KYC / AML Policies

ONN Capital Ltd. is committed to the highest standards of compliance against money laundering (AML) and anti-terrorist financing (CTF). The objective of the company's 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 (e.g. exchange houses). To avoid suspicion on the part of the company, the launderer can also make several deposits instead of depositing the entire sum at once; this form of placement is called smurfing.
• Layering. 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 more difficult to track the money that is being laundered.
• Integration. The funds are re-circulated as legitimate to purchase goods and services.

ONN Capital Ltd. 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, ONN Capital Ltd. 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

ONN Capital Ltd. will ensure that it is dealing with a real or legal person. ONN Capital Ltd. 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 the Onnfx trading services of ONN Capital Ltd. by the following means:

• Know your client policy and due diligence
• Monitoring customer activity
• Registry maintenance

Know Your Customer

Due to the company's commitment to AML and KYC policies, each customer must complete a verification procedure. Before ONN Capital Ltd. 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 having inadequate AML standards or who may pose a high risk of crime and corruption, and to beneficial owners who reside in and whose funds are sourced from named countries.

Individual clients

Natural persons must provide a valid government-issued photo identification document, proof of residential address (such as a recent utility bill or bank statement, where permitted), and any additional information or documents we reasonably require to complete due diligence and ongoing monitoring in line with applicable regulations.

Corporate and other legal-entity clients must provide incorporation documents, evidence of beneficial ownership and control structure, authorized signatories, and any further documentation requested to verify the entity and its representatives.

For questions about this policy, please visit our Contact page.