Once the application process has been completed and the investor has been accepted as a client by Alcral and its broker, two accounts will be opened with the broker:
The investor will receive an Investment Account password from the Broker which must be communicated to Alcral AG. This account will be operated by Alcral under the Limited Power of Attorney to execute all transactions.
Only the investor has access to this account – Alcral has no access to this account whatsoever and may only credit this account with trading profits, contributions from security reserves and/or forwarding of remuneration from the broker.
Distribution of Trading Profits & Payments to Profit Account
At the end of every calendar month, Alcral AG calculates the trading results and will transfer this amount to your Profit Account. Our aim is to deliver predefined monthly trading profits but depending on the level of the monthly return, Alcral may undertake any of the following processes:
Accumulate Security Reserves
We aim to build a Security Reserve on the clients Investment Account by accumulating any surplus monthly trading profits made after profits have been paid to the investor. We will continue to accumulate funds in the Security Reserve until a balance equivalent to 10% of the original invested capital amount has been achieved.
Support Profit from Security Reserves
If the monthly return has fallen below monthly target and there are available funds in the Security Reserve, Alcral will utilize these to support the monthly return as close to the monthly objective as possible.
Alcral may only apply its Management Charge after the following criteria have been met:
1-The Security Reserve has reached a balance of the equivalent of 10% of the invested capital.
2-The monthly trading profit for that month has exceeded the monthly objective.
Withdrawal of Profits
Due to regulatory obligations imposed on the broker, withdrawals from your profit account have to be paid back to the same account from where the original investment came from. This however, should be viewed as a positive safeguard against identity theft and potential fraudulent activity.
Reinvestment of Monthly Profits
Our investment strategy does not permit profits to be reinvested within the same investment contract. Alcral AG can only adjust your investment contract should you decide to invest further, at a minimum of 100,000 of your invested currency.
Of course whilst we set ourselves a realistic target, we are unable to guarantee a fixed monthly return, which is always dependent on market conditions, and past performance is no guarantee for future results.
The above points are a guideline of procedures only and do not include any detailed technical or contractually binding information and should not be relied on for such. For full and further details please refer to the contractual and the account opening documentation templates.