Article 3: VARIOUS LOADS
All charges relating to the activity in the country to invest object of this convention (operating costs, costs of administration, taxes, brokers, negotiations, preparation, studies, fresh representatives potential, costs of justice, lawyer and/or bailiff and notary etc...) will be charged on the funds managed and justified by the investor.
Article 4: RIGHT OF PRE-EMPTION
The Financier can make payments of the funds entrusted to the investor for his health and well-being needs.
When funds have already been invested there could be penalties and losses charged when such funds must be withdrawn prior to maturity date. A clause that allows the financier to withdraw funds at will would pose a difficult for the investment manger unless a percentage of the funds are set aside for the financier personal use and that such funds are invested in products that do not attract penalties or charges when they are withdrawn. Such funds are better kept with the financier and not given to the investment manager. Funds handed over to the investor manger should be meant for investment and not for safe keeping.
In this case, the financier informs by mail manager investor so that it proceeds to a provision of funds within a period of at least two months.
Article 5: TERMS OF INVESTMENT
The investor Manager will need to invest Ninety-seven percent (97%) at least one of the funds placed at its disposal in cases to report profits, inform the financial.
The conditions of each investment will be designed in their correspondent agreements.
The investors Manager will be liable of lose funds or interests for the investments.
If the decision to invest per Article 5 ultimately rest with the Financier then why any investor would manager agrees to bear losses when to decision to investment was taken prudently with the blessing of the financier. The very nature of investment denotes that there would be gains and losses but a prudent investment manager minimizes the losses while increasing the gains.
When an investment is made after going through due process, (an investment process must be established between the investor manager and the financier in how investments are selected) the investment decision must be allowed to stand. The evaluation of the investment must determine quickly when losses are been incurred and when the investment must be pulled back.
This section of the agreement is not agreeable to us. The decision to invest must be a mutual one.
The arrangement must be based on a serious review of alternate investment choices and a deliberate assessment of investment risk, rate of returns, term of the investment and investment options.
Article 6: ORIGIN OF FUNDS
The Financier declares on their honour that the funds made available to the investor Manager do not come from drug trafficking, weapons, acts of terrorism or illicit sales any.
The Financier will be only responsible for the consequences of false statements in this sense, and the investor Manager accept the good faith of the financial statements.
How does the financier address the issue of counterfeit dollars? How dose the financier plan to have the funds vetted to ensure that counterfeits are not included in the lots of cash.
Article 7: FEES THE MANAGER
In order to put the Investor Manager in decent working conditions, the Finance agrees unreservedly to the Investor Manager fee the amount of which is fixed at 3% of the total amount specified in Article 1 of this Agreement.
This fee of 3% will be paid once the Investor Manager along with the 97%, representing funds investing on behalf of the Financier.
The funds must be handed over to the investment manager in tranches once the agreement is signed. However the investment manager must be given the leeway to help set up a team of staff to better manage these funds for him.
This fee will not be return to the Financier in any case.
Article 8: TERMS OF EXPENDITURE
Fees 3%, subject to Article 7 of this Agreement shall be deducted from the total amount specified in Article 1 of the Convention, and will be.
As coordination of procedures on the transaction, all charges will be completely pre-financed by the Investor and the Financier Manager.
Does this section imply that charges related to the investment must be paid out of the 3% fees allocated to the investor manager?
Article 9: TERMS OF TRANSFER
Funds entrusted to the investor in respect of this convention are estimated to date 100% of the total investment, net of investor Manager fees, subject of Article 7.
These funds will be transferred to the Manager Investor in the desired country.
The financier must limit where he believes he wants his investments to be and there should be parameters to ensure that funds transferred outside the jusridiction of the financier are reachable by the financier for protection. Laws governing the ownership of these funds must be discusse