3.Transactions
（1）You will act as my ／our agent in effecting Transactions unless you indicate （in the contract note for the relevant Transaction or otherwise） that you are acting as principal.
（2）I ／We will notify you when a sale order relates to securities which I ／We do not own i.e. involves short selling.
（3）On all Transactions， I ／We will pay your commissions and charges， as notified to me ／us， as well as applicable levies imposed by the Exchange，and all applicable stamp duties. You may deduct such commissions， charges， levies and duties from the Account.
（4）Unless otherwise agreed， in respect of each Transaction， unless you are already holding cash or securities on my ／our behalf to settle the Transaction， I ／We will pay you cleared funds or deliver to you securities in deliverable form or otherwise ensure that you have received such funds or securities by such time as you have notified me ／us in relation to that Transaction. If I ／We fail to do so， you may： in the case of a purchase Transaction， sell the purchased securities and in the case of a sale Transaction， borrow and ／or purchase securities in order to settle the Transaction.
（5）I ／We will responsible to you for any losses and expenses resulting from my ／our settlement failures.
（6）I ／We agree to pay interest on all overdue balances （including interest arising after a judgment debt is obtained against me ／us ） at such rates and on such other terms as you have notified me ／us from time to time.
（7）In the case of a purchase Transaction， if the selling broker fails to deliver on the settlement date and you have to purchase securities to settle the Transaction， I ／We shall not be responsible to you for the costs of such purchase.
4.Safekeeping of securities
（1）Any securities which are held by you for safekeeping may， at your discretion：（in the case of registrable securities） be registered in my ／our name or in the name of your nominee； or be deposited in safe custody in a designated account with your bankers or with any other institution which provides facilities for the safe custody of documents. In the case of securities in Hong Kong， such institution shall be acceptable to the SFC as a provider of safe custody services.
