Please provide your details below as the primary applicant.
To enable trading in the full range of products on your account, including foreign currency, options, CFD's and futures we need to know a little about your understanding and experience.
Please follow and answer the information below to proceed. If you have any questions then please call us directly on
+64 9 309 0088 or for NZ Residents 0800 557 777 to speak with one of our Client Managers.
1. Over the past three years, based on your own decisions how frequently have you traded in the following derivative products?
Before opening an account with Halifax it is important that you read the following documents:
It is important you understand when trading or investing that derivatives products can be complex and carry a high degree of risk. They may not be suitable for every investor. Therefore, you must make the decision whether you wish to trade these products and shouldn't trade products without understanding the risks involved. For this reason it is important if you have any doubts to seek independent professional advice.
Below we have outlined some of the risks associated with trading and investing. You can find more detailed information in our Product Disclosure Statement (PDS). Please read this before opening an account with Halifax.
Please click on each of the following to dropdown and read in greater detail:
With derivatives, you may choose to cover only a small percentage (or margin) of the total value of the underlying asset in order to secure a position. For example, if you buy $1,000 worth of XYZ CFDs that have a margin rate of 5%, you only need to provide a margin of $50 to open the position. However, your exposure to the market (or risk) is the same as if you'd purchased $1,000 worth of shares at face value. This means that any move in the market will have a greater percentage effect on your capital than if you had fully purchased the same value of shares.
Information provided by Halifax is general information only. Accordingly, before applying to trade with Halifax, you must consider your objectives, financial situation and needs and the significant risk of loss which accompanies the prospects of profit associated with trading derivative products. We recommend you read the Halifax Product Disclosure Statements carefully and obtain independent financial, taxation and other professional advice before you start trading with us. We can't guarantee specific results from trading derivative products.
When entering into derivative trades with Halifax you are entering into a contract with Halifax that could result in either a benefit or a loss from either rising or falling prices. While the price of the derivative product usually mimics the price of the underlying asset, this isn't always the case. You need to be aware that you're not buying the underlying asset when trading derivatives. We provide derivative products on a range of underlying assets including shares, commodities, foreign exchange and indices.
When you trade derivatives you may provide a small percentage of your total exposure, in the form of margin. However, your total profit and loss potential is much greater than the amount of margin that you pay. So, if you buy $1,000 worth of XYZ CFDs with a margin rate of 5%, you only need to provide margin of $50 to open the position. If the position moves against you by 10%, you will lose $100 – double your initial deposit.
Depending on the derivatives trades you've opened, and how long they are open for, we may require you to pay holding costs. You'll incur these holding costs on a daily basis when you keep positions on certain underlying assets, such as forex and CFDs open overnight. In some cases the aggregate of these holding costs may exceed the amount of any profits or significantly increase losses.
At all times, your account revaluation amount must stay above the close-out level for your account otherwise all your positions may be closed. However, we do not guarantee such closure and you must not rely on it. It is your responsibility to monitor your positions closely and you will be able to monitor your account value and account revaluation amount through the platform. Closely monitoring your positions is very important because you might need to make immediate additional margin payments to avoid a close-out by the platform. To prevent closure of your positions, you should deposit a sufficient amount of money into your account to cover any potential losses or costs from your trades. It is important to note that even an amount that you previously deposited and which appeared to be more than sufficient at the time, can very quickly become insufficient due to rapidly changing market conditions.
A counterparty is the person or company on the other side of a financial transaction. When you take a position, you're buying a contract issued by us, and as a result we are your counterparty in the transaction. There is a risk that, as the counterparty to the trade, we may fail to fulfil our obligations to you. This may be because we, or one of our own counterparties (such as our hedge provider), fall into financial difficulties.
All client money held by Halifax is fully segregated. This means that all client money is held in a segregated client funds account, separate from Halifax operational account. Client money is deposited into this account either on the day it's received or owed to you, or on the next business day. As soon as that money is deposited into that account, it is segregated from the operational capital of the company.
Client money is not used for the purpose of meeting obligations incurred by Halifax when hedging with counterparties or to meet the trading obligations of other clients. Client money on deposit with Halifax is held in a segregated client funds account established, maintained and operated in accordance with the conditions of Halifax' market services licence. This means that client money's are protected from the operations of Halifax.
The ability of our platform to generate prices and execute orders is dependent on the availability of prices and liquidity in the exchanges, markets and other venues from which we gather data. In addition, because we maintain our own financial stability by hedging with other counterparties, we may be unable to execute your orders where we cannot enter into a corresponding transaction to hedge our own risk (for example, due to the activities of an issuer of shares to which your trades relate, which can sometimes restrict the market liquidity in those shares). Therefore, market circumstances may impact on your ability to place an order or close a trade with us. In contrast, if we enter into a corresponding transaction, to hedge our risk, this may have an influence on the underlying market conditions and consequently also on the prices we quote on the platform and your account.
Financial markets may fluctuate rapidly and prices of our Products are no exception. Any movements in our prices will have a direct effect on your account. One form of price volatility that can happen regularly is called gapping. This occurs where there is a sudden shift in price from one level to another. This can be caused, for example, by unexpected economic events or market announcements, particularly where these occur outside trading hours. There may not always be an opportunity for you to place an order between the two price levels, or for the platform to execute an open order at a price between those two levels. Certain markets also have limited trading hours which can impose a significant risk to your ability to place orders and close transactions.
There is a risk that other circumstances may prevent us from executing orders, or prevent you from accessing our platform. These include, for example, system errors and outages, maintenance periods, internet connectivity issues and failures of third parties on whom you or we are dependent (for example, internet service providers or electricity companies). We have business continuity measures in place to deal with some of these issues, but in some circumstances you may not be able to access the platform. These technical risks and other circumstances can pose a significant risk to your ability to place orders and close transactions.
The accuracy, completeness and availability of any features or third party content (including market data and newsfeeds) available on our website, on our platform and in emails cannot be guaranteed, and they are provided on an "as is" and "if available" basis.
IMPORTANT: Please review the information below before continuing with your application. By submitting this online application you agree and understand that:
1. You have read and understood the following: Margin FX and FX Options product disclosure statement (PDS) Contracts for Difference (CFD) product disclosure statement (PDS) Futures Contracts and Futures Option Contracts product disclosure statement (PDS) Exchange Traded Option (ETO) Contracts
2. The information contained in this application is true and correct and you will notify Halifax if the information contained in this application including your contact details materially changes or ceases to be correct.
3. You understand and agree that Halifax New Zealand may vary, update or replace the product disclosure statements at any time by updating the PDS on the Halifax website. We will notify you when we vary, update or replace the market documents if we are required to do so by law.
4. You acknowledge that you were provided with the opportunity to obtain independent legal and financial advice by Halifax, and you have obtained appropriate and sufficient advice, or have elected not to obtain advice, concerning the products offered by Halifax.
6. I agree and understand that Halifax can contact me by email, SMS message or phone in connection with my application to ensure that I am aware of all the services available to me or for other Halifax marketing purposes. I understand that I can opt out of education and marketing communications at any time after my application has been submitted.
By checking this box, I agree to be bound by each of the above declarations
Please click on the following to expand and read in greater detail.
An investment in the sharemarket is by no means a guaranteed investment. Investors are able to redeem the value of their share investment by trading those shares via the sharemarket.
When a company is performing poorly it may be difficult to find a buyer for your shares at the price you want to sell them. As a result, the sale price of your shareholding may be considerably lower than its original purchase price.
What happens if you own shares in a company that fails? In the event that the company you own shares in goes out of business, its shares will no longer be tradable on the sharemarket. When a company is removed from the list of companies whose shares are tradable on an exchange that company is said to have been 'delisted'.
If a company you own shares in has been delisted the only way to claim back your money is if a liquidator has been appointed and shareholders receive a portion of the sale of the company's assets.
In the event of asset liquidation, shareholders are last on the list of other creditors (e.g. banks, other lenders, suppliers) to receive any funds that may be realised.
As a result, shareholders may receive only a fraction of their original investment amount or could face the prospect of the complete loss of the amount they invested in the shares of that company.
Share prices can rise and fall rapidly and investors must accept the fact that the value of their shares may fluctuate by as much as 50 percent or more in a year. General market risk can relate to a particular sector, e.g. mining shares are usually more volatile than industrial shares or bank shares. Specific risk can relate to the performance of an individual share.
Because of market cycles, some shares have a higher degree of risk when the overall sharemarket has risen sharply and is set for a reaction. The opposite may apply when the market has gone into a strong decline and then starts to recover after showing some signs of stabilising. Not all sectors of the market follow the same price cycles.
Understanding business cycles and how different companies perform during the different phases of the business cycle can help to manage the effects of timing risk.
Are the investment recommendations made to you supported by a thoroughly argued case, or are they merely hearsay? The more reliable information you have, the better your decisions will be. Adopting a disciplined decision-making process will help you to minimise losses while you patiently build a portfolio.
Recommendations involving high rates of investment return can fail to produce satisfactory results when taxation, ongoing fees and constant changes in investment cycles affect the performance.
Your investment strategies or even individual investments could be affected by changes to the current laws.
If you have overseas investments, adverse moves in the currency need to be considered. This is because when you bring your profits home they need to be converted from the foreign currency into your local currency.
Please select from below the type of account you wish to open with Halifax. You may be required to upload documents depending on the type of account you wish to open.
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