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February 2017 New Products & Platform Updates

Product Updates

Margin rate changes for Turkish Lira (TRY) crosses

Please be advised margin requirements for TRY pairs has increased to 8% due to continued volatility.

GTS Browser Support

The list of browsers supported by GTS has been updated to:

  • Internet Explorer 10+
  • Microsoft Edge 12+
  • Google Chrome 30+
  • Mozilla Firefox 25+

We recommend that traders upgrade to a supported browser as soon as possible to get the best experience. It will not be possible to access the GTS-web platform through other browsers from March 2017.

Platform Enhancements

New Combination Order Ticket now available

A new multi-legged order is now available in GTS, allowing traders to define and place Contract Option strategies on listed stock, ETF and index Options.

Features of the new Combination Order Ticket include:

  • Multi-legged ticket allows for trading complex options strategies such as horizontal spreads, straddles, strangles, iron condors and many more
  • Multi-legged orders to simultaneously Buy/Sell different Options
  • Multiple legs are delivered and executed as a single order
  • Up to four legs
  • Margin reduction over trading options individually
  • Spread trading to limit market risk
  • Ratio of strategies is retained between different legs (1:1, 2:1 and 3:1)
  • Price defaults to reference price within the spread, i.e. close to the mid-price of the spread itself
  • Quick reversal of a strategy from Buy to Sell, and vice versa
  • Dynamic display of Greeks, Volatility and Margin allows users to quickly analyse any spread set up before execution
  • Access to the Combination Order Ticket

    Combination Orders are available under Option Trading as shown below:

    Please note that you will only be able to utilise this functionality if you have Contract Options enabled. If you don’t have this product suite and would like to have it enabled, please contact your Sales representative.

Change to the P/L in the Close Position dialogue in GTS

From early February 2017, the Close Position dialogue (when closing individual positions) will show the profit/loss in the account currency rather than the instrument currency:

The Square Net Position dialogue will also show the profit/loss in the account currency:

Changes to CZK Margin and Exposure Limit

EFFECTIVE: WED APR 19th at 13:00 GMT

In response to the Czech Central Bank’s decision to remove the peg on the Czech Koruna, we are now able to move the Czech Koruna to a free-floating currency margin schedule. The below table will represent the new schedule for the Czech Koruna tier rates based on your margin profile.

CCY USD 0-1mm USD 1-3mm USD 3-5mm USD 5-10mm USD 10-25mm USD 25-50mm USD 50+mm
CZK 4% 4% 8% 8% 15% 20% 100%

Flat rates for the Czech Koruna will be set at 4% for a maximum currency limit of USD 3mm

These new tier and flat rates will be effective as of Wednesday, 19 April 2017, at 13:00 GMT.

April 2017 New Products & Platform Updates

US corporate and LATAM bonds now available

We are pleased to announce the most recent addition of US corporate and LATAM bonds:

  • US corporate bonds include Investment Grade bonds and more high-yield bonds.
  • LATAM bonds include the most actively-traded USD corporate and government bonds from Brazil, Argentina, Venezuela and other Latin American countries.

Bond commissions

As an introductory offer, bond trading was available on very low commissions of 0.08%. From 1 April 2017, commissions have increased to 0.2% for both online and offline-traded.

Futures position management changes

GTS is moving to FIFO netting on futures positions from:

  • 6 April on the GTS Pro platform
  • 8 April on the GTS-web platform

This means that futures trades must be closed in the order they were opened; platform features which allow you to close trades in a different order will be removed:

  • Individual trades in a position cannot be closed directly
  • You cannot place related stop and limit order to close specific trades.
  • Closing positions

    To close or reduce a position, you can place a trade using either the Close button on the position or by placing a trade using the Trade Ticket

    Related orders

    Stop loss and take profit orders cannot be related directly to individual trades. Independent stop and limit orders can be placed instead and managed separately to the position ñ if you manually close a position, you must also manually cancel any orders.

    Changes to Allocation Summary

    In connection with the futures position management changes in the beginning of April, the Allocation Summary will be changed:

    • For futures contracts, the Close Allocated Positions Ticket will be changed to allocate futures orders/trades which are not related to opening trades.
    • The Close Position buttons on the trade level in the Allocation Summary will be removed for all products.

US Source Income Reporting

Does this apply to me?

If your account earns US source ‘fixed or determinable, annual or periodical (FDAP) income’, Euro Pacific Bank (and Euro Pacific Securities, Inc.) is mandated to report this US source FDAP income to the IRS on your behalf, regardless of your residence jurisdiction.

The United States requires all withholding agents to file an information return, known as a Form 1042-S, Foreign Person’s U.S. Source Income Subject to Withholding, to report amounts paid to foreign persons that are described under the Amounts Subject to NRA Withholding and Reporting, which includes all Fixed or determinable, annual or periodical (FDAP) income.

  IRS EXPANSION OF REPORTING SCOPE

Please note as of January 2017, IRS Section 871(m), has expanded the scope of reporting requirements to include single stock CFDs with a US equity as an underlying asset.

How much does the filing cost?

The cost of filing is $200.00 per account, each year that an account holds investments that pay interest or dividends attributed as ‘US source income’. This means that even if a investment/security has a one-time payment, a filing will need to be made.

This reporting is mandatory and required of all firms offering investments, whereby those investments pay interest or dividends attributed as ‘US source income’. Unfortunately, due to the prohibitive cost of complying, Euro Pacific Bank and Euro Pacific Securities must pass on the cost of these filings to our clients.

Can I avoid this annual filing cost?

You may avoid future withholding and resulting $200 filing cost by requesting to disable all US Equities (i.e. Stocks, Bonds and ETFs) and single stock CFDs in your brokerage account. Please be aware that this does not guarantee that filing will be avoided, as ‘US source’ attribution rules are complex and frequently change.

In the case that a filing is required, even if US equities and single stock CFDs have been disabled, the $200 fee will be withdrawn at that time.

If you do not earn US source FDAP income during the year in question, we will ‘hold’ the $200 until the next year, and release the funds when you close your account.

For any questions about these developments please do not hesitate to contact our Client Services team. For the most up-to-date information on the Bank’s reporting requirements to the IRS please review their website directly.

March 2017 New Products & Platform Updates

DJX.I Index Subscription

Real-time data on the Dow Jones cash index (DJX.I), used as underlying instrument for DJX stock index options, will only be available through a subscription to OPRA from 1 April 2017. Delayed data is available without subscription.

  Private Professional
OPRA Data $7 USD/Month $37 USD/Month

Right-Click Context Menus Now Available in GTS

Right-click menus are now available on all major components in the GTS-web platform, giving quick convenient access for trading instruments, opening charts, module settings and options.

Some of the functions available from the right-click menus include:

  • Trading an instrument
  • Closing a position
  • Cancelling, editing and changing orders to market orders
  • Remove an instrument from the Watchlist
  • Add a price alert for an instrument
  • Add Take Profit and Stop loss orders to a position
  • Access to position and order details
  • Access to Equity Research (where available for stocks and stock CFDs)
  • Chart configuration

We will continue to enhance right-click with additional functionality over the coming months.

WARNING AGAINST E PROTECTIONS PTE. LTD.

Published Date 18-JAN-2017

It has been drawn to our attention that E PROTECTIONS PTE. LTD., a firm purported to be registered in Singapore are suggesting on their website (www.epro.sg/company.html) that they have an agency and/or financial relationship with Euro Pacific Bank Limited which does not exist.

Euro Pacific Bank has no connection or dealings with E PROTECTIONS PTE. LTD. or their employees/operators and we advise our clients that neither this firm or its principals are connected in any way to Euro Pacific Bank or are endorsed by us. They are not registered with us as agents of our bank. Any party having any dealings with E PROTECTIONS PTE. LTD. or with their principals in connection with any Euro Pacific Bank product or service does so entirely at their own risk and Euro Pacific Bank is not responsible for any consequences arising from such dealings.

Completing a Self Certification Form for FATCA – New Clients

This user guide will walk you through the process of creating the necessary documentation to certify your tax status and residency as a non-US person. For more information on the Bank’s requirement under FATCA to obtain this information, please read the article here.


Step 1: Completing the Self Certification Form(s)

The Bank understands the complexity in complying with these requirements so to ease this process we have developed a “FATCA Assistant” tool. Click below to launch the tool in your browser. The tool is designed to assist you with two of the more challenging parts of completing the self certification process1:

  1. Determining the correct self-certification form to use (W-8BEN, W-8BEN-E, W-8IMY, or W9)
  2. Determining your Chapter 4 status, if necessary, for the W-8BEN-E, W-8IMY

Use our FATCA Assistant

Click the button to the right to launch the Assistant.

Common Mistakes Completing the Self Certification Forms

We’ve put together a list of common mistakes that occur when the form is being completed. We strongly encourage you to review these to make sure that your form submission is not rejected.

  • Permanent residence address and mailing address do not match the one provided for the account
  • P.O. box or C/O address used w/o proper additional explanation
  • Date format incorrectly listed. Should be in U.S. format mm/dd/yyyy
  • Multiple boxes checked on lines 4 and 5 (W-8BEN-E). Only check one option/box
  • Multiple sections filled Part IV – XXIX (depends on FATCA status in line 5)
  • If income or account is held jointly with one or more persons, form W-8BEN-E must be provided by all owners
  • The country of residence and country with treaty benefits are being claimed must match
  • Only one entity type may be selected
  • Only one FATCA status may be selected
  • The form must have a wet signature when sent to the bank. Digital signature or Electronic signatures are not accepted.

Step 2: Providing the Form to your Account Manager

Once you have completed the FATCA Assistant and/or with the help of your tax advisor, you need to send the form to your Onboarding Specialist, who is the designated bank representative that is helping you open your bank account.


Step 3: Mailing the Form

Once the electronic copy of the form(s) has been approved, you need to mail the original copy to the Bank. Forms are not considered valid until they are received physically by the Bank. The instructions and address to mail the form(s) will be sent to you once the electronic copy has been approved.

After you have sent your completed documentation, you will receive an e-mail notifying you of our receipt of your form(s).


1The FATCA Assistant Tool should not be considered tax advice. The tool is simply a means to check your current understanding and provide direction in completion of the self-certification forms. Anyone with concerns about the results should contact a local tax professional for more information.

Margin Rate Changes ahead of French Election

Effective Date: Friday May 05 at 10:00 GMT

With the first round of the French election behind us, markets have begun to position in anticipation of the results. In order to continually provide responsible leverage to our clients, we are increasing margin rates to protect against potential volatility, rapid price movement, and gapping that may occur during this event. We are expecting to revert back to regular levels on Monday, May 8th, at 8:00 GMT, when markets return to normal.


Margin Changes for both Global TradeStation & MT4

Currency Flat Margin
EUR 7%
JPY 6%
CHF 4%
XAU 8%
XAG 10%

Further Margin Changes for Global TradeStation

Stock Index CFDs* Rate
European Index CFDs Minimum 6%
SPAIN35.I, FRA40.I, BELG20.I, ITALY40.I,and UK250MID.I 10%
Index CFDs in the rest of the world Minimum 4%
Interest Rate CFDs* Rate
10YOAT 2%
BUND 2%

*Local default rates which may be higher will remain unchanged.

For more information pertaining to margin and collateral requirements, please go to ‘Account – Margin and Collateral Changes’ in the GTS trading platform.

Monetary Policy Impact on Interest Rates

EFFECTIVE DATE: MARCH 1 2017

Due to the introduction or ongoing levy of negative interest rates on account credit balances by some central banks and deposit banks, Global Trading will be applying a negative interest charge to unutilized cash in the relevant reference currencies (subject to the minimum thresholds below). As Global Trading places our clients cash very conservatively, we are sharing this burden and not completely recovering our costs for the benefit of our clients.

The charge will apply to all client accounts net free equity balances above the threshold currently indicated in the table below. We will endeavor to contact all clients that will be affected by this policy and provide them with some suggested alternatives to avoid these charges. These rates do not apply to bank account balances with Euro Pacific Bank, only unused cash held directly in Global Trading brokerage accounts.

The negative interest will be calculated daily on the net free equity exceeding the threshold and debited to the account at the end of each month for the interest period of the previous month (value date is the last day of the previous month).

The thresholds and negative interest rates are currently at:

Currency Threshold Negative Interest Rate (p.a.)
EUR >25,000 -0.40%
CHF >25,000 -0.75%
DKK >250,000 -0.65%
SEK >250,000 -0.50%

The negative interest rates indicated above will be charged as of 1 March 2017 and apply until further notice. The rates charged are subject to change. The information is also provided on the trading platforms and on Global Tradings Trading Conditions page.

The reference interest rates applied by the central banks are continuously monitored by Global Trading. If the negative interest rate environment was to change, Global Trading aims at adjusting the negative interest rates.

Thank you for your understanding. Please contact us if you have any questions.

Reintroduction of ASX Data Feed

DATE: 01/26/2017

We are proud to announce the reintroduction of the Australian Stock Exchange in our offerings in GTS. You may be familiar that this data feed was lost last year due to increases in pricing associated with offering trading on this exchange.

You will now have access to delayed price feeds, and live pricing through subscriptions.  Additionally, any visibility that was initially lost through the removal of the price feed is now available once again.

We intend to maintain this partnership as we hope to expand our offerings in the future.

If you have any further questions, please contact your private banker, or [email protected]