Deposit Protection and Safeguarding of Client Funds
Novellis.io
1. Principles of Deposit Protection
The protection and safe custody of client funds are of high importance to Novellis.io.
Client funds held in designated client money or segregated accounts as part of the business relationship are, where the applicable legal requirements are met, protected by a deposit protection scheme of up to EUR 100,000 per client.
Such protection is subject to the applicable laws, requirements, conditions, and potential exclusions. Deposit protection is intended to provide eligible clients with legally prescribed protection in the event of a qualifying protection event, in particular the failure or insolvency of the relevant institution.
2. Enhanced Protection for VIP Clients
Clients whose equity or assets held with Novellis.io amount to EUR 250,000 or more and who have been officially classified as VIP clients by Novellis.io may qualify for an enhanced level of protection.
For qualifying VIP clients, enhanced protection of up to EUR 500,000 per client may be provided.
The following requirements apply in particular to eligibility for enhanced protection:
The client has been officially confirmed as a VIP client by Novellis.io.
The requirements applicable to the VIP status continue to be satisfied.
The relevant client balance or equity is generally at least EUR 250,000.
The client account has been fully verified and complies with all applicable KYC and compliance requirements.
Enhanced protection remains subject to the applicable legal, contractual, and internal requirements.
3. Scope and Purpose of Protection
Deposit protection is intended to protect eligible client funds and, in the event of a qualifying protection event, provide for a legally or contractually prescribed reimbursement claim.
The following principles apply in particular:
Protection applies exclusively to eligible client balances that fall within the scope of protection under the applicable rules.
Open trading positions, market losses, and investment losses are not automatically covered by deposit protection.
Client funds are, where provided for under the applicable custody structure, held separately from the company’s operational funds.
Client funds are allocated based on the relevant client and payment information.
VIP clients may qualify for enhanced protection of up to EUR 500,000, provided that the applicable requirements are met.
Deposit protection does not constitute a guarantee of trading profits or protection against market-related losses.
4. Protection Limits and Client Accounts
Unless otherwise provided by the applicable rules, the stated protection limits generally apply per identified client and not per individual client account.
If a client maintains multiple accounts with Novellis.io, these accounts may be aggregated when determining the maximum protected amount.
The maximum protection is generally:
Standard Clients: up to EUR 100,000
VIP Clients: up to EUR 500,000
The actual eligibility for protection and the amount of any potential reimbursement are determined by the applicable terms and legal requirements.
5. Requirements for VIP Protection
Enhanced protection for VIP clients is linked to official VIP status.
The following criteria may be relevant to maintaining such status:
Minimum level of equity or client funds;
Successful and complete KYC verification;
Compliance with applicable compliance requirements;
Compliance with the applicable account terms;
No material outstanding compliance investigations.
Novellis.io may review VIP status on a regular basis.
If the requirements for VIP status are no longer met, the level of enhanced protection may be adjusted accordingly.
6. Segregation and Management of Client Funds
For the protection of client funds, such funds are, where provided for by the applicable legal and operational structure, held separately from the company’s own funds.
The purpose of such segregation is, in particular, to ensure that client funds can be clearly allocated and that payment movements can be documented and tracked in a transparent manner.
The specific custody and safeguarding structure may vary depending on the payment method, currency, client location, and the financial institution or payment service provider involved.
7. Exclusions and Limitations
The scope of protection may be restricted by applicable legal or contractual provisions.
In particular, certain claims, financial instruments, or balances may be excluded from deposit protection.
Furthermore, deposit protection generally does not protect against:
losses arising from trading activities;
price fluctuations and market movements;
open positions;
unrealized losses;
lost or anticipated profits;
or other risks associated with investment and trading activities.
Clients should therefore carefully review the terms and conditions applicable to their respective products and services.
8. Changes to the Scope of Protection
Changes in legislation, regulatory requirements, or the underlying operational structure may affect the scope and conditions of client fund protection.
Novellis.io regularly reviews the applicable arrangements and will inform clients of material changes where required by law or contract.
The applicable level of protection shall be determined by the rules and requirements in force at the relevant time.
9. VIP Status and Adjustments
Novellis.io reserves the right to review VIP status based on the applicable criteria.
The requirements for VIP classification and the level of protection associated with such status may be adjusted where this is necessary due to changes in the legal framework, risk structure, or internal policies.
Any changes will be communicated in accordance with the applicable contractual and legal requirements.
10. Our Commitment to Client Fund Protection
The protection of client funds is an essential component of Novellis.io’s security and compliance framework.
Novellis.io aims to manage client funds in a transparent, traceable, and appropriate manner in accordance with the applicable safeguarding, custody, and compliance requirements.
Standard clients may receive protection of up to EUR 100,000, while qualifying VIP clients may receive enhanced protection of up to EUR 500,000, in each case subject to the applicable requirements, legal provisions, conditions, and exclusions.
11. Contact
For questions regarding deposit protection, the safeguarding of client funds, or your individual level of protection, please contact our Finance and Compliance Team.
Email: support@novellis.net
Novellis.io
Finance & Compliance Department
