Chelsea Financial Services PLC

EXECUTION-ONLY TERMS AND CONDITIONS OF BUSINESS

Chelsea Financial Services PLC is an Independent Financial Adviser and is authorised and regulated by the Financial Services Authority (FSA) to advise on and arrange deals in regulated investment products for Private Clients, and to make arrangements with a view to transactions in such investments – in other words to act as an introducer. These products include life assurance and pension contracts, units and shares in collective investment schemes, units in investment trust savings schemes, and securities except those which are not readily realisable.  It is bound by the rules of the FSA.

The following Terms and Conditions of Business will apply to services supplied:

1. Chelsea does not offer advice to clients but arranges deals on behalf of clients in certain non-complex products on an execution-only or direct offer basis. Chelsea also introduces clients to platform providers, who will then arrange deals as instructed by the client. Platform and product providers are responsible for safeguarding and administering investments. Execution-only and direct offer transactions are carried out on the instructions of the client and Chelsea has not given advice nor exercised any judgement on the client’s behalf as to the merits or suitability of the transaction for the client and Chelsea has no intention of providing any advice.

2. For the purposes of your client categorisation that is required by the FSA Rules, Chelsea will treat you as a retail client.  Chelsea may also categorise as a retail client any client who would otherwise be a professional client or an eligible counterparty (as defined in the FSA rules).  However, if you are such a client, then you may not have rights under the Financial Ombudsman Service or the Financial Services Compensation Scheme.  If you are acting as an agent for someone else, Chelsea will treat you alone as its client and you will be liable to Chelsea in respect of  transactions you conduct in such capacity.

3. CHELSEA DOES NOT HANDLE CLIENTS’ MONEY. Chelsea never accepts a cheque made out to Chelsea (unless it is a cheque in settlement of charges or disbursements for which the client has received a bill) nor cash.

4. Chelsea has implemented a conflicts of interest policy to ensure fair treatment of its clients under which it will not carry out transactions for clients in the products of companies or business entities in which Chelsea or any director or employee or one of its other clients has a known significant personal interest unless that interest is first disclosed. This policy shall not apply to personal holdings of directors and staff in investments transacted by Chelsea in the normal course of business.

5. Written instructions (including email instructions from an email address which you have provided to us) will normally be required before Chelsea will act for the client but at Chelsea discretion oral and online instructions will also be acceptable. Authority to act on behalf of the client may be terminated at any time without penalty by either party giving notice in writing or by e-mail to the other. Such termination will not affect the completion of any transaction already initiated.

6. Chelsea acts as the client’s agent in arranging investments, and never owns investments it arranges for them.

7. All investments will be registered in the names of the client(s). Contract notes and documents of title are normally sent direct to the client by the product provider, but if they have been sent to Chelsea they will be forwarded to the client no later than the first business day following their receipt by Chelsea. However, when a number of contract notes or documents relating to a series of transactions is involved, they may be retained by Chelsea until the series is complete.

8. All application forms, contract notes, cheques, certificates or documents of title may be sent by post at the client’s risk.

9. Chelsea accepts no liability to clients who purchase two ISAs in one fiscal year, or otherwise do not comply with ISA rules.

10. Chelsea receives commission from product providers following arrangement of investments, and this is retained for Chelsea's benefit. The client will receive from the product provider, or from Chelsea, information about the commission that Chelsea receives. Chelsea will tell the client the amount of commission payable to Chelsea on any investment it has arranged for the client. Chelsea retains the right to share this commission with professional connections at its discretion. As this commission is retained clients are not charged for arranging such contracts except by separate arrangement as agreed in advance with the client. If Chelsea receives a commission or other form of benefit from the issuer of a security or from another intermediary, Chelsea will inform the client and will disclose the amount.

11. Units bought with No Initial Charge are usually bought at “Creation Price”, which comprises Bid Price plus Stamp Duty and other charges that Chelsea cannot control or discount.  There is the possibility that other costs, including taxes on profits made may arise for clients and these are not the responsibility of nor paid by Chelsea.

12. Chelsea will supply, on demand, to the client or his agent, copies of contract notes, vouchers, and entries in books and records for a period of six years from the date of each transaction.

13. Chelsea maintains a professional indemnity insurance policy for the protection of clients in the event of negligence by any member or employee of Chelsea, and details of this, including the current limits of indemnity, are available on request.

14. Discounts and refunds are paid out of initial commission. In no circumstances will Chelsea be liable to pay discount in excess of the initial commission received. Discounts given on investments that do not proceed will be refundable by the client to Chelsea.

15. If any of the principals of Chelsea Financial Services is unable to conduct investment business for illness or any other reason for a period of more than twenty-one days, Chelsea Financial Services has made an arrangement with Chelsea Investments Ltd, St James’ Hall, Moore Park Road, SW6 2JS (020 7384 7323) to carry out its business obligations.

16. To prevent or detect fraud, or to assist in verifying your identity, Chelsea may make searches at credit reference or fraud prevention agencies or at the electoral register.

17. You should assume that all telephone calls, web-site use and email between you and Chelsea will be recorded.  These recordings will be the sole property of Chelsea and may be used for training purposes or as evidence in the event of a dispute.

18. Chelsea and its agents may process any personal data (as defined by the Data Protection Act 1998) provided by you in connection with the services Chelsea provides. Your personal data includes any information which Chelsea holds now or at any time in the future, which comes from, or relates to application forms or other dealings with us; third parties such as credit reference and fraud prevention agencies and the services you receive from Chelsea We may use your personal data to provide our services to you and for security, payment verification, preventing and detecting money laundering, fraud and other crime, for which purposes we may also pass on your personal data to third parties.

19. These Terms and Conditions may not be varied except by prior written consent of the client and Chelsea.

20. These terms and conditions are governed by English Law and subject to the jurisdiction of the English courts.

 

Chelsea Financial Services PLC, St James’ Hall, Moore Park Road, London SW6 2JS Tel 020 7384 7300

Registered in England. No 1728085  March 2013