| In what cases can the client receive compensation? | The client is entitled to compensation if Boku Securities SIA (hereinafter – the Company) is unable to meet its obligations arising from providing investment services. |
| Amount of the compensation and cases in which it is not paid out | The amount of compensation is determined based on the total amount of the Company’s outstanding obligations but is no more than EUR 20,000, irrespective of the number of the client’s accounts. It is disbursed in euro. |
| Compensation is NOT paid out to: | - •clients for transactions in connection to which a criminal conviction was handed down for money laundering, terrorism financing or proliferation financing
- •participants of the system, insurance and reinsurance companies, investment firms or other clients that have made known that they are professional clients
- •persons who are in the same corporate group as Boku Securities SIA
- •pension funds
- •public institutions and municipalities
- •members of Boku Securities SIA’s management board and other employees authorised to plan, manage, and control the Company’s operations and who are responsible for them, as well as persons who directly or indirectly hold more than 5% of the Company’s capital
- •persons responsible for carrying out statutory audits of the Company’s accounting documents
- •first-degree relatives or spouses of the persons referred to in points 6 and 7
- •persons acting on behalf of the persons referred to in point 7
- •persons whom the Latvijas Banka has determined to have received high interest rates or financial concessions, or have caused or used circumstances to their benefit that resulted in financial difficulties for the Company or deterioration of its financial condition
- •credit institutions
- •financial institutions within the meaning of Regulation (EU) No. 575/2013. Compensation is not paid out for losses caused by changes in the price or liquidity of financial instruments, nor for lost funds covered under the Deposit Guarantee Law of Latvia.
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| Procedure and timeframes for payout of the compensation | Compensation payout begins within three months from the day when the Latvijas Banka determines that Boku Securities SIA is unable to meet its obligations to the client and establishes the amount of compensation, or from the day a court judgment declaring the Company insolvent or liquidated takes effect. The Latvijas Banka publishes the compensation payout procedure in the official journal Latvijas Vēstnesis and on its website. The client may apply for compensation within two years from the date of publication. The application is reviewed by the Latvijas Banka. Compensation payout may be postponed in cases described in the Investor Protection Law of the Republic of Latvia. |
| Contact information of the Latvijas Banka | Latvijas Banka K. Valdemāra iela 2A, Rīga, Latvia, LV-1050 Tel.: +371 67022300 www.bank.lv |
