FIDLEG-INFORMATION

Client categories

PHC has the obligation to assign clients to the Private Client, Professional Client or Institutional Client segments. The scope of the individual conduct obligations varies depending on the client segment. New clients are informed of their classification, existing clients are only notified in the event of a change to their pre-existing classification.

Private customers
A private client is considered to be someone who cannot be assigned without doubt to the Professional or Institutional Client segments. In the absence of a written declaration to the contrary, the client is considered a private client in accordance with the Financial Services Act. By being classified as a private client, the client enjoys the highest level of protection provided for by law.

Professional clients
Professional clients are considered to be:
◆  Public corporations with professional vaulting services;
◆  Pension schemes and institutions which, according to their purpose, serve the occupational pension scheme, with professional vaulting;
◆  Company with professional safe deposit;
◆  Large companies;
◆  Private investment structures built for wealthy private clients with professional vaulting.

A Professional Client is subject to a lower level of protection than a Private Client. In contrast to
the latter, PHC may assume in the case of a Professional Client that the persons acting have
sufficient experience, knowledge and sufficient expertise to be able to make investment
decisions and to assess the associated risks appropriately, and that the risks associated with the
investment decisions are financially acceptable to the client.
Professional clients may waive the application of the rules of conduct pursuant to Art. 8, 9, 15
and 16 FIDLEG (information, documentation and accountability obligations) by Qover vis-à-vis them.

Institutional clients
According to the law, only supervised legal entities such as financial intermediaries under the
Banking Act (BA), the Financial Institutions Act (FINIG) and the CISA, insurance undertakings
under the ISA, foreign clients subject to equivalent prudential supervision, central banks and
national and supranational public-law entities with professional treasury operations are
considered institutional clients. They benefit from the lowest level of protection. The rules of
conduct pursuant to Art. 7 to 19 FIDLEG do not apply per se to this client category.

Change of customer segment
The following options exist for changing the customer segment:

◆  Private clients may request a change of client classification to Professional Client from
PHC in writing at any time if they meet at least one of the following criteria:
1)  The client, by virtue of personal training and professional experience or comparable experience in the financial sector, has the knowledge necessary to understand the risks of the investments and has assets of at least 500,000 Swiss francs;
2)  The client has assets of at least 2 million Swiss francs;

◆  Pension institutions and institutions with professional treasury operations that serve
occupational pension schemes according to their purpose as well as companies with professional treasury operations may declare that they wish to be considered Institutional Clients instead of Professional Clients;
◆  Professional clients have the option to request a reclassification to private client;
◆  Institutional Clients may declare that they wish to be considered Professional Clients.

Such a change also entails a change in the level of protection applicable to the client.
All declarations relating to the change of customer segment must always be made in writing.
The customer is obliged to inform PHC of any changes that could affect its classification. If PHC
comes to the conclusion that the customer no longer meets the conditions of the customer class
in which the customer is classified, PHC has the obligation to take action itself and adjust the
customer classification. In this case, PHC will inform the customer immediately.