Atreyu Trading Disclaimers and Disclosures
After-Hours Trading Risk Disclosure
Pursuant to both FINRA and NASDAQ rules, Atreyu Trading is required to provide the following disclosures regarding risk associated with customer trading in the Pre-Market and Post-Market Sessions:
Risk of Lower Liquidity. Liquidity refers to the ability of market participants to buy and sell securities. Generally, the more orders that are available in a market, the greater the liquidity. Liquidity is important because greater liquidity it is easier for investors to buy or sell securities, and as a result, investors are more likely to pay or receive a competitive price for securities purchased or sold. There may be lower liquidity in extended hours trading as compared to regular market hours. As a result, your order may only be partially executed, or not at all.
Risk of Higher Volatility. Volatility refers to the changes in price that securities undergo when trading. Generally, the higher the volatility of a security, the greater its price swings. There may be greater volatility in extended hours trading than in regular market hours. As a result, your order may only be partially executed, or not at all, or you may receive an inferior price in extended hours trading than you would during regular market hours.
Risk of Changing Prices. The prices of securities traded in extended hours trading may not reflect the prices either at the end of regular market hours or upon the opening of the next morning. As a result, you may receive an inferior price in extended hours trading than you would during regular market hours.
Risk of Unlinked Markets. Depending on the extended-hours trading system or the time of day, the prices displayed on a particular extended-hours system may not reflect the prices in other concurrently operating extended-hours trading systems dealing in the same securities. Accordingly, you may receive an inferior price in one extended-hours trading system than you would in another extended-hours trading system.
Risk of News Announcements. Normally, issuers make news announcements that may affect the price of their securities after regular market hours. Similarly, important financial information is frequently announced outside of regular market hours. In extended-hours trading, these announcements may occur during trading and, if combined with lower liquidity and higher volatility, may cause an exaggerated and unsustainable effect on the price of a security.
Risk of Wider Spreads. The spread refers to the difference in price between what you can buy a security for and what you can sell it for. Lower liquidity and higher volatility in extended hours trading may result in wider than normal spreads for a particular security.
Risk of Lack of Calculation or Dissemination of Underlying Index Value or Intraday Indicative Value (“IIV”). For certain Derivative Securities Products, an updated underlying index value or IIV may not be calculated or publicly disseminated in extended trading hours. Since the underlying index value and IIV are not calculated or widely disseminated during the pre-market and post-market sessions an investor who is unable to calculate implied values for certain Derivative Securities Products in those sessions may be at a disadvantage to market professionals.
Anti-Money Laundering Policy
Atreyu Trading, as an Institutional Brokerage Firm designed for professional traders, has a responsibility and a commitment to prohibit and actively prevent money laundering and any activity that facilitates money laundering or the funding of terrorist or criminal activities. To fulfill this goal we have implemented a specific, comprehensive, internal Anti-Money Laundering Policy. Associates of Atreyu Trading are considered members of the Atreyu Trading team, and individually share in the responsibility of fulfilling this commitment. To that end, all Atreyu Trading associates are apprised of this policy so even those who don’t trade understand our obligations.
What is Money Laundering?
Money laundering is generally defined as engaging in acts designed to conceal or disguise the true origins of criminally derived proceeds so that the unlawful proceeds appear to have been derived from legitimate origins or constitute legitimate assets. Generally, money laundering occurs in three stages: (1) cash first enters the financial system at the “placement” stage, where the cash generated from criminal activities is converted into monetary instruments, such as money orders or traveler’s checks, or deposited into accounts at financial institutions; (2) at the “layering” stage, the funds are transferred or moved into other accounts or other financial institutions to further separate the money from its criminal origin; and (3) at the “integration” stage, the funds are reintroduced into the economy and used to purchase legitimate assets or to fund other criminal activities or legitimate businesses. Terrorist financing may not involve the proceeds of criminal conduct, but rather attempt to conceal the origin or intended use of the funds, which will later be used for criminal purposes.
The Regulations
On October 26, 2001, President George W. Bush signed into law the USA PATRIOT Act, which, among other things, strengthens the anti-money laundering provisions put into place by earlier legislation and includes new anti-money laundering provisions that are applicable to broker/dealers.
Important Information About Procedures for Opening a New Account
To help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify, and record information that identifies each person and or institution who opens an account.
What this means for you: When you open an account, we will ask for your Institutional name, address, and other information that will allow us to identify the company. We may also ask to see other identifying documents other than those noted previously as needed.
Business Continuity Plan
January 23, 2024
Atreyu Trading plans to quickly recover and resume business operations after a significant business disruption (SBD) and respond by safeguarding our employees and property, making a financial and operational assessment, protecting the firm’s books and records, and allowing our customers to transact business. In short, our company’s business continuity plan (BCP) is designed to permit us to resume operations as quickly as possible, given the scope and severity of the SBD.
The BCP addresses data backup and recovery; all mission critical systems; financial and operational assessments; alternative communications with customers, employees, and regulators; alternate physical location of employees; critical supplier, contractor, bank and counter-party impact; regulatory reporting; and assuring our customers prompt access to their funds and securities if we are unable to continue our business.
Our clearing firms, RQD Clearing or IBKR Clearing, backs up our important records in a geographically separate area. While every emergency situation poses unique problems based on external factors, such as time of day and the severity of the disruption, we have been advised by our clearing firm that its objective is to restore its own operations and be able to complete existing transactions and accept new transactions and payments within 48 hours. Your orders and requests for funds and securities could be delayed during this period.
Significant Business Disruptions: The Company’s plan takes into account two kinds Significant Business Disruptions, internal and external. Internal SBDs affect only the Company’s ability to communicate and do business, such as a fire or loss of electrical power in the office or building.
External SBDs prevent the operation of the securities markets or a number of firms, such as a terrorist attack, a natural disaster, or another event that causes a wide-scale, regional disruption in essential services.
Internal SBDs: In the event of a disruption in the Company’s business operations due to an internal SBD, the Company will attempt to continue to conduct business as usual by utilizing alternative communication methods (if available), such as the Internet, cell phones, etc., or by moving its operations to an alternative location.
If personnel or operations must be moved to an alternate location, the Company anticipates that it will resume regular operations with 48 hours.
External SBDs: In the event of a disruption in the Company’s business operations due to an external SBD, the Company will attempt to continue to conduct business as usual by moving its operations to an alternative location outside the effected area, if possible, or by providing customers with alternative communication arrangements, as indicated below, to conduct business or to access their funds and securities.
The Company will attempt to resume business within (24 hours) and to keep its customers informed regarding relevant events to the best of its ability based on the circumstances.
In all cases, the Company will resume normal business operations as soon as it is able to do so, based on the type and the extent of the disrupting event.
If the significant business disruption is so severe that it prevents us from remaining in business, we will assure our customer’s prompt access to their funds and securities.
Communications: In the event you are unable to reach the Company at our main numbers +1 212 404-2398/2399, or via email support@atreyugroup.com, please proceed as follows:
Contact the Company at the following alternate telephone number: +1 310-907-6370
Access the Company’s website at www.AtreyuTrading.com.
Contact the clearing firm directly at one of the following telephone numbers to process transactions or for information on your holdings:
If you have an introduced account through Atreyu for Axos Clearing, contact: +1 212-686-8650, compliance@rqdclearing.com
If you are trading from your account with our correspondent IBKR, contact: +1 312-542-6901, IBKR Support.
Access the clearing firm, product sponsor or issuer website for more information on contacting this entity and their business continuity plans. The website address can generally be found on your statement or offering documents.
Contact FINRA’s District office at the following telephone number for more information on the company’s status and additional instructions:
Joseph Chalmers +1 646.315.8790
Contact information: Any questions regarding the Company’s Business Continuity Plans should be addressed to:
Lawrence G Martel
83 Morse ST
Module 4
Norwood MA 02062
USA
+1 310 907 6370
CIP & Reg S-P Notice
Important information you need to know about our account requirements and confidentiality pledge.
To help the government fight the funding of terrorism and money laundering activities, federal law requires financial institutions to obtain, verify, and record customer account information. At Atreyu Trading we collect public and nonpublic information about our institutional clients as specifically mandated for customer identification and verification by the USA PATRIOT ACT, SEC 17a-3 (Books & Records Requirements), NYSE Rule 405 (“Know Your Customer and NASD Conduct Rule 3110.”)
This Notice provides you with some answers about Atreyu Trading’ Customer Identification Program as well as our Privacy Policy as it relates to SEC Regulation S-P.
This Notice provides you with some answers about Atreyu Trading, Incorporated’s Customer Identification Program as well as our Privacy Policy as it relates to SEC Regulation S-P.
What types of information will I need to provide?
For an institutional account to be opened, Atreyu Trading is required to record and verify:
The name(s) of the person(s) authorized to conduct business on behalf of your organization;
Whether or not your organization intends to have associates trade with our equity desk. If your organization does intend to have associates trade with our equity desk, we will need a trading authorization listing those associates and signed by a party authorized to conduct business on behalf of your organization. For your convenience, we have developed fill-in-the blank forms that, if filled in completely and accurately, will satisfy the above requirements. When filling out the form, if any of the specified terms do not apply, please make the necessary changes so that all the information will reflect your organization appropriately, or contact us for help customizing a version that satisfies our requirements and better addresses your organization’s structure;
A corporation, partnership, trust or other legal entity must also provide information about its principal place of business and local office(s) with which we have a business relationship, as noted within one of the following documents: certified articles of incorporation, government-issued business license, LLC agreement(s), and partnership or trust agreement(s) as applicable to the organization of the firm.
What happens if I don’t provide the information requested or my identity can’t be verified?
If the above information is not provided or your organization’s identity cannot be verified, Atreyu Trading will be unable to open an account or carry out transactions for your organization, and consequently any already existing accounts may have to be closed. If you have not yet done so, please contact us to provide any of the necessary information noted above.
Disclosures
No Investment Banking or Market Making
Atreyu Trading and its affiliates do not engage in investment banking and do not make a market in any securities. Neither Atreyu Trading nor any of its affiliates have, during the past 12 months, received any compensation from any of the companies discussed in the third party research reports distributed by Atreyu Trading. None of the companies discussed in such reports are, or have been during the past 12 months, clients of Atreyu Trading or its affiliates.
Held/Not Held
All orders received by Atreyu Trading must be marked as “held”, meaning that Atreyu Trading will execute your order at the earliest possible time, or “not held”, meaning that Atreyu Trading has time and price discretion over the order on the day it is entered. Orders that are received without a “held” or “not held” designation will be marked and executed as “not held” by Atreyu Trading “Not Held” orders give the Firm the flexibility and discretion to act in your best interest by working your orders to obtain the best possible price.
Options Disclosure Document
Pursuant to SEC Rule 9b-1 and various exchange rules, Atreyu Trading (AG) is required to provide all clients who trade options or who receive options-related sales materials, a current copy of the Options Disclosure Document (“ODD”) including supplements, issued by the Options Clearing Corporation. A copy of the ODD can be found here: http://www.theocc.com/about/publications/character-risks.jsp
General Disclosures
General Communication Disclaimer
The information contained herein is not and should not be construed as an offer to sell or the solicitation of an offer to buy or sell any securities. Any equity ideas noted herein are not, and should not be construed as a recommendation or rating to buy, hold or sell any security. The information set forth above has been obtained from sources that we believe to be reliable; however no guarantee is made or implied with respect to its accuracy or completeness. The information and content herein are subject to change without notice and Atreyu Trading, Incorporated, its parent company, affiliates, subsidiaries, employees, officers, agents, or representatives may from time to time have long or short positions or may acquire a direct or indirect beneficial interest in securities mentioned in this communication.
Transmission Errors
Communications may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any transmission errors. Message transmission is not guaranteed to be secure.
If you receive a message in error, please immediately delete it and all copies of it from your system, destroy any hard copies of it and notify the sender. You must not, directly or indirectly, use, disclose, distribute, print, or copy any part of such message if you are not the intended recipient.
Compliance Controls
Communication Review – Atreyu Trading monitors and records all communications. We reserve the right to audit and review all correspondence for compliance purposes.
Trade Review – Atreyu Trading has in place appropriate governance policy to address the potential for conflicts of interest and enforces such with dedicated procedures to closely monitor personal trading.
Questions regarding Atreyu Trading' Compliance Controls should be directed to lmartel@atreyugroup.com
Investor Education and Protection
Investor Education and Protection Pursuant to FINRA Rule 2267, please note that the toll-free number for the Public Disclosure Program of FINRA (which provides certain information about the disciplinary history of FINRA members and their associated persons) is 1-800-289- 9999, the FINRA website is www.finra.org and an investor brochure that includes information describing the Public Disclosure Program is available upon request from FINRA.
Notice Regarding the NFA’s BASIC System
Atreyu Trading (ONS) is required to inform its customers of the National Futures Association (“NFA”) Background Affiliation Status Information Center (“BASIC”). The BASIC system compiles various information on registrants and anyone can access this system on the Internet. The information in the BASIC system includes Commodity Futures Trading Commission (“CFTC”) registration information and membership information from the NFA. Additionally, regulatory and non-regulatory actions contributed by the NFA, the CFTC and U.S. futures exchanges regarding futures-related activity are included. The NFA BASIC system may be accessed at http://www.nfa.futures.org/basicnet/. To locate information on a registrant, simply enter the registrant’s NFA ID number when prompted. For questions regarding this system, you may contact the NFA information center at 1-800-621-3570 between the hours of 8:00 a.m. to 5:00 p.m. CST.
SEC Rule 606
Atreyu Trading is presenting this information pursuant to the U.S. Securities and Exchange Commission Rule 11Ac1-6 requiring all brokerage firms to make publicly available quarterly reports that present a general overview of their order routing practices. Currently Atreyu Trading does not participate in the routing of the orders all orders are directed orders by the client.
Lawrence G Martel, CCO
LMartel@atreyugroup.com
310.907.6370
Payment for Order Flow NMS rule 607
Atreyu Trading (AG) has NO payment for order flow relationship with any broker-dealers or third-party execution providers. However, AT routes orders to market centers, including national securities exchanges, alternative trading systems, and electronic communications networks that may offer credits for orders that provide liquidity and may assess fees for orders that take liquidity.
Privacy Policy
Atreyu Trading maintains the following Privacy Statement to protect the personal information you provide online. We will not sell your personal information to any non-affiliated third party, for any reason, at any time.
Atreyu Trading’ Privacy Statement is located here. The Privacy Statement details all personal information we may collect from you, how we use it, and how we may share it. For residents of the European Union, please review Atreyu Trading’ European Data Privacy Addendum, which is included within the Privacy Statement.
Large Trader Rule
In accordance with Securities Exchange Act Rule 13h-1, market participants that conduct a substantial amount of trading activity are required to file Form 13H in order to identify themselves as a “large trader” to the SEC. The SEC assigns a large trader identification number that must be provided to the participants registered broker-dealers. Broker-dealers are then required to maintain records, including large trader transaction times, which may be required upon the request of the SEC.
Securities Investor Protection Corp:
All customers are advised that information about SIPC, including the SIPC brochure How SIPC Protects You, may be obtained by contacting SIPC by phone, email, or regular mail:
Securities Investor Protection Corporation
805 15th Street, N.W. Suite 800
Washington, D.C. 20005-2215
Tel: (202) 371-8300
Fax: (202) 371-6728
Email: asksipc@sipc.org
For more detailed information please visit the SIPC website at www.sipc.org.