Marketsbroker Know Your Customer
Objectives of the policy
To enable the Marketsbroker to know / understand its customers and their financial dealings better, which in turn would help it to manage its risks prudently.
The KYC guidelines have regularly been revisited by Marketsbroker. These guidelines advise Marketsbroker employees to follow certain Customer Identification Procedure for opening of accounts and monitoring transactions of a suspicious nature for the purpose of reporting it to appropriate authority.
Cope of the policy
This policy is applicable across all branches / business segments of the Marketsbroker, and is to be read in conjunction with related operational guidelines issued from time to time. If there is a variance in KYC standards prescribed by the Marketsbroker, the more stringent regulation of the two shall be adopted.
There are four key elements to the KYC guidelines as set out by Marketsbroker
1. Customer Acceptance Policy;
2. Customer Identification Procedures;
3. Monitoring of Transactions; and
4. Risk Management
Customer Acceptance Policy (CAP)
The guidelines for Customer Acceptance Policy (CAP) for the Marketsbroker are given below:
- No account should be opened in anonymous or fictitious name.
- No account would be opened, if Marketsbroker is unable to apply appropriate customer due diligence measures (Marketsbroker is unable to verify the identity and / or obtain documents required as per the risk Policy on KYC Norms and AML Measures)
- Before opening a new account, necessary checks shall be conducted so as to ensure that the identity of the customers/entities/persons associated with the entities does not match with any person with known criminal background or with banned entities such as individual terrorists or terrorist organizations.
- For the purpose of risk categorization of customer, the relevant information shall be obtained from the customer at the time of account opening.
- Risk perception of different types of customers taking into account the background of the customer, nature of business activity, location of customer / activity and profile of his / her clients, country of origin, sources of funds, mode of payments, volume of turnover, social and financial status.
- Customers shall be accepted after verifying their identity as laid down in customer identification procedures.
Customer Identification Procedure (CIP)
- Customer identification means identifying the customer and verifying his/her identity by using reliable, independent source documents, data or information. Sufficient information needs to be obtained to the satisfaction, which is necessary to establish, the identity of each new customer, whether regular or occasional, and the purpose of the intended nature of relationship.
- While opening the account of the customer or during periodic updating, Marketsbroker shall seek ‘mandatory’ information required for KYC purpose, which the customer is obliged to give.
- Customer identification data including photograph(s), shall be periodically updated after the account is opened.
Monitoring of Transactions
- Ongoing monitoring is an essential element of effective KYC procedures. Risk can be effectively controlled and reduced only if an understanding of the normal and reasonable activity of the customer is available to identify transactions that fall outside the regular pattern of activity. However, the extent of monitoring shall depend on the risk sensitivity of the account.
- Ongoing due diligence with respect to the business relationship with every client shall be exercised and the transactions shall be examined closely in order to ensure that they are consistent with their knowledge of the client, his business and risk profile and where necessary, the source of funds.
- We are exposed to the following risks which arise out of Money Laundering activities and non-adherence of KYC standards.
- For the purpose of effective implementation of KYC policy and AML Standards, Anti Money Laundering headed by the AML Officer shall monitor transactions in all customer accounts on concurrent basis with AML software and IT support to meet the requirements of KYC policy and AML standards.
- Marketsbroker shall review and set up various limits relevant for KYC and AML standards.
We highly appreciate you reading this Policy, and please, take your time and provide us with all the necessary documents as soon as you can, in order to avoid any delays in processing your transactions. We require the receipt of all the necessary documents prior to making any cash transactions to your benefit. Please note that if we will not receive the required documents on file, your pending withdrawals will be cancelled and credited back to your trading account.
If you have any questions please don’t hesitate to contact our Client support: firstname.lastname@example.org