Service Provider Letter Of Direction

The undersigned has applied for a foreign exchange ("Forex") trading account with FXCM Australia Limited ("FXCM"). Client acknowledges that they have requested to utilize a purchased (or leased) system developed by a third party system developer, or have subscribed to and/or authorised FXCM to follow trade instructions of their own selection ("The Program") which they may revise from time to time. Client acknowledges that they have been apprised of the volume of trading and resulting commissions to be generated by "The Program" and the impact this may have on its performance. Client fully understands the limitations of hypothetical back-testing and real-time track records in predicting future performance. Client hereby authorises and directs FXCM to enter trades for their account in accordance with trading signals generated by "The Program". In consideration of opening the referenced account, Client acknowledges and agrees to the terms and conditions, as follows:

1. Client fully understands that the trading signals are produced by "The Program" and not by FXCM and that FXCM's responsibility is to use commercially reasonable efforts to enter orders pursuant to the signals or trade instructions generated by "The Program" and as received by FXCM. Client confirms that FXCM has not solicited, or in any other way recommended, their participation in trading "The Program" with FXCM. Client has made inquires and conducted research into "The Program" sufficient to make an informed investment decision. FXCM cannot imply or guarantee that the account holder will make a profit from "The Program". Client agrees that FXCM will not be held responsible for "The Program's" performance or trading losses incurred in their account as a result of trading pursuant to their "Program" selection.
2. By signing below, Client grants Limited Power of Attorney in favour of FXCM solely for the purpose of entering orders in accordance with the signals generated by "The Program". If "The Program" is a third-party developed system, or a trade instruction by Client, Client has arranged for the Third Party to transmit by facsimile, telephone, or otherwise the trade signals to be executed for their account. If more than one FXCM client is using the same system or service as "The Program", Client acknowledges FXCM may enter block orders to enhance order execution, in which case a fair and systematic fill allocation method will be employed. Client understands and acknowledges that FXCM will only be responsible for using its commercially reasonable efforts to execute, in a timely fashion, the signals generated by "The Program". FXCM shall not be responsible for mechanical or communication line failure, system errors, data failure or any other causes beyond its control. Client further acknowledges that FXCM can accept and execute orders only if actually received or generated and then on a "not held" basis (i.e. FXCM shall not be held responsible for the execution of the order at the price indicated or otherwise).
3. In consideration for Client's use of "The Program", Client hereby authorises Client's account to be debited in the following amounts:
   
   Systems Trading Commission NZD$100.00, US$100.00, AUD$100.00 per million round turn.
   A markup of 1 pip is charged on all currency pairs and is payable to the Program Provider.
   
   Client is aware of the speculative nature and high risks associated with Forex trading. Client has provided the ideas, techniques and trading parameters used in "The Program" or, if it is a third-party developed system or trade instruction, Client understands its trading parameters. Client has had the opportunity to ask questions on how their account will be handled. Client acknowledges that they have not purchased "The Program" from FXCM, although it may have acted as their agent in the purchase or lease of "The Program". Client understands that there is no trading system that is free from the risk of loss. FXCM does not imply or guarantee that they will make a profit and Client agrees that neither FXCM nor any of its officers, directors, employees, consultants, agents or affiliates will be held responsible for the performance of "The Program" or trading losses in their account.
4. Client understands that using "The Program" to generate trading signals exposes them to risks associated with the use of computers and data feed systems relied on by FXCM. Client agrees to accept such risks, which may include, but are not limited to, failure of hardware, software or communication lines or systems and/or inaccurate external data feeds provided by third-party vendors and further agrees to hold FXCM harmless from any losses in their account associated with these risks. Absent wilful or wanton misconduct, neither FXCM nor any of its officers, directors, vendors, employees, agents, associated persons or FXCM personnel will be liable for any such breakdown or failure.
5. FXCM may act upon the authority given by this letter of direction until Client revokes the authority by written notice addressed and actually delivered to FXCM. This revocation of authority should be delivered by submitting FXCM's "Revocation of Letter of Direction" form. FXCM may also terminate the authorisation over the account at any time for any reason in its sole discretion. In the event that FXCM terminates the trading authorisation over Client's account, FXCM will provide Client with written notice. Client shall be responsible for any open lots in Client's account at the time that Client revokes the authority or such authority is terminated by FXCM. Client shall permit FXCM to execute offsetting orders for any open lots in Client's account at the time the Letter of Direction is terminated.
6. In lieu of sending trade confirmation via postal mail, FXCM will provide Client with access to view their account at any time using the Internet with an online login. FXCM shall make statements available to me showing the ledger balance, the exact positions in the account, the net profit or loss in all contracts closed since the date of the last statement, and the net unrealized profit and loss in all open contracts figured to the market. Client will carefully review these statements. If Client has any questions, Client must contact FXCM immediately.
7. Client agrees that, in the absence of wilful or wanton misconduct, neither FXCM nor any of its officers, directors, employees, consultants, agents or affiliates will be held liable for any act or omission in the course of or in connection with Client's participation in "The Program". Client shall indemnify FXCM, its principals, officers, directors, employees, agents, successor and/or assigns from all losses and/or liability (including reasonable attorney's and/or accountant's fees) incurred or resulting from this Letter of Direction to execute "The Program", provided that there has been no judicial determination that such liability was the result of gross negligence or recklessness or intentional misconduct by FXCM, and further provided that the conduct that was the basis for such liability was not undertaken in the actual and reasonable belief that it was in the best interest of Client's account.
8. Client is also aware that because the risk factor is high in Forex market trading, only genuine "risk" funds should be used in such trading. Account holders that do not have the extra capital that may be subject to a total loss, should not trade in the Forex market. No "safe" trading system has ever been devised Client is also aware that because the risk factor is high in Forex market trading, only genuine "risk" funds should be used in such trading. Account holders that do not have the excess capital that may be avail to a total loss, should not trade in the Forex market. No "safe" trading system has ever been devised, and no one can guarantee profits, exclusion from, or limits to the extent of losses.