Client Information

Full Name:
Address:

,


Client Account Application






I hereby acknowledge that the foregoing answers are true and correct to the best of my knowledge and that I have not been instructed by anyone to misrepresent any facts herein. International Metals Group, Inc. may rely on the above information in determining my financial suitability as a purchaser and/or investor.

Risk Factors and Disclosure Statement

The ownership of physical precious metals for investment purposes can be made through various vehicles. The following represents some, but not all areas of risk and costs that are inherent with the various methods of the ownership of physical precious metals which require consideration and evaluation by prospective investors.

Market Fluctuations and Risk of Loss

As with any investment, the price of precious metals change daily and there are absolutely no guarantees that the purchase price will ever be exceeded in order to provide the opportunity of a higher price. Upon entering the market, the risk of loss is the client’s. Only those individuals who are capable of sustaining a financial loss should consider purchasing precious metal investments.

Stagnation and Opportunity

Investment dollars put into physical precious metals can only be converted back to cash selling. Therefore, there is a cost which is the loss of interest which the investment dollars would earn if left in interest bearing instruments. In order to offset the loss of interest income, the price must move greater than the percentage of interest income forfeited.

Broker Fees

Brokerage firms are in business to make money by providing their clients with carious
methods of owning physical precious metal products and the services related to these
specific markets. In order for a precious metal purchase to become profitable, the price
must increase sufficiently enough to exceed the total cost of the product, including the
broker’s fees. This is commonly referred to as the break-even price.

Delivery Charges

Physical precious metals can be either delivered directly to the client’s designated point of delivery or to a recognized depository which provides insured non-segregated storage. Most home deliveries take place via drop shipment from recognized depositories via registered insured mail and are subject to handling fees, postage and insurance. In order to determine these fees, consult with your broker.

Financing

Most recognized depositories also provide financing services which allow clients to borrow up to 80% of the value of their precious metals products which are also in the non-segregated depository facilities of the lending institution. Interest rates and various fees will vary from one institution to another. Consult your broker about all costs and
fees associated with financing investments. All clients wishing to make use of financing need to understand the following:
1.) Should the value of the product decline, the lending institution reserves the right to demand either a principal loan reduction or the provision of additional acceptable collateral.
2.) The lending institutions also reserve the right to liquidate all of part of the product acting as collateral for the loan without any prior notice to the client.
3.) The ongoing cost of borrowing (interest charges and fees) will increase the break-even of the product purchased or being used to support collateral for the loan. Therefore, precious metals purchased with the use of financing must increase in price sufficiently enough to offset the cost of borrowing before an actual profit can be generated by selling the product.
4.) Increased risk is created by debt obligation of borrower to the ending institution. There are no guarantees that clients will be able to resell their precious metals for an amount equal to or greater than the unpaid balance due to the lending institution and borrower is responsible for any and all deficiencies. It is therefore possible to lose or gain more than the amount of the purchaser’s initial investment when financing is used.

Liquidity

Precious metal owners should note that on any given day commodity exchange trading in categories of precious metals may be restricted, suspended or halted entirely for any number of reasons. When such situations occur, it may be difficult or impossible to purchase or sell physical precious metals or to know when the exchange market will resume activity. Although the company makes every effort as a broker dealer to provide our clients with the ability to purchase and sell, we cannot guarantee access to markets for either purpose. Additionally, product purchased from or through the firm when sold to any third party, may be required by that party to subject the precious metals to inspection and assay at the owner’s expense.

Taxes

As tax laws are constantly changing, we suggest you consult your tax advisor as to how current tax laws may affect the outcome of contemplated purchases or sales before entering into any agreement to purchase precious metals. Company brokers will be available to discuss the type of transaction under consideration with the tax advisors of our clients.

Brokers

The brokers of the company are independent contractors to the company. Therefore, the company assumes no responsibility to the consumer for recommendations of the purchase or sale of precious metals made by the brokers or their regulatory history and from time to time may inadvertently retain a contractor who has had a past regulatory problem.
The customer alone is responsible for all decisions made by him/her and acknowledges by signing this document that the customer is not making such decisions based on representations or recommendations made by the broker of the company.

Arbitration with Governing Law and Venue

The parties agree that any disputes relating to this account will be submitted to binding arbitration. The venue for any such arbitration shall be exclusive in the sate of Florida and all parties agree that any arbitration award entered shall be binding and convertible to a State of Florida judgment subject to the laws of the State of Florida and further subject to any modifications thereof permissible there under. The parties hereby accordingly waive their right to any other remedy or to proceed with any court actions and further hereby waive jurisdiction and venue.
The account and the activities contemplated hereunder shall be governed by the substantive and procedural laws of Orange County, State of Florida without respect to conflict of law rules.

5% Commission charge on all purchase order transactions.

2% Commission charge on all sell order transactions.

Acknowledgement

I have read and understand the foregoing risk factors and disclosures related to investing in precious metal investments and
understand and agree to the commission charges described herein..

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