Conflict of Interest Policy - Mockapital

Conflict of Interest Policy

Purpose

This policy aims to uphold the integrity and transparency of Mockapital’s operations, protecting both the firm and its traders. It seeks to prevent any conflicts of interest that could unduly influence decision-making, trading activities, or interactions with clients.

1. Definitions

A conflict of interest arises when an individual or entity’s personal, financial, or business interests interfere with their duty to act in the best interests of Mockapital or its traders. This includes situations where individuals may benefit personally from decisions or actions that could negatively impact Mockapital’s operations.

2. Types of Conflicts

  • Personal Interests: Any personal investments, relationships, or external obligations that may influence decisions made within Mockapital.
  • Competing Interests: Involvement in businesses, including trading firms or brokerages, that directly compete with Mockapital’s operations.
  • Financial Interests: Holding financial stakes or investments in instruments, markets, or businesses that could be affected by the trading or activities of Mockapital.
  • Ownership or Investment in Competing Firms: Investors or owners of other prop firms or brokerage houses seeking to purchase an account with Mockapital, as their actions could undermine Mockapital’s impartiality and fairness in its operations.

3. Disclosure Requirements

All traders, employees, partners, and stakeholders are required to disclose any potential or actual conflicts of interest, including investments or ownership in competing prop firms or brokerages. This includes, but is not limited to, ownership stakes in, or employment by, firms with similar business models or market strategies.

4. Preventive Measures

  • Segregation of Duties: Any individual identified with a conflict of interest will have their responsibilities reassigned to ensure impartiality and to avoid any potential harm to the firm’s operations.
  • Independent Oversight: Decisions made by individuals with conflicts will be reviewed by independent parties to ensure transparency and fairness.
  • Prohibited Activities: Investors, owners, or employees of competing prop firms or brokerages are prohibited from purchasing or holding accounts with Mockapital to avoid conflicts of interest. This includes trading with the firm or participating in its services if they have influence over competing entities.

5. Handling Conflicts

In case of an identified conflict of interest:

  • The involved individual will be removed from decision-making processes related to the conflict.
  • If the conflict pertains to ownership or investment in a competing entity, the individual may be restricted from engaging with Mockapital’s services.
  • Severe or unaddressed conflicts may lead to termination of contracts or further legal actions, in line with Mockapital’s commitment to fairness and integrity.

6. Enforcement and Accountability

Failure to disclose conflicts of interest or non-compliance with this policy may result in disciplinary action, including suspension, termination of contracts, or legal recourse, as deemed necessary by Mockapital.

7. Regular Reviews

This policy will undergo an annual review to ensure that it remains relevant and up-to-date with current market practices and legal requirements.