Empire FX Trade Limited (hereinafter “the Company” “we” “us” “our” as appropriate) 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 Conflicts of Interest Policy is issued pursuant to and reflects compliance with the Capital Markets (Conduct of Business) (Market Intermediaries) Regulations 2011 and the Capital Markets (Online Foreign Exchange Trading) Regulations 2017 in which the Company is required to take all appropriate steps to detect and avoid conflicts of interest with its clients. The Company is committed to act honestly, fairly and professionally and in the best interests of its clients and to comply, in particular, with the principles set out in the above legislation when providing its services.

The Company’s conflicts of interest policy (the “Policy”) is maintained to identify and manage conflicts of interest in respect of the duties it owes to its clients, and to avoid conflict of interests with Clients and where such a conflict unavoidably arises, ensure fair treatment of the client by complete disclosure or by declining to act while always ensuring the interests of the Company are never unfairly placed above those of the client;

The scope of this policy is to set out or approach to identify and prevent or manage conflicts of interest, which may arise during the course of our business activities including the company’s remuneration scheme and other incentive structures, and applies to all directors, employees, any persons directly or indirectly linked to the Company (hereinafter called “related persons”) and refers to all interactions with all Clients.

A conflict of interest arises where there is a reason within the Company’s control that prevents it from putting the interests of its clients before those of the Company and its employees, or the interests of one Client or group of Clients ahead of another Client. In such a situation, the Company must pay due regard to the interests of each Client and manage any potential conflicts of interest accordingly.

The underlying principle that must be followed at all times is that the interests of a client must always be put before the interests of the Company and/or its employees. A conflict may exist, or be perceived to exist, if an employee’s or related party’s activity is, or may reasonably give the appearance of being, inconsistent with the best interests of the Company’s Clients.

The Company shall clearly disclose to the client the general nature of conflicts of interest and the steps taken to mitigate those risks before undertaking business on its behalf. The disclosure shall be made: (a) in a durable medium; and (b) shall include sufficient detail, taking into account the nature of the client, to enable that client to take an informed decision with respect to the service in the context of which the conflict of interest arises.

While it is not feasible to define precisely or create an exhaustive list of all relevant conflicts of interest that may arise, as per the current nature, scale and complexity of the Company’s business, the following list includes but is not limited to circumstances which constitute or may give rise to a conflict of interest entailing a material risk of damage to the interests of one or more Clients, as a result of providing investment services:

• The Company may receive or pay inducements to or from third parties due to the referral of new Clients or Clients’ trading.
• The Company may use affiliated entities to execute certain transactions on an ad hoc basis.
• The simultaneous or sequential involvement of a relevant person in separate investment or ancillary services or activities where such involvement may impair the proper management of conflicts of interest.
• The Company, shareholders, directors, agents or a relevant person has an interest in the outcome of a service provided to the client or of a transaction carried out on behalf of the client, which is distinct from the client’s interest in that outcome
• The direct or indirect investing or management carried out by any relevant person or the Company to Clients or accounts which invest in the same assets that may be also purchased or sold by other Clients.
• The Company trades its proprietary positions and at the same time has knowledge of Client’s future transactions via stop limit orders, as applicable.
• An interest in maximizing the Company’s trading volumes in order to increase its commission revenue, which is inconsistent with the Client’s personal objective of minimizing transaction costs.
• The remuneration of third parties where the interest of a client conflicts with the interest of the third party.
• The Company or a relevant person receives or will receive from a person other than the client, an inducement/incentive in relation to a service provided to the client, in the form of monies, goods or services, other than the standard commission or fee for that service.

For the purposes of identifying the types of conflict of interest that arise in the course of providing investment services and whose existence may damage the interests of a Client, the Company takes into account, whether the Company or a relevant person, is in any of the following situations, as a result of providing investment services:

• The Company or the relevant person is likely to make a financial gain, or avoid a financial loss, at the expense of the Client.
• The Company or a relevant person has an interest in the outcome of a service provided to the Client or of a transaction carried out on behalf of the Client, which is distinct from the Client’s interest in that outcome.
• The Company or a relevant person has a financial or other incentive to favor the interest of another Client or group of Clients over the interests of the Client.
• The Company or a relevant person participates in the same business as the Client.
  The Company or a relevant person receives or will receive from a person other than the Client an inducement in relation to a service provided to the Client, in the form of monetary or nonmonetary benefits or services.
• The Company or the relevant person is in possession of information obtained in the ordinary course of their business which would benefit the Company or the relevant person or the Group or the Client, but such information is not publicly known.
• The Company has a direct or indirect interest in a transaction.

Potential circumstances that may give rise to conflicts of interest when the Board of Directors or employees may engage directly or indirectly in any business activity that competes or conflicts with the Company’s or its Clients interests as follows (no exhaustive list):

• Financial interest: where the Board of Directors or employees may have a financial interest in a client.
• Other Business Interests: Any member of the Board or employees conduct
• business other than the Company’s business during office hours, leading to depriving the Company of the persons’ best efforts on the job.
• Other employment: Possible part-time employment or other business activities outside the Company’s working hours, may jeopardize the Company’s interests.
• Corporate directorships: Possible solicitation of corporate directorships.

In general, the procedures and controls that the Company follows to manage the identified conflicts of interest and ensure the necessary degree of independence include the following, but not limited, measures (the list is not exhaustive): These procedures are monitored and reviewed on an ongoing basis to ensure that the internal controls are appropriate and up to date.

• Effective procedures to prevent or control the exchange of information between relevant persons engaged in activities involving a risk of a conflict of interest where the exchange of that information may harm the interests of one or more Clients.
• The separate supervision of relevant persons whose principal functions involve carrying out activities on behalf of, or providing services to, Clients whose interests may conflict, or who otherwise represent different interests that may conflict, including those of the Company.
• The remuneration practices should be designed in such a way so as not to create a conflict of interest or incentive for staff to Favor their own, or the Company’s interests to the potential detriment of any Client. The removal of any direct link between the remuneration of relevant persons principally
  engaged in one activity and the remuneration of, or revenues generated by, different relevant persons principally engaged in another activity, where a conflict of interest may arise in relation to those activities.
• The Board of Directors of the Company sets out the Company’s arrangements to ensure that its compensation arrangement will not give rise to conflicts of interest between the Company, its relevant persons, employees and Clients.
• Measures to prevent or limit any person from exercising inappropriate influence over the way in which a relevant person carries out investment or ancillary services or activities.
• Chinese walls restricting the flow of confidential and inside information within the Company, and physical separation of departments.
• Procedures governing access to electronic and/or in hard copy data and information.
• Segregation of duties that may give rise to conflicts of interest if carried on by the same individual.
• Personal account dealing requirements applicable to relevant persons in relation to their own investments.
• A gifts and inducements log registering the solicitation, offer or receipt of certain benefits.
• Prohibition of external business interests conflicting with the Company’s interests as far as the Company’s officers and employees are concerned, unless Board of Directors approval is provided.
• A policy designed to limit the conflict of interest arising from the giving and receiving of inducements.
• Compliance Function to monitor and report on any conflict of interest to the Company’s Board of Directors
• Appointment of Internal Auditor to ensure that appropriate systems and controls are maintained and report to the Company’s Board of Directors.
• The Company also undertakes ongoing monitoring of business activities to ensure that internal controls are appropriate.
• The Compliance Officer keeps and updates a list of employees who come into contact with the Company or its Clients, directly or indirectly, as applicable.
• The Company’s relevant persons shall not engage directly or indirectly in any business activity that competes or conflicts with the Company’s interest or those of Clients unless fully disclosed to Clients.

Actions to handle potential conflicts of interest for related persons that may engage directly or indirectly in any business activity that competes or conflicts with the Company’s interests or of its clients’ interests, unless fully disclosed:

• Financial interest: Where the related persons may have a financial interest in
  a client. Such persons shall not directly be involved in the Company’s dealings with the Client so long as the interest continues to exist.
• Other Business Interests: The related persons conduct business other than the Company’s business during office hours, leading to depriving the Company of the persons’ best efforts on the job. Such business interests are prohibited.
• Other employment: Possible part-time employment or other business
  activities outside the Company’s working hours, may jeopardize the Company’sinterests. A written approval from the line manager, CEO and the Board shall be obtained before a person can take any parttime employment or other business activities. Approval shall be granted only where the interest of the Company will not be jeopardized.
• Corporate directorships: Possible solicitation of corporate directorships. All persons soliciting corporate directorship must get a written approval from the line manager, CEO and the Board. The same procedure applies for person who seek to act as directors of non-profit public service corporations, such as religious, educational, cultural, social, welfare, and philanthropic or charitable market intermediaries.
• Trusteeships: Possible solicitation for appointments as executors, administrators or trustees of Clients’ estates. If such an appointment is made and the person is a beneficiary of the estate, his signing authority for the estate’s bank account or accounts must be approved by the Board, who will not unreasonably withhold such approval.

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. Further, the Client consents to and authorizes the Company to deal with the Client in any manner which the company considers appropriate, notwithstanding any conflict of interest or the existence of any material interest in a Transaction, without prior reference to the Client. In the event that the Company is unable to deal with a conflict-of-interest situation it shall revert to the Client.

If during a business relationship with a client or group of Clients, the organizational or administrative arrangements/measures in place are not sufficient to avoid or manage a conflict of interest relating to that Client or group of Clients, the Company will disclose the conflict of interest before undertaking further business with the Client or group of Clients. Any such declaration of existing/ potential conflicts of interest shall be recorded for a period, to be determined by the Company.

The Company shall provide training to employees, directors, shareholders and all relevant related persons on matters pertaining conflicts of interest and the procedures developed by the Company to mitigate such situations. The purpose of such training is to alert the abovementioned persons not to take advantage of information obtained providing services to clients for their own benefit and in cases such eventuality occurs, to obtain confirmation from the above-mentioned persons that they will not use information gained for their own benefit.

The Company reserves the right to periodically review and/or amend this Policy and arrangements whenever it deems it appropriate in order to address any deficiencies without notice to the Client. Should you require any further information and/or have any questions about conflicts of interest please direct your request and/or questions to [email protected]