FIDELCREST TRADING CHALLENGE – TERMS OF USE

INTRODUCTION

Fidelcrest Challenge Recruitment (hereinafter referred to as “Fidelcrest Challenge”, “Fidelcrest Trading Challenge,” “Fidelcrest,” “Challenge,” and/or “we” and/or “our” and/or “us”) is operated under the name Fidelcrest by Megarus Ltd Oy. Megarus Ltd Oy is a Finnish company registered at Fredrikinkatu 61, 00100, Helsinki, Finland. VATN: FI09066305. All access and/or use of our services is subject to these terms of use (hereinafter referred to as “Terms of Use” and/or this “Agreement”) in accordance with the terms hereof.

For your benefit and protection, it is mandatory for you take enough time to read and understand this entire Agreement, as well as any other additional information available to you on challenge.fidelcrest.com (hereinafter referred to as “Website”) prior to subscribing to any services with us and before you enroll in the Challenge or pay any fees.

You must read, agree with and accept all of the terms and conditions contained in this Agreement without modifications. Should you not understand any part of this Agreement or any information available on the Website, you should contact us before subscribing to the service and taking part in the challenge, or you should seek independent legal advice.

TERMS OF USE

1.  Parties. This Agreement is made between yourself, as our client (hereinafter referred to as “you” or “your” or, “trader” or in general terms, the “client”) and Fidelcrest Challenge Recruitment. This Agreement describes in full detail the Terms of Use you must accept, without restrictions or objections, before registering with us. By registering with us, you are acknowledging that you have read and fully understand  these Terms  of Use.

2. Trading. It is important to understand that under this program we are looking for stable, long term returns. As such, you hereby agree, not to trade with ‘unreasonable’ risk. That is, we will not permit combined positions to require more than 10% of available margin of the whole account. The client also agrees to  meet all trading objectives on the following link: challenge.fidelcrest.com/detailed-explanation All trading activity will be monitored in real time to be sure you adhere to the restrictions and guidelines below. Failure to do so may end our relationship immediately and forfeiture of any fees paid or profits due:

2.1 Leverage: Maximum leverage will be 1:100.

2.2 Reasonable Trading Styles. Reasonable trading styles would typically have the following characteristics:

2.2.1: Risk/Reward Ratio: Generally speaking, risk/reward ratios should be at least 1:2 on average.

2.2.2: Position Sizes: Any single position should not utilize more than 7% of the available margin of the account.

2.2.3: Stop Loss Orders: The use of stop loss orders is strongly encouraged and may be required as our relationship develops.

2.2.4: News Events: Trading during significant news events in a demo account may cause us to adjust your demo to real market reaction.  As for Real money accounts, news trading is prohibited.

2.2.5: Exceptions. Based on your individual trading methods, it is possible to be granted an  exception, however, exceptions are granted only after an interview with our Risk Management team. Without such granted exception(s), traders who take unreasonable risk may face termination of our relationship.

2.3 Trading Account Management & Right of Refusal. The Company has the right to refuse to conclude the contract of the Fidelcrest Trading Challenge account with the Customer – during any part of the challenge. Should any concerns about profitability and excessive risks on a Real account arise, the company will attempt to contact the client immediately to conduct an interview and discuss employed trading practices. The company will attempt to find a remedy for the situation, however, should there be no remedy for concerns, company reserves the right to terminated this Agreement immediately. Such concerns that may include:

2.3.1. The Company’s potential for suffering financial losses;

2.3.2. Investors of the company’s potential for suffering financial losses;

2.3.3. The potential damage to the Company’s reputation due to unreasonable losses of Investor funds.

3. Protection of Capital. The company is under contractual obligation to protect investor funds against risk of unreasonable losses of capital under management, as described above. Should the company suspect that trading practices employed by a trader on a Demo account would not prove profitable on a Real account, company reserves the right to terminate a contractual relationship with the trader.

4. Termination of Agreement Due to Concerns. Trading Violations And Ethics. Any of following violations will result in immediate termination of our contractual relationship, unless you are able to justify the occurrence:

5. Any form of arbitrage performed in your trading account, be it Demo or Real Account., E.g., usage of specialized software programs that are designed to exploit possible price latencies on a Trading Platform or that allow for the use of technological and/or algorithmic trading patterns that are aimed at exploiting price latency/priced freezes for arbitrage opportunities on a Trading Platform, thus resulting in unrealistic and/or fake profits on a trading account, which would not be possible within the real trading environment.

5.1. Abuse of technological issues of a broker, intentional or otherwise, where opening and closing prices might be readjusted and trader will be able to continue trading, which would decrease the profitability or increase the loss, this data will not be taken into the account for ‘passing qualification’.

5.2. Usage of guaranteed ‘Take Profit’ and ‘Stop Loss’ to trade news/price and weekend gaps, due to its possibility in a Demo account, but not on a Real account.

5.3 Difference of Demo and Real Accounts. The client confirms good understanding of major differences between Live and Demo trading, which include but are not limited to the following:

5.4. In most cases – Demo accounts have better prices and abnormal execution behavior relative to the markets. Therefore, a client has to consider that an employed trading system should be able to perform profitably in a real-market scenario, even with slightly less favorable spread.

5.5. Demo accounts have no or very little (artificial) slippage, due to no real liquidity.

5.6. Unlike Demo accounts, Real accounts with trades over 1 Standard Lot might not be filled immediately or fully on a Real Account.

5.7. On a real account ‘Stop Loss’ and ‘Take Profit’ are filled only at the level of closest available liquidity, not at the level of a set price.

5.8. Orders on Demo accounts are executed at the quoted price, whereas quoted price of a Real account displays the last available quote of an instrument, not necessarily the available quote.

6. Indemnity and Liability.

6.1. The company shall not be liable to Client or to any third party except by reason of acts that constitute gross negligence, bad faith or intent to defraud on behalf of the company.

6.2. Client will indemnify, hold harmless, and defend the Company and its members against any liability, loss cost, damage, or expense and any amount paid in settlement thereof to which any of them may become subject to in acting pursuant to or in furtherance of this Agreement or in connection with any transaction for the Account.

6.3. The company will not hold the client financial liable for any losses incurred by Investors on Real Trading accounts, which were the result of technical issues, or caused due to ‘unusual’ market movements, which could not be avoided with risk mitigation.

7. Refund Policy

The client has the right to cancel the ordered services within 14 days of purchasing the services (Fidelcrest Challenge). The client is aware and agrees that this does not apply after starting to use the services, meaning opening first trade on the allocated Challenge account.

8. Term of The Agreement. Either party may terminate this Agreement at any time upon at least 5 business days’ prior written notice to the other via email or telephone.

9. No provision of this Agreement may be waived or amended unless the waiver or amendment is in writing and signed by the Clients and an authorized officer of the Company.

Revision date 06.08.2019