IQFX Group is committed to the higheststandards of compliance against money 

laundering (AML) and anti-terrorist financing (CTF).

 The objective of the Companies Policy against Money Laundering

and Terrorism Financing is to actively prevent the risks of these matters. To
help the government combat the financing of terrorism and money laundering
activities, the law requires all financial institutions to obtain, verify, and
record information that identifies each person who opens an account. We have an
obligation to report suspicious client activity relevant to money laundering.

Money Laundering: The process of converting
funds received from illegal activities (such as fraud, corruption, terrorism,
etc.) into other funds or investments that appear legitimate to hide or distort
the actual source of funds.

The money laundering process can be divided
into three sequential stages:

• Placement. At this stage, the funds are
turned into financial instruments, such as checks, bank accounts, and money
transfers, or they can be used to buy high-value goods that can be resold. They
can also be physically deposited in banks and non-bank institutions (eg
exchange houses). To avoid suspicion on the part of the company, the bleach can
also make several deposits instead of depositing the entire sum at once, this
form of placement is called smurf.

• Layers. The funds are transferred or moved
to other accounts and other financial instruments. It is done to disguise the
origin and interrupt the indication of the entity that carried out the multiple
financial transactions. Moving funds and changing their form makes it difficult
to track the money that is being laundered.

•Integration. The funds are re-circulated as
legitimate to purchase goods and services.

IQFX adheres to the
principles of Anti-Money Laundering and actively prevents any action that
targets or facilitates the legalization process of illegally obtained funds.
The AML policy means preventing the use of the company’s services by criminals,
with the objective of money laundering, terrorist financing or other criminal
activity.

To prevent money laundering,
I does not accept or pay in cash under any circumstances.
The company reserves the right to suspend the operation of any client, which
may be considered illegal or, in the opinion of the staff, related to money
laundering.

Company procedures

IQFX will ensure that it is a
real or legal person. IQFX also performs all the necessary
measures in accordance with the applicable laws and regulations, issued by the
monetary authorities. The AML policy is being met within FX of IQFX by
the following means:

• know your client’s policy and due diligence

• monitor customer activity

• Registry mantenance

Know Your Customer – Due to the company’s
commitment to AML and KYC policies, each company customer must complete a
verification procedure. Before IQFX initiates any cooperation with the
client, the company ensures that satisfactory evidence is presented or other
measures are taken that produce satisfactory proof of the identity of any
client or counterparty. The company also applies increased scrutiny to clients,
who are residents of other countries, identified by credible sources as
countries, who have inadequate AML standards or who may pose a high risk of
crime and corruption and beneficial owners who reside in and whose funds are
sourced from named countries.

Individual clients

During the registration process, each client
provides personal information, specifically: full name; birthdate; country of
origin; and full residential address. The following documents are required to
verify personal information: A client submits the following documents (in case
the documents are written in non-Latin characters: to avoid delays in the
verification process, it is necessary to provide a notarized translation of the
document in English ) due to KYC requirements and to confirm the indicated information:

• Valid passport (showing the first page of
the local or international passport, where the photo and signature are clearly
visible); or

• Driving license with photograph; or

• National identity card (showing the front
and back);

• Documents proving current permanent address
(such as utility bills, bank statements, etc.) containing the customer’s full
name and place of residence. These documents should not be older than 3 months
from the filing date.

Corporate clients

In the event that the applicant company is
listed on a recognized or approved stock exchange or when there is independent
evidence to show that the applicant is a wholly owned subsidiary or a
subsidiary under the control of said company, no further steps will normally be
taken to verify the identity. necessary. In the event that the company is not
listed and none of the main directors or shareholders already has an account
with IQFX , the following documentation must be provided:

• Certificate of incorporation or any national
equivalent;

• Memorandum and Articles of Association and
statutory declaration or any national equivalent;

• Certificate of good standing or other proof
of the company’s registered address;

• Resolution of the board of directors to open
an account and grant authority to those who will operate it;

• Copies of powers of attorney or other
authorities granted by the directors in relation to the company;

• Proof of the identity of the directors in
case they deal with IQFX Group” on behalf of the Client (in accordance
with the individual identity verification rules described above);

• Proof of identity of the final beneficiary
(s) and / or the person (s) under whose instructions the signers of the account
are empowered to act (in accordance with the rules of individual identity
verification described above).

Tracking customer activity

In addition to collecting customer
information, “IQFX Group” continues to monitor the activity of each
customer to identify and prevent any suspicious transactions. A suspicious
transaction is known as a transaction that is not consistent with the legitimate
business of the customer or with the transaction history of the regular
customer known by tracking customer activity. “IQFX Group” has implemented
the named transactions monitoring system (both automatic and, if necessary,
manual) to prevent criminals from using the company’s services.

Registry maintenance

Records must be kept of all transaction data
and data obtained for identification purposes, as well as all documents related
to money laundering issues (e.g. suspicious activity reporting files, AML
account monitoring documentation , etc.). Those records are kept for a minimum
of 7 years after the account is closed.

Measures taken

In cases of an attempt to execute transactions
that “IQFX Group” suspects are related to money laundering or
other criminal activity, it will proceed in accordance with applicable law and
report the suspicious activity to the regulatory authority.

“IQFX Group” reserves the right
to suspend the operation of any client, which may be considered illegal or may
be related to money laundering in the opinion of the staff. “IQFX Group”
has full discretion to temporarily block the suspicious customer’s account or
terminate a relationship with an existing customer. For more information you
can contact us at support@iqfx.com