“ACH” has the meaning ascribed thereto in Section 3.1 hereof.
“Additional Margin Deposit” has the meaning ascribed thereto in Section 6.3 hereof.
“Agreement” means these Terms and Conditions, together with the specific terms and conditions related to each Transaction entered into on the basis of and adopting these Terms and Conditions as forming part of such Transaction.
“Application” has the meaning ascribed thereto in Section 1.1 hereof.
“Bank” means an entity chartered by a state or federal government, which receives demand and time deposits, pays interest on those deposits and makes loans and invests in securities based on those deposits.
“Bank Draft” means a cheque drawn by one Bank against funds deposited into its account at another Bank, authorizing the second Bank to make payment to the individual named in the Bank Draft.
“Business Day” means a day, other than (a) Saturday and Sunday, and other than (b) a day on which commercial banking institutions are required to be closed in Calgary, Alberta; Winnipeg, Manitoba; Vancouver, British Columbia; Toronto, Ontario or Montreal, Quebec.
“Certified Cheque” means a cheque for which the Bank guarantees payment.
“Confirmation” means a document provided by MCAP FX to the Customer setting out the terms of a specific Transaction in accordance with the Agreement reached with the Customer or the instructions provided by the Customer.
“Credit Facility Letter” means an agreement between MCAP FX and the Customer outlining the credit terms approved by MCAP FX and accepted by the Customer including transaction limits, margin and deposits.
“Currency” means any form of money, including paper notes and coins, which is issued by a government and used in public circulation.
“Expire” means the decision of the Option holder not to exercise its Option.
“Expiry Date” means the date on which an Option Expires.
“Expiry Time” means the time at which an Option Expires on the Expiry Date.
“Foreign Exchange” means the trade of one national Currency for another and takes place “over the counter” and centrally on an inter-bank system.
“Forward Contract” means an OTC Transaction that is not a Spot Transaction, whereby MCAP FX agrees to deliver a specific Currency to the Customer, or as directed by the Customer, at some point of time in the future.
“Hedge/Hedging” means a type of protective investment designed to offset the risk of adverse price movements in Foreign Exchange.
“Losses” has the meaning ascribed thereto in Section 6.5 hereof.
“Margin Call” means a demand by MCAP FX on the Customer to deposit monies with MCAP FX for the purpose of ensuring that the Customer’s margin account is brought up to the minimum margin requirements for the Transaction.
“Margin Deposit” means a good faith deposit placed by a Customer with MCAP FX as collateral to hold a position for a Forward Contract or Option Contract.
“Mid-Market Rate” means a rate derived from the mid-point between the “buy” and “sell” rates for a currency.
“Online Ordering System” means the web based system and procedures to be followed as offered by MCAP FX to its customers to access certain Services of MCAP FX.
“Option” means the right granted pursuant to an Option Contract to either buy or sell a Currency at a given price at some date in the future.
“Option Contract” means an OTC derivative contract that grants the holder the right, but not the obligation, to either buy or sell a Currency at a given price at some date in the future.
“OTC” means over the counter as compared to a securities exchange based transaction.
“Parties” means the Customer and MCAP FX collectively, each individually being a “Party”.
“Payee” means an individual who receives a form of payment.
“MST” means Mountain Standard Time.
“Services” has the meaning ascribed thereto in Section 3.1 hereof.
“Settlement Date” means the date on which the underlying Currency of an Option Contract or Forward Contract is delivered.
“Speculation” means the practice of purchasing Currency with the intention of investing in or profiting from price fluctuations that occur in the Currency as compared to an intention to Hedge when purchasing Currency.
“Spot Transaction” means an OTC Transaction, whereby MCAP FX agrees to deliver a specific Currency to the Customer, or as directed by the Customer, within two (2) Business Days of the order being placed by the Customer with MCAP FX.
“Transaction” means the specific Service(s) contracted for by the Customer with MCAP FX.
“Wire Transfer” means an electronic transfer of funds including by way of direct deposit.