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The Prime Finance teams operate across five continent timezones and major hub locations in London, New York and Hong Kong. We offer a full range of index and industry solutions, including index and industry sectors, front office services, asset allocation, asset allocation, asset allocation, asset allocation, asset allocation and value creation solutions. Prime Finance is an innovator of investment managers with the latest synthesized platforms that enable smooth implementation via DMA (Direct Marketing Access) and DSA (Direct Strategic Access).
Our strong track record in the sector is well placed to ensure robust financing through cyclical changes and regulation. Our membership of more than 30 derivative exchange platforms and our ability to tap into more than 50 marketplaces enables our experts in sale and trade to meet the needs of wealth management companies, corporates, hedging companies, pensions foundations, corporate banking and other types of financing organizations.
Equities derivative strategies offer tailor-made strategies for our customers. The HSI will take all appropriate measures to obtain the best possible results, taking into consideration a number of performance drivers. Where one or more places of performance are selected, the best possible performance can be achieved by not taking into consideration one or more of the following performance determinants in any order of priority:
Prices at which the order could be carried out; the cost to be paid by the customer as a consequence of the performance of the order; extent and type of the order; rate of performance and completion of the order; any other considerations pertinent to the performance of the order.
In general, the award deserves a high degree of importance relatively to achieve the best possible outcome for the client, but HSI also takes into consideration the following considerations when assessing the importance of the performance factor, which may lead them to give a higher preference to one of the other performance factors:
Customer features; the order dimensions and any other features of the order; the features of the places of performance to which the order may be addressed. At HSI, we regularly check the workmanship of the objectives to which we forward your non-directional orders to ensure that you get high value workmanship.
Regulation NMS 611 ("Reg NMS") (commonly known as the Order Protection Rules ) provides for an inter-market safeguard against carbon copies for all NMS shares by demanding that broker-dealers try to gain entry to all more favourable "protected" quotations on automatic venues when they are executed at quotations that would be traded through those sheltered quotations.
Regulation 611 contains a number of exemptions aimed at making the pricing protections of the regulation between markets as effective as possible. It is an order for a NMS share which, when forwarded to an automatic trade centre, is designated with an International Standard (ISO) symbol and, at the same time as this order is forwarded, is matched by one or more supplementary orders (also referred to as ISOs) which are executed within the framework of the proprietary quotes on these automatic exchanges.
ISO denomination warns the recipient automatic marketplace that the originator itself executes against all better secured offers at other automatic marketplaces. It is the obligation of a brokers seller to transmit an ISO if the cost of a trade between the brokers seller and a client or a trade between two or more clients is outside the actual NMS shares tender quotation ("NBBO").
When, after transmitting an ISO to other automatic venues and accepting fills/partial trades (or failing to receive a reply after a suitable amount of e.g. 5 seconds), there are still portions of the order to be filled, the trader can complete the rest at the initial order value.
An IOI is an expression of a commercial interest in buying or selling transferable securities sent by brokers to their customers. The IOI message usually contains the name, page, pricing, and size of the instrument for which the brokerage firm wishes to execute transactions. Furthermore, in general, IOIs are divided into two types: of course - to present agent interests or interest on a main base that arise or have arisen in the context of facilitating a client order; and not of course - to present main or home interests to act in a particular sense.
A HSI designates an IOI as self-evident if it is the product of an existence of an agency base (i.e. an order from a client) or of interest on a capital base that arises or has arisen in the context of facilitating a mandate from a clients (e.g. liquidation or protection of client-generated activities), facilitating quoted options orders from customers and certain over-the-counter equity derivative instruments, or facilitating the performance of a risk-free capital base mandate from a clientele.
At HSI, we strive to achieve the best possible performance of your orders and to create visibility in the processing of your orders or to protect ourselves against risks arising from the facilitation of these orders. Orders may be received from you for individual shares or a security cart, whereby we shall stipulate that HSI will carry out all or part of the order at a fixed rate in the main function.
It may be calculated on the basis of an independant bench mark such as a value-weighted average across the board average share value ("VWAP"), a time-weighted average share value ("TWAP") or the formal close of the security (s) included in the shopping cart. Before executing a guarantee pricing order, HSI may arrange for hedging through individual or multi-trade arrangements to compensate for our exposure to fluctuations in the markets associated with the facilitation of such arrangements.
As a rule, this protection includes main trading transactions (possibly all day) with the same securities or a related derivatives on the same side of the exchange as your order. At HSI, we make every appropriate endeavor to minimize the effects of our coverage on the markets. However, such an operation may eventually have an effect on the negotiated MCR.
An " Hold " order is an order where you direct HSI to immediately file execution at the best available strike rates, pending restrictions on sizes and limits. An " unfilled " order is an order where you give us your sole authority over the timing and cost of the execution of your orders.
In processing an "unheld" order, we shall use our best judgement to ensure the best possible overall workmanship under the given conditions in accordance with the order's directions. In the exercise of our assets we consider the order volume and prospective effects on the markets as well as the deepness and solvency of the actual markets and other significant considerations.
In accordance with the requirements of SEC Rule 15c3-5, HSI has put in place, document and maintain a system of riskmanagement control and oversight processes in place that are appropriate to managing the Company's exposure to credit, liquidity, regulatory as well as other markets entry threats and to giving clients appropriate exposure to a stock or alternative trade system ("ATS") using the Company's identification or otherwise.
All orders are subjected to certain specific prudential and regulative risks before they are forwarded to the markets centres. At HSI we offer a wide range of order fulfillment solutions, among them algorithms (e.g. VWAP trade strategies) and SOR technologies. Within the framework of e order processing, your order can be divided into smaller orders that are forwarded to one or more workstations.
Furthermore, one or more of these order fulfillment electronically may also be used to execute your order if you have the expert knowledge of an HSI expert. The HSI does not receive orders in certain OTC shares categorised by the OTC Markets Group as (1) OTC Pink - Limited Information; (2) OTC Pink - No Information; (3) Grey Market; or (4) Caveat Emptor.
If you place an order in a securities that fall under one of the above mentioned classes, it will be declined. When you attempt to resell a securities which, as a result of your purchase of that securities, is classified as "restricted" in an unregistered retail transaction or by an affiliated company of the issuing company, that securities must be resold in accordance with Regulation 144 of the Securities Exchange Act of 1933, as amended, or such other relevant exception to listing.
The FINRA Rule 5270 basically forbids a broker-dealer from acting on his own behalf while in receipt of information about an upcoming client blockorder. Normally, HSI will accept and facilitate client blocks orders, as well as individual share orders, security hampers and derivative orders. In principle, HSI may deal at a price that would be sufficient for a client order if such transaction were not related (e.g. due to appropriate information barrier as described in the "Exception without Knowledge" of FINRA Rule 5320 below) to the client order.
In certain instances, HSI may also perform genuine hedge or position activities to mitigate the exposure to loss associated with facilitating a client blocking order. This type of trade may have a random effect on the exercise prices of client blocks. However, HSI will make every effort to prevent or minimize such effects and to achieve the best possible performance of client blocks.
In general, Regulation 5320 prevents a member undertaking that receives and retains a client order from dealing for its own account under conditions that would correspond to the client order, unless the member immediately thereafter carries out the client order at the same or a better rate than it has dealt for its own account. 5320 also generally requires a member undertaking that receives and retains a client order to pay the same or a better rate than the member would have paid for the client order.
Usually HSI will process such orders according to customers' specifications. During the processing of such orders, HSI may act on its own behalf while processing a customer's order without offering value added services. By informing us in writing that you have opted for the " opt-in " policy under 5320, you may inform HSI that you do not agree to HSI dealing while processing your orders.
Otherwise, it is assumed that you as the client have agreed to trade the company for your own account on the same side of the exchange at a cost that would fulfill the client's order. The HSI operates in-house checks according to Regulation 5320, which are known as information thresholds between its trade entities. Information embargoes are intended to ensure that one trade entity is not aware of client orders placed by another trade entity.
Using these thresholds, one trader entity can keep a client order while another trader entity carries out an order for an HSI bank holding the client order. For its own sake, HSI may act on the securities before concluding an "unheld" client order, in which case the client shall leave to us the right to decide on the timing and pricing of the execution of its orders.
The HSI can take client orders outside normal US trade times (9:30 - 16:00 EST). These client orders are processed on the basis of specified order orders, which include, but are not restricted to, the maximum order value and time frame for which the order is suitable for performance (e.g. regular/extended trade hours). All orders placed before 9:30 a.m. EST will be processed and executed during normal working hour on that working date, unless otherwise specified in the order instruction.
Stopping prizes are not warranted exercise prizes. Stop Order" becomes "Market Order" when the "Stop Price" has been achieved and brokers are obliged to complete a complete and timely order at the actual quoted time. Therefore, the final stop order executing rate can be very different from the customer's "stop price".
Accordingly, while the client may obtain immediate performance of a stop order that becomes a stop order during periods of fluctuating volatility in markets, performance may take place at a substantially different rate than the stop order in the event of rapid movement of the markets. A stop order can be caused by a short-term, drastic movement in prices.
Clients are alerted to the fact that in times of turbulent markets, the share can move significantly within a brief space of space and initiate the completion of a stop order (and the share can later trade at its previous closing level). Clients should be aware that if their stop order is initiated under these circumstance, they may be able to trade at an unwanted selling rate even though the share may stabilize on the same trade date.
Stop orders can intensify falling prices in periods of extremely high market instability. Activating sales stop orders can further reduce the pricing pressures on a securities. Orders that are placed during a sharp fall in prices are more likely to be executed well below the stop order as well.
The placement of a "limit price" for a stop order can help to mange some of these mayhem. Stop orders with a "limit price" (a "stop order limit") become "limit orders" when the share achieves the "stop price". "A " Limited order " is an order to buy or sale a securities for an amount not less than a certain amount (i.e. the " Limited order ").
Using a stop order instead of a stop order gives the client extra security over the amount of money he receives. Clients should also be cautious, however, that since broker-dealers cannot resell at a lower level (or buy at a higher level) than the client's chosen reserve level, there is a risk that the order will not be filled at all.
Clients are encourage to use order limits in cases where they give more priority to reaching a targeted level than to immediate, price-independent settlement. Upon placement of the order with HSI, the client is obliged to identify all sales orders as " long " or " brief " accurately. All orders identified as "long" are subject to a declaration to HSI that you are "net long" in the securities in accordance with rule 200.
The HSI cannot take a Shortsale Order in a US equity instrument unless there are good reasons to believe that the instrument can be loaned to be delivered (i.e. "localised") on the STP. Location is not a statement or warranty that HSI has lent or may lend the securities to effect physical execution on the trade date.
The HSI may be obliged to carry out a compulsory purchase on the markets of a long or short-sell operation which resulted in non-delivery on the performance date. If HSI carries out a buy-in to your long or long sell transactions, your execution in the securities that HSI executes on that particular dealing date must end the date either net shallow or net long.
Such non-delivery may limit your capacity to make uncovered purchases in this collateral. Wholesaler is a company having discrete controls over NMS asset transaction that reaches or exceeds (1) 2 million stocks or $20 million on a given date or (2) $20 million stocks or $200 million on a given year.
It is HSI's duty to allocate a TID to each client who does not have a TID but is necessary according to the regulations. HSI's option exchange regulations stipulate that orders from certain players such as clients, broker-dealers, market-makers or "professionals" (i.e. orders from clients who place more than 390 orders in quoted option per days on the average over a single calender month) must be correctly named.
Accordingly, HSI monitors your option trade activities and categorizes your orders as Professional if you do. Option markets have set a limit on the total number of option rights on the same securities that a client can hold, which includes all clients who trade with that client.
If an order for 500 or more option futures is settled on your account, HSI may request other counterparties to carry out your order and thereafter carry out your order using the order mechanism offered by the International Securities Exchange (ISE). However, this feature only offers a unit pricing function so that your whole order can get a better pricing after exposure to exchange members, but not a fractional one.
If you are settling an Options Order for 500 consecutive orders or more on your account, HSI may buy or trade after receiving the Options Order but not before the announcement of the Options Order to the Quantity, Securities Future or Futurepositionen. This procedure allows you to display the options orders and the hedge item for executing as a net price packet under certain conditions.
1A (j), HSI may not take a client's order for order performance during the ETH (Extended Trade Hours) without exposing the possible risk of such longer term trade, e.g: The term is used to describe the capacity of players in the financial markets to buy and buy stocks. In general, the more orders and quotations are available on a given stock exchange, the greater the level of liquid funds.
The importance of solvency lies in the fact that greater solvency makes it simpler for the investor to buy or buy stocks, so that the investor is more likely to buy or buy stocks at a fair market value. In comparison to RTH, ETH Zurich's cash position may be lower, with fewer market makers quotating during ETH Zurich.
Ambiguity relates to the changes in prices to which transferable securities are exposed during trade. In general, the higher the stock's voltage, the greater its fluctuations. Consequently, it is possible that your order will only be partly or not at all processed or that you will get a worse rate at ETH than at RTH.
It is possible that the market value of ETH Zurich listed shares does not correspond to the market value at the end of the RTH or at the opening of the RTH on the next working days. Consequently, you may get a worse prize at ETH than at RTH. Normally, an issuer publishes messages that can influence the market value of its security after RTH.
This announcement may be made during the ETH and, in combination with lower levels of cash and higher levels of instability, may have an excessive and non-sustainable impact on the market value of a stock. Marginal spreads refer to the differences between the prices at which you can buy a bond and the prices at which you can resell it.
Reduced cash and higher ETH volatility may lead to broader spread than usual for a particular asset. Risks of the failure to compute or disseminate the Index Value or the Intraday Indicative Value (IIV) and the absence of periodic trade in the securities indices: Given that the index or portfoliovalue and IIV on which the index or portfoliovalue is based are not computed or widely distributed during ETH, an investment firm that is not able to compute implicit value for certain ETH commodities may be disadvantageous to professional investors.
In addition, the transferable securities on which the indices or portfolio are based are not traded on a regular basis as during RTH or are not traded at all. As a result, ETH Zurich stock exchange quotations may not be representative of the price of these assets at the opening of trade. In accordance with FINRA and NASDAQ regulations, HSI is obliged to disclose the following information on the risks associated with client trade in pre- and post-market meetings:
The term is used to describe the capacity of players in the financial markets to buy and buy stocks. As a rule, the more orders available in a given store, the greater the amount of liquid funds. The importance of solvency lies in the fact that greater solvency makes it simpler for the investor to buy or buy stocks, so that the investor is more likely to buy or buy stocks at a fair value.
In comparison to normal times, liquid funds in longer trade periods may be lower. Ambiguity relates to the changes in prices to which transferable securities are exposed during trade. In general, the higher the stock's voltage, the greater its fluctuations. Higher volumes may be traded with longer times than in normal markets.
Consequently, it may happen that your order is only partly or not at all filled, or that you get a lower trade rate than you would during normal times of the year. Pricing of stocks and shares dealt in in the context of prolonged hour trade may not mirror pricing at the end of normal opening times or the next day.
Consequently, you can trade for longer periods of your life at a lower rate than during normal times. Subject to the longer opening system or the hour of the week, the pricing shown in a particular longer opening system may not mirror the pricing in other parallel longer opening system that trades the same security.
Accordingly, you may get a worse rate in an advanced system than in another advanced system. Normally, the issuer publishes messages after normal times on the markets that may impact the prices of its shares. Similarly, important financials are often published outside normal business hours. However, the information is often not published in time.
Prolonged hour trade allows these notifications to be made during trade and, in combination with lower levels of cash and higher levels of instability, can lead to an excessive and non-sustainable effect on the market value of a stock. Marginal spreads refer to the differences in prices between what you can buy a bond for and what you can resell it for.
Reduced cash and higher long-term trade volumes may lead to broader spread than usual for a particular asset. In the case of certain derivative securities products, an up-to-date underlyings or IIV may not be traded in prolonged periods or distributed to the public. Given that the index value and the IIV are not computed or widely distributed during the on- and off-exchange session, an investors who are not able to compute implicit value for certain derivative securities products during these session may be disadvantaged for participants.
To comply with current legislation and requirements, certain phone wires are collected by our distribution and trade divisions.