the type and amount required by: • Applicable exchange rules and federal regulations; and • Our Disclosure of Credit Terms and Policies; or • As required by Apex, at its discretion. Margin maintenance requirements may change without prior notice. We or Apex may issue a "margin call" (that is, a notification to deposit additional collateral) if your account equity falls below the margin maintenance requirement. This can happen for various reasons. The most common reasons are a decrease in the value of long securities held as collateral or an increase in the value of securities held short. As a general guideline and when it is practicable to do so, we or Apex may (but are not required to) issue a margin call when the equity in your Margin and Short Account falls below a predetermined percentage of the market value of assets at risk (that is, the sum of the market values of the long and short equity security positions) in your Margin and Short Account. The amount of additional collateral we require usually is an amount sufficient to raise your equity to minimum standards. For information on the current equity requirements, please contact us at [INSERT CONTACT INFO OR WEB LINK]. Apex retains absolute discretion to determine whether, when and in what amounts we will require additional collateral. In some situations, Apex may find it necessary to require a higher level of equity in your account. For example, Apex may require additional collateral if an account contains: • Only one security or a large concentration of one or more securities; or • Low-priced, thinly traded or volatile securities; or if • Some of your collateral is or becomes restricted or non-negotiable or non-marginable. We or Apex also may consider market conditions and your financial resources.

Margin Maintenance Requirements. You must maintain a minimum amount of equity in your account to collateralize your outstanding loans and other obligations. Margin maintenance requirements are set: • By the rules and regulations of the New York Stock Exchange, the American Stock Exchange, and other regulatory agencies to the jurisdiction of which we are subject; and • According to Apex’s our sole discretion and judgement. You agree to maintain in your Margin and Short Account collateral of the type and amount required by: • Applicable exchange rules and federal regulations; and • Our Disclosure of Credit Terms and Policies; or • As required by Apexus, at its our discretion. Margin maintenance requirements may change without prior notice. We or Apex may issue a "margin call" (that is, a notification to deposit additional collateral) if your account equity falls below the margin maintenance requirement. This can happen for various reasons. The most common reasons are a decrease in the value of long securities held as collateral or an increase in the value of securities held short. As a general guideline and when it is practicable to do so, we or Apex may (but are not required to) issue a margin call when the equity in your Margin and Short Account falls below a predetermined percentage of the market value of assets at risk (that is, the sum of the market values of the long and short equity security positions) in your Margin and Short Account. The amount of additional collateral we require usually is an amount sufficient to raise your equity to minimum standards. For information on the current equity requirements, please contact us at [INSERT CONTACT INFO OR WEB LINK]your broker. Apex retains We retain absolute discretion to determine whether, when and in what amounts we will require additional collateral. In some situations, Apex we may find it necessary to require a higher level of equity in your account. For example, Apex we may require additional collateral if an account contains: • Only one security or a large concentration of one or more securities; or • Low-priced, thinly traded or volatile securities; or if • Some of your collateral is or becomes restricted or non-negotiable or non-marginable. We or Apex also may consider market conditions and your financial resources.if

Margin Maintenance Requirements. You must maintain a minimum amount of equity in your account to collateralize your outstanding loans and other obligations. Margin maintenance requirements are set: • By the rules and regulations of the New York Stock Exchange, the American Stock Exchange, and other regulatory agencies to the jurisdiction of which we are subject; and • According to Apex’s our sole discretion and judgement. You agree to maintain in your Margin and a nd Short Account collateral of the type and a nd amount required by: • Applicable exchange rules and federal regulations; and • Our Disclosure of Credit Terms and Policies; or • As required by Apexus, at its our discretion. Margin maintenance requirements may change without prior notice. We or Apex may issue i ssue a "margin call" (that is, a notification to deposit additional collateral) if your account equity falls below the margin maintenance requirement. This can happen for various reasons. The most common reasons are a decrease in the value of long securities held as collateral or an increase in the value of securities held short. As a general guideline and when it is i t i s practicable to do so, we or Apex may (but are not required to) issue a margin call when the equity in your Margin and Short Account falls below a predetermined percentage of the market value of assets at risk (that is, the sum of the market values of the long and short equity security positions) in your Margin and Short Account. The amount of additional collateral we require usually is i s an amount sufficient to raise your equity to minimum mi nimum standards. For information i nformation on the current equity requirements, please contact us at [INSERT CONTACT INFO OR WEB LINK]your broker. Apex retains We retain absolute discretion to determine whether, when and in what amounts we will require additional collateral. In some situations, Apex we may find it i t necessary to require a higher level of equity in your account. For example, Apex we may require additional collateral if i f an account contains: • Only one security or a large concentration of one or more securities; or • Low-priced, thinly traded or volatile securities; or if • Some of your collateral is or becomes restricted or non-negotiable or non-marginable. We or Apex also may consider market conditions and your financial resources.

Margin Maintenance Requirements. You must maintain a minimum amount of equity in your account to collateralize your outstanding loans and other obligations. Margin maintenance requirements are set: • By the rules and regulations of the New York Stock Exchange, the American Stock Exchange, and other regulatory agencies to the jurisdiction of which we are subject; and • According to Apex’s sole discretion and judgement. You agree to maintain in your Margin and Short Account collateral of the type and amount required by: • Applicable exchange rules and federal regulations; and • Our Disclosure of Credit Terms and Policies; or • As required by Apex, at its discretion. Margin maintenance requirements may change without prior notice. We or Apex may issue a "margin call" (that is, a notification to deposit additional collateral) if your account equity falls below the margin maintenance requirement. This can happen for various reasons. The most common reasons are a decrease in the value of long securities held as collateral or an increase in the value of securities held short. As a general guideline and when it is practicable to do so, we or Apex may (but are not required to) issue a margin call when the equity in your Margin and Short Account falls below a predetermined percentage of the market value of assets at risk (that is, the sum of the market values of the long and short equity security positions) in your Margin and Short Account. The amount of additional collateral we require usually is an amount sufficient to raise your equity to minimum standards. For information on the current equity requirements, please contact us at [INSERT CONTACT INFO OR WEB LINK]xxxxx://xxxxxxxxxxxx.xxx/Help/CustomerService.aspx or xxxxx://xxxxxxxxxx.xxx/public/mb/contactus.aspx. Apex retains absolute discretion to determine whether, when and in what amounts we will require additional collateral. In some situations, Apex may find it necessary to require a higher level of equity in your account. For example, Apex may require additional collateral if an account contains: • Only one security or a large concentration of one or more securities; or • Low-priced, thinly traded or volatile securities; or if 05/07/2020 • Some of your collateral is or becomes restricted or non-negotiable or non-marginable. We or Apex also may consider market conditions and your financial resources.

Margin Maintenance Requirements. You must maintain a minimum amount of equity in your account to collateralize your outstanding loans and other obligations. Margin maintenance requirements are set: • By the rules and regulations of the New York Stock Exchange, the American Stock Exchange, and other regulatory agencies to the jurisdiction of which we are subject; and • According to Apex’s sole discretion and judgement. You agree to maintain in your Margin and Short Account collateral of the type and amount required by: • Applicable exchange rules and federal regulations; and • Our Disclosure of Credit Terms and Policies; or • As required by Apex, at its discretion. Margin maintenance requirements may change without prior notice. We or Apex may issue a "margin call" (that is, a notification to deposit additional collateral) if your account equity falls below the margin maintenance requirement. This can happen for various reasons. The most common reasons are a decrease in the value of long securities held as collateral or an increase in the value of securities held short. As a general guideline and when it is practicable to do so, we or Apex may (but are not required to) issue a margin call when the equity in your Margin and Short Account falls below a predetermined percentage of the market value of assets at risk (that is, the sum of the market values of the long and short equity security positions) in your Margin and Short Account. The amount of additional collateral we require usually is an amount sufficient to raise your equity to minimum standards. For information on the current equity requirements, please contact us at [INSERT CONTACT INFO OR WEB LINK]. Apex retains absolute discretion to determine whether, when and in what amounts we will require additional collateral. In some situations, Apex may find it necessary to require a higher level of equity in your account. For example, Apex may require additional collateral if an account contains: • Only one security or a large concentration of one or more securities; or • Low-priced, thinly traded or volatile securities; or if • Some of your collateral is or becomes restricted or non-negotiable or non-marginable. We or Apex also may consider market conditions and your financial resources. Day-Trading Risk Disclosure Statement You should consider the following points before engaging in a day-trading strategy. For purposes of this notice, a "day-trading strategy" means an overall trading strategy characterized by the regular transmission by a customer of intra-day orders to effect both purchase and sale transactions in the same security or securities. Day trading can be extremely risky. Day trading generally is not appropriate for someone of limited resources and limited investment or trading experience and low risk tolerance. You should be prepared to lose all of the funds that you use for day trading. In particular, you should not fund day-trading activities with retirement savings, student loans, second mortgages, emergency funds, funds set aside for purposes such as education or home ownership, or funds required to meet your living expenses. Further, certain evidence indicates that an investment of less than $50,000 will significantly impair the ability of a day trader to make a profit. Of course, an investment of $50,000 or more will in no way guarantee success. Be cautious of claims of large profits from day trading. You should be wary of advertisements or other statements that emphasize the potential for large profits in day trading. Day trading can also lead to large and immediate financial losses. Day trading requires knowledge of securities markets. Day trading requires in-depth knowledge of the securities markets and trading techniques and strategies. In attempting to profit through day trading, you must compete with professional, licensed traders employed by securities firms. You should have appropriate experience before engaging in day trading. Day trading requires knowledge of a firm's operations. You should be familiar with a securities firm's business practices, including the operation of the firm's order execution systems and procedures. Under certain market conditions, you may find it difficult or impossible to liquidate a position quickly at a reasonable price. This can occur, for example, when the market for a stock suddenly drops, or if trading is halted due to recent news events or unusual trading activity. The more volatile a stock is, the greater the likelihood that problems may be encountered in executing a transaction. In addition to normal market risks, you may experience losses due to systems failures. Day trading will generate substantial commissions, even if the per trade cost is low. Day trading involves aggressive trading, and generally you will pay commission on each trade. The total daily commissions that you pay on your trades will add to your losses or significantly reduce your earnings. For instance, assuming that a trade costs $16 and an average of 29 transactions are conducted per day, an investor would need to generate an annual profit of $111,360 just to cover commission expenses. Day trading on margin or short selling may result in losses beyond your initial investment. When you day trade with funds borrowed from a firm or someone else, you can lose more than the funds you originally placed at risk. A decline in the value of the securities that are purchased may require you to provide additional funds to the firm to avoid the forced sale of those securities or other securities in your account. Short selling as part of your day-trading strategy also may lead to extraordinary losses, because you may have to purchase a stock at a very high price in order to cover a short position. Potential Registration Requirements. Persons providing investment advice for others or managing securities accounts for others may need to register as either an "Investment Advisor" under the Investment Advisors Act of 1940 or as a "Broker" or "Dealer" under the Securities Exchange Act of 1934. Such activities may also trigger state registration requirements. <.. image(Logo Description automatically generated) removed ..> DISCLOSURE MARGIN RISK DISCLOSURE STATEMENT ❖ FINRA Rule 2264 Apex is furnishing this document to provide you with basic facts about purchasing securities on margin, and to alert you to the risks involved with trading securities in a margin account. Before trading in a margin account, you should carefully review the margin agreement provided by your broker. Consult your broker regarding any questions or concerns you may have with your margin accounts. When you purchase securities, you may pay for the securities in full or you may borrow part of the purchase price from your brokerage firm. If you choose to borrow funds from your firm, you will open a margin account with the firm. The securities purchased are the firm’s collateral for the loan to you. If the securities in your account decline in value, so does the value of the collateral supporting your loan, and as a result, the firm can take action, such as issue a margin call and/or sell securities in your account, in order to maintain the required equity in the account. It is important that you fully understand the risks involved in trading securities on margin. These risks include the following: ▪ You can lose more funds than you deposit in the margin account A decline in the value of securities that are purchased on margin may require you to provide additional funds to the firm that has made the loan to avoid the forced sale of those securities or other securities in your account. ▪ The firm can force the sale of securities in your account If the equity in your account falls below the maintenance margin requirements under the law, or the firm’s higher “house” requirements, the firm can sell the securities in your account to cover the margin deficiency. You also will be responsible for any shortfall in the account after such a sale. ▪ The firm can sell your securities without contacting you Some investors mistakenly believe that a firm must contact them for a margin call to be valid, and that the firm cannot liquidate securities in their accounts to meet the call unless the firm has contacted them first. This is not the case. Most firms will attempt to notify their customers of margin calls, but they are not required to do so. However, even if a firm has contacted a customer and provided a specific date by which the customer can meet a margin call, the firm can still take necessary steps to protect its financial interest, including immediately selling the securities without notice to the customer. ▪ You are not entitled to choose which security in your margin account is liquidated or sold to meet a margin call Because the securities are collateral for the margin loan, the firm has the right to decide which security to sell in order to protect its interests. ▪ The firm can increase its “house” maintenance margin requirement at any time and is not required to provide you advance written notice These changes in firm policy often take effect immediately and may result in the issuance of a maintenance margin call. Your failure to satisfy the call may cause the member to liquidate or sell securities in your account. ▪ You are not entitled to an extension of time on a margin call While an extension of time to meet margin requirements may be available to customers under certain conditions, a customer does not have a right to the extension. ▪ The IRS requires Broker Dealers to treat dividend payments on loaned securities positions as a “substitute payment” in lieu of a dividend A substitute payment is not, a “qualified dividend” and is not taxed as ordinary income. ▪ Industry regulations may limit, in whole or in part, your ability to exercise voting rights of securities that have been lent or pledged to others You may receive proxy materials indicating voting rights for a fewer number of shares than are in your account, or you may not receive any proxy materials. APEX CREDIT TERMS AND POLICIES The following Disclosure of Credit Terms and Policies is required by the Securities and Exchange Commission and is part of your Apex Account - Customer Account Agreement. It describes the terms under which Apex Clearing extends credit and charges interest and how your obligations are secured by property in your Account.

Margin Maintenance Requirements. You must maintain a minimum m inim um amount of equity in your account to collateralize your outstanding loans and other obligations. Margin maintenance m aintenance requirements are set: • By the rules and regulations of the New York Stock Exchange, the American Stock Exchange, Exchange and other regulatory agencies to the jurisdiction of which we are subject; and • According to Apex’s our sole discretion and judgementjudgment. You agree to maintain in your Margin and Short Account collateral of the type and amount required by: • Applicable exchange rules and federal regulations; and • Our Disclosure of Credit Terms and Policies; or • As required by Apexus, at its our discretion. Margin maintenance m aintenance requirements may change maychange without prior notice. We or Apex may Wemay issue a "margin m argin call" (that is, a notification to deposit additional collateral) if your account equity falls below the margin maintenance m argin m aintenance requirement. This can happen for various reasons. The most common reasons are a decrease in the value of long securities held as collateral or an increase in the value of securities held short. As a general guideline and when it is practicable to do so, we or Apex may (but are not required to) issue a margin call when the equity in your Margin and Short Account falls below a predetermined percentage of the market m arket value of assets at risk (that is, the sum of the market values of the long and short equity security positions) in your Margin and Short Account. The amount of additional collateral we require usually is an amount am ount sufficient to raise your equity to minimum minim um standards. For information on the current equity requirementsrequirem ents, please contact us at [INSERT CONTACT INFO OR WEB LINK]your broker. Apex retains We retain absolute discretion to determine determ ine whether, when and in what amounts am ounts we will require additional collateral. In some situations, Apex may we m ay find it necessary to require a higher level of equity in your account. For example, Apex we may require additional collateral if an account contains: • ∗ Only one o ne security or a large concentration of one or more m ore securities; or • ∗ Low-priced, thinly traded or volatile securities; or if • ∗ Some of your collateral is or becomes becom es restricted or non-negotiable or non-marginable. We or Apex also may consider mayconsider market conditions and your financial resources. I have read and agreed with Margin Disclosure Statement.

Margin Maintenance Requirements. You must maintain a minimum amount of equity in your account to collateralize your outstanding loans and other obligations. Margin maintenance requirements are set: • By the rules and regulations of the New York Stock Exchange, the American Stock Exchange, and other regulatory agencies to the jurisdiction of which we are subject; and • According to Apex’s sole discretion and judgement. You agree to maintain in your Margin and Short Account collateral of the type and amount required by: • Applicable exchange rules and federal regulations; and • Our Disclosure of Credit Terms and Policies; or • As required by Apex, at its discretion. Margin maintenance requirements may change without prior notice. We or Apex may issue a "margin call" (that is, a notification to deposit additional collateral) if your account equity falls below the margin maintenance requirement. This can happen for various reasons. The most common reasons are a decrease in the value of long securities held as collateral or an increase in the value of securities held short. As a general guideline and when it is practicable to do so, we or Apex may (but are not required to) issue a margin call when the equity in your Margin and Short Account falls below a predetermined percentage of the market value of assets at risk (that is, the sum of the market values of the long and short equity security positions) in your Margin and Short Account. The amount of additional collateral we require usually is an amount sufficient to raise your equity to minimum standards. For information on the current equity requirements, please contact us at [INSERT CONTACT INFO OR WEB LINK]xxxxx://xxxxxxxxxxxx.xxx/Help/CustomerService.aspx or xxxxx://xxxxxxxxxx.xxx/public/mb/contactus.aspx. Apex retains absolute discretion to determine whether, when and in what amounts we will require additional collateral. In some situations, Apex may find it necessary to require a higher level of equity in your account. For example, Apex may require additional collateral if an account contains: • Only one security or a large concentration of one or more securities; or • Low-priced, thinly traded or volatile securities; or if • Some of your collateral is or becomes restricted or non-negotiable or non-marginable. We or Apex also may consider market conditions and your financial resources.