Empire FX Trade Limited is authorized and regulated by the Capital Markets Authority (“CMA”) under License Number 203. The Company is a private limited company, registered in Kenya, with Company Number PVT-27U5EA9J. The Company’s registered office address is 5th Floor, Empress Office Suites, along Jalaram Road, Westlands, and of P.O Box 2883-00606 Nairobi Kenya.

The Company is required to take all sufficient steps to act in the best interest of the Client when receiving and transmitting orders for execution, and to take all sufficient steps to obtain the best possible result (or “best execution”) for its clients when executing client orders.

The Execution Policy must be read carefully by all Clients and prospective Clients as it contains important information on Client requests and instructions, opening positions, closing positions, orders, stop Outs etc.

“Buy Limit Order” – An order to carry out a transaction at, or lower than, a specified price, the word  ‘limit’ referring to the specified price.

“CFD” – Contracts for Difference

“Instant Execution” – An execution method where the order is executed to the most recently available price. In instant execution if the requested price is not available, the current available price will be sent to the Client to confirm execution (requote). Instant Execution is offered under all Account Types.

“Limit Order” – An order to execute a trade at a specific price or a better one.

“Market Depth” – Market Depth applies only for the ECN servers that utilize the Market execution. The market depth is the available volume that can be used to fill a specific order.

“Market Execution” – The order is executed depending on the depth of the market. Under Market Execution there are no re-quotes, and the order is executed at the best available price in the market. Market Execution is offered under the MT5.

“Market Order” – An order for a trade to be executed at the best available price.

“Order” – an Order is the instruction to buy or sell a financial instrument.
“Pending Order” – An instruction from the Client to the Company to open a position once the price has reached the level of the Order.

“Price Gap” shall mean the following:

• The first Bid of the current trading session is higher than the last Ask of the previous session, or
• The first Ask of the current trading session is lower than the last Bid of the previous session.
• Abnormal Spread – during market opening/closing the spread can be significantly increased during the first and last trading hour due to very thin liquidity.

“Requote” – This occurs when the price requested by a client is not available for execution of an order and the Company requotes the current available price to the Client for execution. The Client must explicitly agree to accept the requoted price, prior to execution. Requotes are the result of choosing Instant Execution which is offered on all our account types.

“Riskless or Matched Principal” – The Company acts as Riskless or Matched Principal when it receives a client order for execution and immediately executes an identical order in the market, while taking on the role of principal, in order to fill the Client’s order. The Company interposes itself between the buyer and the seller to the transaction in such a way that it is not exposed to market risk throughout the execution of the transaction as both sides are executed simultaneously.

“Scalping” – A trading strategy based on the notion that you buy and sell (or vice versa) a currency within a very short time frame. Scalping is available to Clients on all servers.

“Slippage” – This is when a trader executed an order at a price which is different to the price, they expected the trade to be executed at. This usually happens during periods of high volatility. Moreover, slippage can occur in cases of big volume orders and thin market depth. There are two kinds of slippage, positive and negative. Positive slippage occurs when the price is executed at a better level than the one requested; a negative slippage is exactly the opposite situation. Slippage may occur in all the account types and order types offered and under all execution methods and it is passed to Clients. Please be informed that in case a slippage is experienced in the market, the orders will be executed at the next available price in cases of market execution. Instant Execution requotes occur when entering or exiting the market.

“Stop Order” – A stop order placed to buy/sell a security/currency when a certain price is reached. These orders are placed to limit loss on a position.

“Stop Out Order” – An instruction to close the Client’s open position without the consent of the Client or any prior notice in a case of insufficient funds required for maintaining open positions.

“Take Profit Order” – A market order placed to close a position once it hits a specific price.

The Policy applies with respect to the Company’s relationship with Clients. It provides an overview of how orders are executed, the factors affecting the execution of orders and specifically upon market volatility and sudden market movements.

When the company executes a client order, it will always act as a principal and not as agent, this means that clients deal with the Company and not with the underlying market. The Company ensures to deliver the best possible execution rate.

The main purpose of this policy is to help clients understand how the Company executes client orders and help them to make an informed choice on whether to use Company’s services. You should ensure that you have read and understand the contents of this Policy.

By entering into an agreement with the Company you are agreeing to the terms of this Policy.

The Company executes orders in relation to one or more financial instruments mainly in CFDs on foreign exchange, commodities, spot metals, shares and Indices.

For more information on the contract specifications please visit the Company’s website www.empirefx.com

The Company shall take all sufficient steps to obtain the best possible results for its Clients taking into account the following factors when executing Clients orders:

Price: For any given CFD, the Company will quote two prices: the higher price (ASK) at which the Client can buy (go long) that CFD, and the lower price (BID) at which the Client can sell (go short) that CFD; collectively they are referred to as the Company’ price. The difference between the lower and the higher price of a given CFD is the spread. Such orders as Buy Limit, Buy Stop and Stop Loss, take profit for opened short position are executed at ASK price. Such orders as Sell Limit, Sell Stop and Stop Loss, take profit for opened long position are executed at BID price. The Company’s price for a given CFD is calculated by reference to the price of the relevant underlying asset, which the Company obtains from third party external reference sources. The Company’s prices can be found on the Company’s trading platform. The Company updates its prices as frequently as the limitations of technology and communications links allow. The Company reviews its third-
party external reference sources at least once a day (constantly during trading session, more than once a day), to ensure that the data obtained continues to remain competitive. The Company will not quote any price outside the Company’s operations time (see execution venue below) therefore no orders can be placed by the Client during that time.

If the price reaches an order such as: Stop Loss, Take Profit, Buy Limit, Buy Stop, Sell Limit, Sell Stop these orders will be closed. But under certain trading conditions it may be impossible to execute orders (Stop Loss, Take Profit, Buy Limit, Buy Stop, Sell Limit, Sell Stop) at the declared Clients price. In this case the Company has the right to execute the order at the first available price. This may occur, for example, at times of rapid price movement if the price rises or falls in one trading session to such an extent that under the rules of the relevant exchange trading is suspended or restricted. This may also occur at the opening of a trading session.

The minimum level for placing Stop Loss, Take Profit, Buy Limit, Buy Stop, Sell Limit and Sell Stop orders, for a given CFD, is specified under Contract Specifications on the main Website of the Company.

Costs: For opening a position in some types of CFDs the Client may be required to pay commission, spread or financing fees as applicable, the amount of which is disclosed on the Company’s Website. Commissions may be charged either in the form of a percentage of the overall value of the trade or as fixed amount. The value of open positions in some types of CFDs is increased or reduced by a daily swap rate throughout the life of the contract. Swap rates are based on prevailing market interest rates, which may vary over time.

For all types of CFDs that the Company offers on specific servers, the commission and financing fees are not incorporated into the Company’s quoted price and are instead charged explicitly to the Client account. Please refer to the Company’s website for more information.

Speed of Execution: The Company places a significant importance when executing Client’s orders and strives to offer high speed of execution, within the limitations of technology and communications links, at all times.

Speed of Execution can be affected by factors which may include poor internet connection, or any other link to the Company’s servers and platforms which may affect execution of the Client’s orders. For example, the Client’s order might be delayed to be received by the Company’s platform and thus it may affect the price of execution.

Likelihood of Execution: The Company acts as principal whereby it will be the Execution Venue for the execution of the Client’s orders for the financial instrument of CFDs. In addition, the Company reserves the right to decline an order of any type or to offer then Client a new price for an instant order. In this case, Client can either accept or refuse the new price.

The client is responsible for the security of his Access Data. If the Client undertakes transactions on an electronic system (Trading Platform), he/she will be exposed to risks associated with the system including the failure of hardware and software (Internet / Servers). The result of any system failure may be that his/her order is either not executed according to his/her instructions, or it is not executed at all. The Company does not accept any liability in the case of such a failure.

Likelihood of settlement: The Company shall proceed to a settlement of all transactions upon execution of such transactions. The Company strives to provide its clients with the fastest execution in the best available prices. Nonetheless, the volatility in the market may affect the price, speed and volume. Therefore, trading during volatile conditions where important news and data releases are made is incredibly risky and therefore the best execution criteria might not apply. Therefore, the execution pricing will always be provided at the first available price.

Size of order: The actual minimum size of an order is different for each type of account. A lot is a unit measuring the transaction amount and it is different for each type of CFD.

Please refer to the Company’s website for the value of minimum size of an order and each lot for a given CFD type. It is noted that the Company may limit the maximum volume of the single transaction. The actual maximum volume of the single transaction is different for each type of account. In addition, the Company reserves the right to decline an order as explained in the agreement entered with the Client. Please refer to the Company’s website for the value of the maximum volume of the single transaction.

Nature of orders: The particular characterizing of an order can affect the execution of the Client’s order. The following types of orders can be placed:

• Market Order: An order for a trade to be executed at the best available price.
• Instant Order: An execution method where the order is executed to the most recently available price. In instant execution if the requested price is not available, the current available price will be sent to the Client to confirm execution (requote). Instant Execution is offered under the Standard Account and Cent Account.
• Limit Order: An order to execute a trade at a specific price or a better one.
• Stop Order: A stop order placed to buy/sell a security/currency when a certain price is reached. These orders are placed to limit loss on a position.

Market Impact: Some factors may affect rapidly the price of the underlying instruments from which the Company’s quoted price is derived and may also affect the rest of the factors herein. The Company will take all sufficient steps to obtain the best possible result for its clients.

The Company does not consider the above list exhaustive and the order in which the above factors are presented shall not be taken as priority factor. Nevertheless, whenever there is a specific instruction from the Client the Company shall make sure that the Client’s order shall be executed following that specific instruction.

The quality of execution, which includes aspects such as the speed and likelihood of execution such as fill rate), and the availability and incidence of price improvement, is an important factor in the delivery of best execution.

Execution Venues are the entities with which the orders are placed. For the purposes of orders for the financial instrument of CFDs, the Company acts as a riskless principal. The company is the sole execution venue for execution of all client orders. When the Company executes Clients’ orders, it in turn routes its own orders to regulated financial institutions. The Company carries assessment and monitoring on a continuous basis of the financial institutions used as hedging counterparties/ price feeders in order to ensure that the best possible result is provided to Clients.

The Client acknowledges that the transactions entered in CFDs with the Company are not undertaken on a recognized exchange, rather they are undertaken over the counter (OTC) and as such they may expose the Client to greater risks than  egulated exchange transactions (e.g. counterparty risk where in case of default of the Company there may be a failure to satisfy that side of the contractual agreement with the Client). Upon Client request, additional information about the consequences of OTC execution can be provided. Therefore, the Company may not execute an order, or it may change the opening (closing) price of an order in case of any technical failure of the trading platform or quote feeds.

The Company takes into consideration multiple factors when selecting Liquidity Providers and use available pricing, such as:

• Likelihood of execution (High importance);
• Business continuity and operations quality (High importance);
•  Market position (High importance);
• Costs to the Company (High importance);
• Authorization/regulation and pricing (High importance);
• Conflicts of interest (Medium importance);
• Pricing during market news (High importance);

The Company will determine the relative importance of the above Best Execution Factors (see point 5) by using its commercial judgment and experience in the light of the information available on the market and taking into account:

(a) The characteristics of the Client order.
(b) The characteristics of financial instruments that are the subject of that order.
(c) The characteristics of the execution venue to which that order is directed.
(d) The Characteristics of the client, including its categorization as retail or professional. In view of the above, the Company assigns the following importance level for the above Best Execution Factors:

For Retail Clients, the best possible result shall be determined in terms of the total consideration, representing the price of the financial instrument and the costs related to execution, which shall include all expenses incurred by the Client which are directly related to the execution of the order, including execution venue fees, clearing and settlement fees and any other fees paid to third parties involved in the execution of the order.

Warning: Please note that when you provide specific instructions on executing an order, this may prevent the Company from taking the steps that it has designed and implemented in this policy to obtain the best possible result for the execution of these orders in respect of the elements covered by those instructions.

The Company shall satisfy the following conditions when carrying out Client orders:

1. ensures that orders executed on behalf of Clients are promptly and accurately recorded and allocated.
2. carries out otherwise comparable Client orders sequentially and promptly unless the characteristics of the order or prevailing market conditions make this impracticable, or the interests of the Client require otherwise.
3. informs a retail Client about any material difficulty relevant to the proper carrying out of orders promptly upon becoming aware of the difficulty.

Execution of Client orders may also be affected by Slippage and Market Gap. Under standard market conditions from the moment a client’s order is registered in the system its execution is almost instantaneously executed unless there are technical system failures (e.g. connectivity issues). For further information on time of execution, and slippage, please refer to execution quality data published on the Company’s website. It should also be noted that the Company does not operate outside market trading hours and hence does not execute orders outside these hours.

During volatile markets, the Company follows the below rules:

1. Ensures that liquidity for all instruments is available.
2. Ensures that quotes do not cease to be received unless the market quotes are seized from every Liquidity Provider.
3. If one Liquidity Provider freezes the quotes then in a matter of seconds the secondary Liquidity Provider comes online, ensuring that the Client execution costs remain the same.
4. In occasional and extreme cases and subject to market conditions, the Company may set specific instruments into close-only mode.

By entering into a Client Agreement with the Company for the provision of Investment Services, the Client is consenting to an application of this Policy on him, and specifically the explicit consent to his orders being executed outside a regulated market or other exchange.

The Company is able to demonstrate to Clients, upon request, that their orders have been executed in accordance with this Policy.

The Company assesses on a regular basis, of particular transactions in order to determine whether it has complied with its execution policy and/or arrangements, and whether the resulting transaction has delivered the best possible result for the client.

The company monitors the implementation and effectiveness of its Order Execution Policy with regards to the procedures followed and all factors that may affect this policy. The Company reserves the right to review and/or amend its Policy and arrangements whenever it deems this appropriate and/or at least annually, and whenever a “material change” occurs. A material change shall be a significant event that could impact parameters of best execution such as cost, price, speed, likelihood of execution and settlement, size, nature or any other consideration relevant to the execution of the order.

The Company shall inform its Clients as regards the amended version of its policy through an email.

Should you require any further information and/or have any questions about this policy please direct your request and/or questions to [email protected]