|
Investor Alert |
| Past Alerts Click Here | April 2007 |
| Notification to all Options Customers Newedge USA is required to notify all of its options customers that the booklet entitled "The Characteristics and Risks of Standardized Options" was recently amended to now include a January 2007 Supplement. Please review this additional supplement to the Options Disclosure Document at either of the following sites: http://www.theocc.com/publications/risks/riskstoc_january07_sup.pdf or http://www.nasd.com/web/groups/rules_regs/documents/rules_regs/nasdw_018546.pdf If, for any reason you cannot access this supplement, or "The Characteristics and Risks of Standardized Options" booklet on-line, or you would like to the booklet and or the supplement mailed to you, please contact Douglas Patterson or Steve McNulty at (888) 781-0283. Be Sure to Have Latest Version 6.3 Software All customers should have the latest version of our 6.3 trading software. There are users that have an old version of 6.0 that cannot be automatically upgraded. If you are using a 6.2 version or older, please go to our website at www.FimatPreferred.com and click on the Download Trading Software link to get the most recent version. Account Withdrawals and Deposits Of special note is that clients can get wire instructions for both incoming deposits to their Newedge USA account, and to request funds be sent from their account by accessing the Account Info Logon at www.FimatPreferred.com. Know the Terms of Your Securities You are responsible for knowing the rights and terms of all securities you buy and sell. Not all option contracts represent 100 shares of the underlying stock. As a result of mergers, splits, spin-offs and stock dividends, option contracts may represent and require the delivery of additional and/or different shares and/or cash. Prior to entering an option order, please make sure you are aware of the terms of the contract. Telephone if you are unable to enter trades electronically Electronic and Internet linkages can be unreliable, and may go down at any given time. Newedge USA in no way guarantees their reliability, but offers alternative access. If you are unable to facilitate a trade electronically, you must contact customer service by phone at (888) 781-0283 to facilitate trades with a registered representative. Please give orders in a professional manner and be mindful that the registered representative is making every effort to take your order(s), as well as other customer orders, in a timely and professional manner. Extended Hours Trading with Version 6.3 There are now two types of Extended Hours trading that can be performed via the PreferredTrade 6.3 platform, both of which are only offered with the ARCA route. Extended Hours trades can only be entered when the ARCA routing destination is selected. The Extended Hours functionality is not supported under any other exchange selection. The Extended Hours durations will only appear in the duration drop down box after the ARCA route has been chosen. The user must then choose one of the following two Extended Hours durations:
Extended hour trading contains inherent risks due to limited liquidity. Less liquidity increases price volatility as well as the spreads between bids and offers of securities. Executions during extended hours trading can occur at prices that are significantly different from prices executed during normal hours trading. An investor should understand these and additional risks before participating in extended hour trading. Newedge USA "Day+" extended hour trades are worked as "limit" orders only, on the day entered only, and are directed to ARCA. Newedge USA will NOT accept market, stop, or stop limit orders for execution during extended hours trading. Retail Customer orders that have not been executed by 2:55 PT (5:55 ET), will be canceled, "nothing done" for the day. Broker Dealer orders that have not been executed by 2:00 PT (5:00 ET), will be canceled, "nothing done" for the day. Newedge USA does not make any guarantee of execution. The extended hours feature described herein is only available via the latest PreferredTrade version 6.2 software and subsequent upgrades. The feature is NOT available on the version 5.2 software or the WizeTrade software. Newedge USA, LLC Mailing: 220 Bush Street, Suite 650, San Francisco, CA 94104 Member NYSE, NASD, MSRB, NFA, SIPC and other principal exchanges Customer Service can be reached at 888-781-0283 or by email at Service@NewedgeGroup.com. Customer Service Fax is (415) 520 - 5633 Please note that options are not suitable for all investors and investing in options carries substantial risk. Because of the importance of tax considerations to all options transactions, investors considering options should consult with a tax advisor as to how taxes affect the outcome of contemplated options transactions. Individuals should not enter into options transactions until they have read and understood the risk disclosure document titled "Characteristics and Risks of Standardized Options." To obtain a copy of the Options Disclosure Document contact us at 888-781-0283. All contents of this document are for educational purposes only. Any graphics are for illustration purposes only. Newedge USA does not offer investment advice. Newedge USA, LLC ("Newedge"), a member of SIPC and a broker-dealer and futures commission merchant registered under US laws, makes no representations or warranty regarding the appropriateness of any transaction for any person. This sales literature is solely for informational purposes, and is not to be construed as an offer to buy or sell any security. The information herein is based on sources we believe to be reliable, but is not guaranteed by us and may be incomplete or condensed. Any opinions expressed herein are statements of Newedge's or third-party sources' as of the date indicated and are subject to change without notice. Any forecasts contained herein are for illustrative purposes only and are not to be relied upon as advice or interpreted as a recommendation. All futures, securities and options trading entails significant risks, which should be fully understood prior to trading. Consult your account representative for details. Past performance is not a guarantee of future results. Except as indicated otherwise, Newedge and the Newedge Group refer to all companies or divisions of companies owned directly or indirectly by Societe Generale that include the "Newedge" name. Not all products and transactions offered by Newedge are available from all companies of the Newedge Group. The views expressed herein may differ from those expressed by affiliates of Newedge, and such views do not represent or purport to represent those of such affiliates. Newedge, or one or more of its employees, may have a position in any of the securities discussed herein, including options, rights or warrants to purchase such securities. Date of first use: April 2, 2007. Copyright Newedge USA, LLC 2007. All rights reserved. |