Below you will find a short description of each document.
Custody & cash account agreement
To open a custody account, a custody account agreement must be drawn up between Öhman and the customer. The agreement must be signed before the custody account can be opened.
LOB (Limitation on Benefits)
Obligatory for legal entities with fiscal domicile that is covered by double taxation agreement with the USA.
Client information document
This is obligatory and shall be completed by all new custody account customers. It is important that all the required information is submitted to us and approved by the assigned stockbroker, who shall also sign the document before a custody account can be opened.
Bank account number for transfer of liquid funds
On opening a custody account, it is possible to state in advance the bank account to which liquid funds can be transferred when withdrawn from the custody account. This form can also be used for changes or amendments made at a later stage. The form is completed by the customer, if the customer wishes to state the account for withdrawal of liquid funds from the custody account. However, such transfers are not made automatically when securities are sold; the customer must always contact us in order to withdraw funds from the custody account. This can be done in writing, via fax, email or by telephone. We always check the customer's details; in this context, this form can be seen as a security measure if the account for withdrawal is stated in advance.
ID control
This is obligatory for customers wishing to open an account with us. Passport, driving licence or Swedish ID cards may be used. For legal entities, in addition to a certificate of incorporation, identification papers of the authorized signatory must be submitted.
Power of attorney
Power of Attorney gives the right of disposal to a third party. Customers may choose which alternatives a third party shall have disposal over. This Power of Attorney shall be signed by both the customer and the holder of the Power of Attorney. The Power of Attorney shall also be witnessed and testified. The Power of Attorney may only be revoked at the customer's request.
Power of attorney for closure
This is used when the customer wishes to transfer his holdings from and terminate account with another investment bank. This is given to E. Öhman J.or Fondkommission AB, which can then undertake the necessary transactions with the counterparty.
Option agreement
This is an agreement which gives the customer the possibility to trade in futures, derivatives and options. The security requirements for derivatives trading are largely the same as those associated with borrowing on credit, which means that it is obligatory to sign a Disposition Agreement. Private individuals under the age of eighteen may not trade in options.
Disposition agreement
The Disposition Agreement gives Öhman the right to repledge the customer's securities and is a prerequisite for customers who wish to borrow against their holdings with us. Öhman may not repledge securities to a greater extent or against stricter conditions than those between the customer and Öhman. After careful consideration, the right to borrow on account may be granted to private individuals who are over eighteen years of age or to legal entities. The borrowing power, i.e. the percentage of the holding that may be borrowed, is normally the same as that recommended by the Swedish Association of Stockbrokers ("Fondhandlarföreningen"), but Öhman may reduce this amount if necessary.
W-8IMY
Obligatory for trustees, instead of the LOB.
W-9
Obligatory for American legal entities and private individuals, instead of the LOB.
Securities loan agreement
This agreement is necessary for customers who wish to borrow or lend shares. The agreement is sent to the customer in duplicate, both copies of which shall be completed and returned to Öhman for credit checks and approval. After Öhman has signed the agreement, one copy is returned to the customer in order to confirm that the agreement has taken effect.