Islamic Fixed Income Program

Introduction

The following Terms and Conditions shall be considered an inseparable part of the Customer Agreement between Global Derivative Capital Markets NZ Limited referred to as “GDMFX” and “The Company” and all Customers that have requested and have subsequently been granted participation in the Company’s “Islamic FIXED INCOME PROGRAM”, referred hereinafter as “Promotion”.

These Terms are binding and all Customers are advised to read through them carefully and to seek independent advice where necessary.

Eligibility

All New and Existing Customers of GDMFX can request to receive the promotion on one or more of their Trading Accounts, if the following conditions are met:

  • The Customer has Eligible Deposited Capital of minimum USD 1,000.00 or its equivalent in another currency in the Trading Account for which the promotion is being requested.

  • GDMFX shall consider the Deposited Capital of a Customer to be an “Eligible Deposit” if the Deposit has been made after the 1st of August 2016. Internal Transfers from other Trading Accounts of funds deposited before the 1st of August 2016 shall not be considered Eligible Deposits.

  • The Promotion can be applied only on Trading Accounts of the standard “Blade” type with SWAP-free conditions applied or “Binary Options” type as defined on the company’s website, where no other active promotions or special/custom conditions/arrangements are in effect.
     

GDMFX reserves the right to deny any request to participate in the current promotion based on its sole discretion.

Properties of the Promotion

  • Each Trading Account participating in this Promotion shall function as an Islamic deposit based on the Shariah contract of Commodity Murabahah (cost-plus sale). The underlying asset for the sale and purchase transaction between GDMFX and the customer is based on a specific Shariah-compliant commodity as the company deems fit. GDMFX shall use the Own Free Funds available in the Participating Account every day in accordance with the contract of Commodity Murabahah and the terms of the present promotion and in return the Customer shall receive a Profit-Share of 8% per year, which will be paid by GDMFX into the Customer’s Participating Account once per month referred to as “Profit-Share”.

  • “Own Free Funds” shall refer to the participating Trading Account’s Free Margin minus Credit. “Free Margin” and “Credit” as defined in the company’s trading platform.

  • Customers are allowed to make subsequent deposits into the participating account but that will change certain conditions of the promotion as specified in these terms.

  • Customers are allowed to withdraw their balance and their profits at any time as per the normal policies of GDMFX. The company, however, shall reserve the right to disable automated withdrawal and internal transfer requests on all participating accounts and to accept such requests only manually via e-mail sent to CustomerSupport@gdmfx.com. Furthermore, Customers are specifically warned that if withdrawals from the participating account exceed the promotion’s “Withdrawal Limits”, all Profit-Share payments made shall be canceled and claimed back by GDMFX

  • The Profit-Share payments made into the participating Trading Account can be withdrawn and released from all other restrictions of the promotion only once the Customer has either fulfilled a Minimal Trading Requirement referred to as “MTR”, or alternatively once a Minimal Participation Period referred to as “MPP” has expired.

  • In all cases when the Customer is in breach of the terms of this promotion or is otherwise systematically violating the terms and conditions of GDMFX, the company shall reserve the right to VOID all Profit-Share payments made during the promotion and to deduct their amounts from the Customer's balance.

Minimal Trading Requirement

The Profit-Share which has already been paid into a participating account can be released of all restrictions of the promotion once a Minimal Trading Requirement “MTR” has been achieved within the Participating Account. The calculation method of the MTR depends on the total amount of Profit-Share payments received and on the type of the Participating Account.
 

  • In case of Blade Accounts: The MTR is equal to 0.50 Lots Traded Round Turn for each USD 1.00 (or its equivalent in another currency) received as Profit-Share Payment. In other words the total amount of all Profit-Share payments received needs to be multiplied by 0.50 in order to calculate the MTR.

    • In Forex trading, 1 Lot is equal to 100,000 Currency Units.

  • In case of Binary Options Accounts: The MTR is equal to 0.10 Lots Traded for each USD 1.00 (or its equivalent in another currency) received as Promotional Payment. In other words the total amount of all promotional payments received needs to be multiplied by 0.10 in order to calculate the MTR. In the case of Binary Options Trading, the trading of 1 Lot refers to the purchase of a Binary Option instrument for 1,000.00 Currency Units of the currency in which the Trading Account is denominated.

    • In Binary Options trading, 1 Lot is equal to the purchase of a Binary Option for 1,000.00 Currency Units.

  • Only the Trading Volume in the Participating Account can be added to the MTR. Trading Volume in one Trading Account can not be added to the MTR for Profit-Share Payments done into another Trading Account.

  • Fulfilling part of the MTR shall not release part of the received Profit-Share from the restrictions of the Promotion. The MTR must be completed in full, or the restrictions of the Promotion shall remain in force.

Minimal Participation Period

The restrictions of the promotion can be lifted and the amount of all Profit-Share paid into the participating account can be withdrawn once a Minimal Participation Period “MPP” has passed since the Customer began his/her participation in the promotion. The MPP depends on the number of deposits made into the participating account and the dates on which they have been made.
 

  • The MPP is initially set at 12 months from the date when participation in the promotion is granted by GDMFX.

  • Each subsequent deposit made into the participating account before the MPP has expired shall extend so that the updated MPP shall expire 12 months after the weighted average deposit date. The formula for calculating the weighted average deposit date is as follows:

    • M = Month of Deposit

    • D = Amount of Deposit

    • wAvg Deposit Date = (M1*D1+M2*D2+...+Mn*Dn) / (D1+D2+...+Dn)

    • The results of the above formula are rounded to the nearest whole number.

  • EXAMPLE:

    • If a Customer makes the following 3 deposits into his participating account: 1000$ in Month 1; 5000$ in Month 3; 300$ in Month 11. The effect on the MPP shall be calculated as follows:

      • The Initial MPP is 12 months starting from the date of the initial deposit, which is 12 months after Month 1, or in other words the initial MPP expires after Month 12.

      • The updated MPP shall expire 12 months after (1*1000+3*5000+11*300) / (1000+5000+300) = 3.06 In other words the updated MPP shall expire in 12 months starting from Month 3.

Withdrawal Limit

The Islamic FIXED INCOME PROGRAM offered by  GDMFX is allowing its users to benefit by gaining additional profit from their Trading Accounts. The awarded Profit-Share Payments however are subjected to the restrictions set in these terms and can not be freely withdrawn before the conditions of the promotion have been met. In that respect GDMFX reserves the right to hold any Profit-Share payments made into the participating account invalid and to deduct their amount from the participating account’s balance in all cases when as the result of a withdrawal made by the Customer, the participating account’s balance falls below the sum of the initial capital and all subsequent deposits made before the conditions of the promotion have been met.

Promotion Auto Renewal

  • Once the conditions of the promotion have been satisfied and all Profit-Share payments made during its term have been freed of all restrictions, the promotion is considered to have been concluded.

  • In all such cases and unless the Customer instructs otherwise, the promotion shall be renewed automatically with the participating account’s current balance being considered as eligible capital.

Promotion Amendments and Cancellation

GDMFX reserves the right to cancel or amend this promotion at any time without prior notice and based entirely on its own discretion. In all such cases all participating customers shall be allowed to keep all Profit-Share payments which they have received up to the date of the amendment or cancellation.

Promotion Disclaimer

All Customers are explicitly warned that the current promotion does not constitute the issuing of a debt security by GDMFX and the company neither is, nor is it holding out to be a debt security issuer. The Profit-Share payments made by GDMFX under this promotion are a type of rebate paid to customers from the trading costs they have incurred during the normal operation of their trading account.

Advertising Restrictions

This Promotion can not be offered by Introducing Brokers, Money Managers, or any other type of Affiliates of GDMFX without the explicit written agreement of the company.