Common use of PRESCRIBED LIMITS Clause in Contracts

PRESCRIBED LIMITS. The SFC Rules imposes restrictions on the maximum number of futures contracts, including an option on a contract made under the rules or conventions of a futures market as defined in the Ordinance, for any one contract month or series that may be held or controlled by the Client. The prescribed limits on futures contracts are specified in schedule 1 of the SFC Rules. In general, the prescribed limits in schedule 1 of the SFC Rules are also reflected in the Rules of Futures Exchange. The Client should note that in addition to the prescribed limits, the Futures Exchange may impose other position limits on a particular contract, Galaxy International Futures or the Client where situations warrant such action. The Client should make reference to the HKEX website for the latest prescribed limits: xxxxx://xxx.xxxx.xxx.xx/Services/Trading/Derivatives/Overview/Trading-Mechanism/Large-Open-Positions-and-Position-Limits?sc_lang=en The prescribed limits apply to all positions held or controlled by any person including positions held by the person for his own account and positions belonging to other persons but under the control of such person (“Aggregation Requirements”). A person is regarded as having control of positions as for example where a person is allowed to exercise discretion to trade or dispose of the positions independently without the day- to-day direction of the owner of the positions. The prescribed limits do not apply to a person who controls positions merely by virtue of its corporate relationship (e.g. a parent company in relation to positions held by its affiliates/subsidiaries) provided that such person does not give its affiliates/subsidiaries any day-to-day direction with respect to trading. EachE of Galaxy International Futures and the Client is prohibited from entering into, holding or controlling more than thethe prescribed limits, unless the excess is expressly authorised by the Futures Exchange oror SFC in accordance with the SFC Rules.

PRESCRIBED LIMITS. The SFC Rules imposes restrictions on the maximum number of futures contracts, including an option on a contract made under the rules or conventions of a futures stock options contracts in any one market as defined direction (N.B. long calls and short puts are in the Ordinance, same market direction while short calls and long puts are in the same market direction) for any one contract month or series all expiry months combined that may be held or controlled by the Client. The prescribed limits on futures stock options contracts are specified in schedule 1 2 of the SFC Rules. In general, the prescribed limits in schedule 1 2 of the SFC Rules are also reflected in the Rules of Futures ExchangeSEHK. The Client should note that in addition to the prescribed limits, the Futures Exchange SEHK may impose other position limits on a particular contract, Galaxy International Futures Securities or the Client where situations warrant such action. The Client should make reference to the HKEX website for the latest prescribed limits: xxxxx://xxx.xxxx.xxx.xx/Services/Trading/Derivatives/Overview/Trading-Mechanism/Large-Open-Positions-and-Position-Limits?sc_lang=en The prescribed limits apply to all positions held or controlled by any person including positions held by the person for his own account and positions belonging to other persons but under the control of such person (“Aggregation Requirements”). A person is regarded as having control of positions as for example where a person is allowed to exercise discretion to trade or dispose of the positions independently without the day- to-day direction of the owner of the positions. The prescribed limits do not apply to a person who controls positions merely by virtue of its corporate relationship (e.g. a parent company in relation to positions held by its affiliates/subsidiaries) provided that such person does not give its affiliates/subsidiaries any day-to-day direction with respect to trading. EachE Each of Galaxy International Futures Securities and the Client is prohibited from entering into, holding or controlling more than thethe the prescribed limits, unless the excess is expressly authorised by the Futures Exchange oror SEHK or SFC in accordance with the SFC Rules.