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Broker Service Agreement
"I need a Broker Service Agreement for my Malaysian securities trading firm to use with institutional clients, focusing on electronic trading services and cross-border transactions with specific provisions for research services and market analysis."
1. Parties: Identification of the broker and client, including registration details and licensing information
2. Background: Context of the agreement and brief description of the brokerage services to be provided
3. Definitions: Key terms used throughout the agreement, including regulatory terms under Malaysian law
4. Scope of Services: Detailed description of brokerage services to be provided, including any limitations
5. Broker's Obligations: Key responsibilities of the broker, including regulatory compliance and service standards
6. Client's Obligations: Client's responsibilities, including information provision and compliance with broker's procedures
7. Fees and Payment: Compensation structure, payment terms, and any additional charges
8. Representations and Warranties: Standard warranties from both parties, including broker's licensing status and client's authority
9. Compliance with Laws: Obligations regarding Malaysian regulatory requirements, including AML and securities regulations
10. Confidentiality: Protection of confidential information and compliance with data protection laws
11. Term and Termination: Duration of agreement and circumstances for termination
12. Liability and Indemnification: Limitation of liability and mutual indemnification provisions
13. Dispute Resolution: Process for resolving disputes, including jurisdiction under Malaysian law
14. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment
1. Electronic Trading Services: Include when offering online trading platforms or electronic services
2. International Transactions: Include for cross-border trading services and international clients
3. Research Services: Include when providing market research and analysis services
4. Risk Disclosure: Include for retail clients or when dealing with high-risk products
5. Margin Requirements: Include when offering margin trading services
6. Sub-brokers: Include when services may be delegated to other brokers
7. Force Majeure: Include for protection against market disruptions and external events
1. Schedule 1: Fee Schedule: Detailed breakdown of all fees, commissions, and charges
2. Schedule 2: Services Description: Detailed scope of specific brokerage services offered
3. Schedule 3: Trading Parameters: Trading limits, authorized products, and market access
4. Schedule 4: Compliance Requirements: Specific regulatory requirements and compliance procedures
5. Schedule 5: Account Opening Forms: Required documentation for account setup and KYC
6. Appendix A: Risk Disclosure Statement: Mandatory risk disclosures required by Malaysian regulations
7. Appendix B: Electronic Trading Terms: Terms and conditions for electronic trading platforms
Authors
Financial Services
Securities Trading
Commodities Trading
Investment Banking
Real Estate
Insurance
Wealth Management
Corporate Finance
Capital Markets
Asset Management
Legal
Compliance
Operations
Risk Management
Trading
Client Services
Finance
Due Diligence
Business Development
Account Management
Compliance Officer
Legal Counsel
Broker-Dealer Representative
Risk Manager
Operations Manager
Account Manager
Trading Manager
Chief Executive Officer
Chief Financial Officer
Relationship Manager
Due Diligence Officer
KYC Specialist
Contract Administrator
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