Important Notes:

1. The number of shares of the selected stock(s) to be allocated to your brokerage trading account with KGI will be rounded down to the nearest whole number of shares. Tracker Fund of Hong Kong (HKD Counter Stock Code: 2800) will be rounded down to 2 decimal places.
2. The purchase price of a particular stock acquired for you will be determined by its last ask price on the relevant Fixing Date based on the information provided by Hong Kong Exchanges and Clearing Limited on their website www.hkex.com.hk under "Daily Quotations" or, if such information is unavailable, determined by KGI Asia Limited in a fair and reasonable manner. If the actual execution price is better than such last ask price, KGI shall be entitled to keep the price difference as its agency fee.
3. The second trading day of The Stock Exchange of Hong Kong Limited (“HKSE”) after the Payment Date of the monthly contribution.
4. Monthly transaction fee is 0.25% on monthly contribution or HKD50 for each selected stock, whichever is higher, inclusive of any stamp duty, transaction levy, trading fee and CCASS fee.
5. KGI reserves the right from time to time to specify any other date as the Payment Date.
6. Please refer to the Terms and Conditions for the [Monthly Investment Plan (Stocks)] for details.

1. The prices of securities fluctuate, sometimes dramatically. The price of a security may move up or down, and may become valueless. It is as likely that losses will be incurred rather than profit made as a result of buying and selling securities.
2. This Monthly Investment Plan (Stocks) does not assure a profit, nor does it protect against loss in declining markets, or against a loss if you withdraw from the Plan when the value of your shares is less than the cost of the shares you purchased.

Terms and Conditions for Monthly Investment Plan (Stocks) (the “Plan”)

1. Terms and expressions used in these Terms and Conditions shall have the following meanings, unless where the context requires otherwise:

   (a) “Account” means the securities account maintained by the Client with KGI through which the Client participates in this Plan.

   (b) “Autopay Arrangement” means the arrangement whereby the Client authorizes a bank to automatically debit a designated bank account of the Client maintained with the bank for payment of his/her Monthly Contribution Amounts under this Plan.

   (c) “Client” means the person(s) whose name(s) and address(es) are identified in the KGI’s account opening form signed by such person(s).

   (d) “Client Agreement” means the client agreement between KGI and the Client which is entered into by the Client by signing KGI’s account opening form and which governs the account(s) opened and maintained by the Client with KGI (including any supplements or amendments thereto from time to time).

   (e) “KGI” means KGI Asia Limited.

   (f) “Monthly Contribution Amount(s)” means the monthly investment contribution amounts to be paid by the Client from time to time under this Plan.

   (g) “Payment Date” means the 8th day of each month, but if such day is a non-business day, the Payment Date will be on the next business day after the 8th day of each month.

   (h) “Stock” means a stock selected by the Client under this Plan.

   (i) “Transaction Fees and Expenses” means the transaction fees charged by KGI in connection with executing the Client’s orders for purchase of the Stock pursuant to this Plan, together with the related stamp duties, transaction levies, trading fees, CCASS fees and any other fees and expenses.

   (j) Unless expressly specified herein or the context requires otherwise, terms and expressions defined in the Client Agreement shall have the same respective meanings when used herein.

2. Unless the Client has already been using Autopay Arrangement and such arrangement remains effective, the Client agrees and acknowledges that the Client’s Monthly Contribution Amounts will be debited from the Account. The Client will ensure that sufficient and immediately available funds for the Monthly Contribution Amounts are deposited in the Account on or before a Payment Date in each month and such funds are maintained in the Account on each Fixing Date as referred to in Clause 4 below in order to meet and satisfy all the Client’s payment obligations of the Monthly Contribution Amounts, including but not limited to payment of the amounts required for purchase of the Stock selected by the Client under this Plan and the related Transaction Fees and Expenses. The Client hereby authorizes KGI to debit from the Account from time to time monies in the Account to meet and satisfy any and all of the Client’s payment obligations in respect of the Monthly Contribution Amounts under this Plan.
3. The monthly transaction fee charged by KGI is 0.25% on the Monthly Contribution Amount or HKD50 for each selected Stock, whichever is higher, inclusive of any stamp duty, transaction levy, trading fee and CCASS fee.
4. Subject to the Client’s due compliance with his/her obligations under these Terms and Conditions, KGI will apply the Monthly Contribution Amounts minus the Transaction Fees and Expenses for executing the Client’s orders for purchase of the Stock on the second trading day of The Stock Exchange of Hong Kong Limited (“HKSE”) after the Payment Date in each month (each, a “Fixing Date”) in the manner as provided in these Terms and Conditions. KGI reserves the right from time to time to specify any other date as the Payment Date.
5. The purchase price of the Stock acquired by KGI for the Client under this Plan will be determined by its last ask price on the relevant Fixing Date based on the information provided by Hong Kong Exchanges and Clearing Limited on its website www.hkex.com.hk under “Daily Quotations” or, if such information is unavailable, determined by KGI in a fair and reasonable manner. If the actual execution price is better than such last ask price, KGI shall be entitled to keep the price difference as its agency fee.
6. The number of shares of the Stock to be allocated to the Account will be rounded down to the nearest whole number of shares. Tracker Fund of Hong Kong (HKD Counter Stock Code: 2800) will be rounded down to 2 decimal places.
7. KGI reserves the right but not the obligation to acquire for itself or on behalf of any of its affiliates any odd lot(s) of any stock in the Account from time to time. The selling price of the odd lot(s) shall be determined solely by KGI.
8. In case the Account is a securities margin account, KGI may (but is not obliged to) provide margin financing facilities to the Client so as to enable the Client to meet the Client’s payment obligations of any Monthly Contribution Amount under this Plan, but subject to and upon the terms and conditions as set out in the Client Agreement.
9. KGI is not acting as the Client’s investment adviser and where necessary, the Client shall seek his/her own independent professional advice before making any investment decision.
10. If the Client wishes to amend the Monthly Contribution Amount for the selected Stock, the Client may make an application to KGI for such amendment by submitting a duly completed amendment form to KGI or in such other manner as KGI may prescribe from time to time. Any such amendment by the Client will only take effect three business days after the application is duly made by the Client and received by KGI, except for Autopay Arrangement. In case where the Client has been using Autopay Arrangement, the Client is required to submit a revised direct debit authorization form for the amendment. Any changes to the direct debit authorization form and the Autopay Arrangement may require about 45 business days to process.
11. If KGI does not receive the Client’s Monthly Contribution Amount(s) in full or at all by any Payment Date for any reason, KGI shall have the discretion not to execute any purchase order for the Client or to execute such order in any manner as KGI may think fit.
12. Termination:

    (a) Either KGI or the Client may terminate this Plan or the use of this Plan (as the case may be) at any time on the giving of not less than three business days’ prior written notice to the other;

    (b) KGI may terminate the Plan forthwith at any time without notice to the Client if the Client fails to pay or deposit any Monthly Contribution Amount in the Account in full on any Payment Date or if such amount is not maintained in the Account on any Fixing Date; and

    (c) Any termination shall not affect the respective rights and obligations of the Client and KGI accrued prior to such termination.

13. The Client accepts that KGI may deliver documents and contract notes to the Client in electronic form to the Client’s e-mail address.
14. If trading in the Client’s selected Stock is suspended on the HKSE on any Fixing Date, the relevant Monthly Contribution Amount received will be applied to invest in the Stock as soon as reasonably practicable once the suspension has been lifted. In that case, the purchase price of the Stock acquired for the Client will be determined by its last ask price on the date of such acquisition or, if such information is unavailable, determined by KGI in a fair and reasonable manner.
15. KGI reserves the right to reject or cancel the Client’s purchase order either in whole or in part without any prior notice or assigning any reason therefor.
16. These Terms and Conditions are governed by and shall be construed in accordance with the laws of the Hong Kong Special Administrative Region and the parties hereto hereby submit to the non-exclusive jurisdiction of the courts of Hong Kong Special Administrative Region.
17. These Terms and Conditions are supplemental to and form an integral part of the Client Agreement and shall be read together with the Client Agreement. In the event of any conflict or discrepancy between the provisions of these Terms and Conditions and the terms of the Client Agreement, the provisions of these Terms and Condition shall prevail to the extent of the subject matter of these Terms and Conditions.
18. In the event of any discrepancy between the Chinese version and the English version of these Terms and Conditions, the English version shall prevail.

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