• Introduction
The parties have come to an agreement with regards to the terms and conditions governing all transactions related to investments in precious metals such as gold, silver, platinum, and palladium. As per this agreement, the parties have agreed to the following terms and conditions.
• Definition
The term “bullion” refers to high-quality precious metal bars and coins, including gold, silver, platinum, and palladium, that are intended for trading in units of ounces, kilograms, and/or ten tolas. They must meet the minimum purity requirements of the Dubai Good Delivery (DGD) and London Good Delivery (LGD) standards unless specified otherwise by the company. Determining the type of bullion and its distribution will only be done upon the client’s request for physical delivery through a bullion account approved by the company. All trades and transactions involving precious metals are subject to the laws and regulations of the Department of Economic Development of the Dubai Government and Dubai Multi Commodities Center (DMCC).
Clients may trade any of the precious metals through the company’s approved accounts, including the Regular Bullion Account, which requires the client to deposit the full price of their commodity, and the Special Bullion Account, which allows clients to fix a precious metal’s price by depositing a pre-agreed percentage of the transaction’s total value. Clients must complete the remaining balance before applying to obtain the precious metals physically within an agreed-upon timeframe, with the possibility of extending the timeframe as determined by the company. Failure to cover the remaining balance within the agreed timeframe may result in a financial penalty imposed by the company.
The value of bullion trades is calculated using the mathematical formula (bullion quantity in units of ounces, kilograms, or ten tolas * the unit price as pre-determined in the sale agreement), while the market value of any bullion trading contract is equal to (bullion quantity in ounces, kilograms, or ten tolas * the current market value in USD). Clients must be aware that all bullion distributed is subject to the laws and regulations of the delivery location, and any risks arising from the delivery process will be the client’s or their attorney’s personal responsibility.
Terms and conditions of FINE STONE Bullion Investment Agreement:
This agreement is bound by the terms and conditions mentioned below, including the attached schedule. All transactions agreed upon by both parties will have physical redemption fees, shipping charges (if the client wants physical commodity delivery), online transaction fees (commission), and part payment requirements as per the attached schedule. The company cannot change limit orders or prices without informing the client three working days in advance.
If there are any payments due because of trading precious metals by either party (company or client), the binding party must pay the due amount on the due date as per article 1.3.2 or articles 2.3, 2.4, or 2.5 mentioned above.
The company can close all client’s positions on the investment platform or liquidate their account after providing prior notice (except if any company obligations towards the client are secured and irrevocable, or if any deals are pending). The company will not be liable to return any deposits in such cases. The following circumstances will lead to account closure or liquidation:
Client’s failure to pay any dues or obligations towards the company on their due dates.
Client’s inability to maintain their margin trading account level above >50%.
In case of liquidation, the company will inform the client within one working day. If the company cannot notify the client, they will not be held responsible, and the liquidation process will continue without any liability towards the client.
If for any legal reason the delivery of bullion cannot be made or if it becomes illegal, the two parties must agree that all deals affected by that reason may be liquidated. The net income will be paid after the completion of the liquidation process within one working day.
If the two parties cannot reach an actual and physical arrangement of commodities on the contract due date, they may agree on a cash settlement. This shall be calculated through the difference between the market value and trading value, irrespective of any fees that may result from such a process.
The company is responsible for sending client account statements or notices to the client’s email or fax. It shall be considered received on the same date of dispatching to the contact details provided by the client.
The company shall only accept money through bank accounts registered with it for its clients. It shall not accept any money remittance by third parties on behalf of the client unless through the client’s bank accounts.
All payments to the company’s bank accounts in Dubai shall be in USD, Euro or AED. The client shall inform the company and provide all necessary documents for proving payment.
The client shall not have any right to claim compensation for any losses resulting from costs, taxes, penalties or any damage, direct or indirect, arising from the company’s reasonable control.
The client shall provide the company with correct, complete and accurate details by filling in the KYC form. Providing the company with incorrect information is considered an offense punishable by law.
If any part of this agreement is determined to be illegal or invalid by any judicial authority or competent court, then the remaining articles shall remain valid.
In case of any dispute or conflict, it will be settled amicably between the two parties. If a settlement cannot be reached within one week, the company shall appoint one arbitrator to settle the dispute. If they cannot reach a settlement, the dispute shall be referred to arbitration in Dubai Courts.
This contract may not be terminated unless prior written notice is given by either party within 7 working days. Such termination shall not affect any pending or existing deals until being liquidated.
Additionally, trading in precious metals (bullion investments) is not suitable for all and contains many risks that the client shall be aware of before signing the agreement. The company uses an automated computer system for trading, and technical problems may arise. The company recommends keeping account settlement records on a personal PC, and the loss stoppage system may not be implemented due to several reasons.
Onboarding Requirements
1. Proof of legal existence of Applicant Company.
• Trade License (if relevant in country of incorporation)
• Certificate of Incorporation
• Memorandum and Articles of Association
• Tax Registration Certificate (if relevant in country of incorporation)
• Shareholders Register
2. Proof of Applicant Company’s physical address in country of origin and physical address within the UAE (when applicable).
• Original Utility Bill; or
• Copy of lease/purchase agreement; or
• Original statement from a financial institution
3.Contact details of Applicant Company Contact details of Applicant Company
• Office telephone number(s); and
• Office fax number(s); and
• Office email address; and
• Website URL
4.Identities and Addresses of all controlling individuals of the Applicant Company and its assets (shareholders, beneficial owners, partners)
• Copy of passport(s)
• Original utility bill; or
• Copy of lease/purchase agreement
5. Identities and Addresses of all authorized signatories of the Applicant Company (if different from those in 4)
• Declaration by the authorized signatories that the beneficial owners mentioned in 4 are the sole beneficial owners of the Applicant Company,
6. Identities and Addresses of all persons authorized to deal on behalf of the Applicant Company (if different from those in 4 and 5)
7. Identities and Addresses (if different to those in 4, 5 and 6)
• Individuals holding Powers of Attorney from the Applicant Company; and
• Third Party mandate holders of the Applicant Company
8. First class bank reference whereby the Applicant Company has been known to the issuing bank for at least two years
9. Last two years audited Applicant Company accounts