Due Diligence Pack

Introduction When trusting a company to manage your financial dealings, consideration needs to be given to the counterparties involved. Effective due diligence should be carried out in order to provide comfort to all involved that the exposure to risk is low. This short document outlines the key information you need to enable you to assess The FX Firm as your risk counterpart.

The FX Firm The FX Firm is a specialist foreign exchange broker, dealing solely in the global currency markets. Founded in 2009, the company has over 8,000 trading clients across institutional, corporate and retail sectors. Safeguarding of client monies is imperative to any relationship and The FX Firm is regulated by the FCA and HMRC, with all client funds held in segregated accounts according to the CASS rules. Our dedication to client service and operational excellence has provided us with the platform for strong organic growth in both trade volume and profitability. 350 325 300 275 250

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Our ethos Since the firm’s inception, professionalism, integrity and compliance have been the cornerstone to the business strategy. Operating in a relatively young industry, reputation and trust are key. Consistently tight pricing and a mature, constructive approach to client contact has enabled the company to achieve industry leading levels of client retention.

Capital requirements The FX Firm holds over 5 times* the required capital currently designated by regulators and is positioned to increase this ratio should it be required. The company does not take any speculative positions itself, nor can it facilitate speculative positions on behalf of clients. Therefore, exposure to market moves and volatility is negligible. All accounting activities are performed by an independent accounting company.

*Feb 2016.

Our culture The key to a company’s success is both the ability to stay true to original principles and the ability to adapt to growth. The company’s growth has always been organic and the mentality has been to run a lean, efficient organisation. A commitment to investment in IT systems, training and recruitment are all factors that help to manage the company’s growth whilst retaining the profitability and control that comes with an efficient workforce. Being based outside of central London leads to comparatively low overheads and allows standards and service levels to remain high. The company operates a robust disaster recovery procedure that provides clients with uninterrupted service and consistent access to markets whenever required.

Senior team The senior managers have a strong track record within financial services. A history of board and partner level positions provides the experience and skill sets to manage the company’s growth, service and risk within this very competitive market space. Chairman Robert Munro has over 20 years’ experience in senior roles within large City financial institutions. He spent 13 years at Goldman Sachs where he was Managing Director and head of prime brokerage in Europe. He subsequently served as Investment Bank Board Member and Managing Director of UBS Investment Bank, and more recently as Global Chief Operating Officer of Religare Capital Markets, a global emerging markets investment bank. Rob is an avid aviator, and holds a Commercial Pilot License.

CEO Owain Walters is a founding partner of The FX Firm and has nearly 15 years’ experience in Financial Services. Starting at Investec Asset Management he gained strong experience in operations working in London and Guernsey before joining a Hedge Fund Manager where he assumed responsibility for Operations, Finance and Compliance. He was also the Foreign Exchange Trader with responsibility for over $3bn per year in trade volume and was later made a partner, the youngest ever in the firm. Outside work, Owain is married with two children and is a keen glider pilot. He is a regular gliding competitor and has represented the UK in international competitions.

Sales Director Nat Davison has over 10 years’ experience in the currency world. Starting his journey at TTT Moneycorp Ltd, he ran the Key Partnerships team before being relocated to Sydney to set up the company’s new dealing hub in Australia. On his return to the UK, Nat took up the position of Division Head for a City based broker assuming overall responsibility for all aspects of its private client business. Throughout his career Nat has excelled in forming and maintaining relationships with industry leading brands ranging from banks and Government bodies to tier one comparison sites and international relocation specialists. Nat is married with two young children and is an accomplished runner.

COO Sam Bennett joined the firm in 2010 after completing his economics degree. Since then he has been involved with all functions of the business from dealing, trading, risk and compliance and has been heavily involved in the growth to date. Sam is now in charge of operations, compliance and is our MLRO. When not in the office, Sam can be found on the slopes in Austria.

Regulated The FX Firm is authorised and regulated by the UK Financial Conduct Authority for the provision of payment services (Firm Reference Number 577057) and regulated by HMRC as a money service business (MLR Number 12572236). The protection of client funds is imperative to the service and from the company’s inception, all client funds have been held in segregated client accounts with a tier one UK bank. All counterparties are constantly monitored with regards to stability and creditworthiness.

AML All of The FX Firm’s clients need to be cleared by our compliance and on-boarding team. To comply with our regulatory requirements, all prospective clients and users are crosschecked against a sanctions database. Directors and shareholders holding an equity stake of 20% or more will be identity checked using an online database. This automatically pulls together a range of data sources that authenticate the identity but will not leave an imprint on personal credit histories. The FX Firm’s dedication to ongoing compliance centres around the complete restriction of the flow of funds generated from any illegal activity. All members of staff receive regular anti-money laundering training as part of their ongoing training and report in to the company’s MLRO. The MLRO is responsible for overseeing any potentially suspicious activity and liaises with SOCA should the situation require.

Complaints Any complaint made to The FX Firm is treated with the utmost importance and the aim will always be to resolve it to the client’s satisfaction. There is a robust procedure that is followed in all instances. Each complaint is investigated by a member of senior management to deliver a fair, impartial and satisfactory response as quickly as possible. Should a resolution not be reached within the FCA timescales, the Financial Ombudsmen service is available for further recourse.

Key facts  Incorporated in 2009, The FX Firm is a privately owned company based in the UK  Fully authorised and regulated by the Financial Conduct Authority  Registered with HMRC for anti-money laundering  97% credit score with Creditsafe  Over $1bn transacted in 2015  Client monies held in segregated client money accounts with a tier 1 UK bank  140 tradeable currencies  SWIFT payments to over 180 countries and local (ACH) delivery from 69 countries  99.97% straight through payment rate  Robust IT systems in multiple locations; all communications encrypted  Business Continuity Plan in operation enabling rapid relocation and minimised downtime

www.thefxfirm.com

“A first class forex provider. First rate reliable & efficient service highly recommended for your forex requirement.”

t +44 (0) 1494 484 183 f +44 (0) 1494 400 150 e [email protected]

The FX Firm 3 Stokenchurch Business Park Ibstone Road, Stokenchurch HP14 3FE, UK www.thefxfirm.com

The FX Firm is Authorised and Regulated by the Financial Conduct Authority under the Payment Services Regulations 2009 for the provision of payment services (FRN577057) and regulated by HMRC (MLR12572236). The FX Firm Ltd is a registered company in England and Wales (7061945). Our corporate bankers hold all client monies in segregated accounts.