tiktok³ÉÈË°æ

The Investment Advisory Agreement serves as the foundational document for establishing and governing the professional relationship between licensed investment advisers and their clients in Pakistan. This agreement is essential for compliance with the Securities and Exchange Commission of Pakistan's regulatory framework, particularly the Investment Advisers (Licensing and Operations) Regulations, 2015, and the Securities Act, 2015. It is used when a client seeks professional investment advice and guidance, whether for personal wealth management, corporate investments, or institutional portfolio management. The agreement comprehensively covers service scope, fee structures, risk disclosures, fiduciary duties, and operational procedures, while incorporating necessary provisions for anti-money laundering compliance and foreign exchange regulations where applicable.

1. Parties: Identification of the investment adviser and the client, including their legal status and contact details

2. Background: Context of the agreement and brief description of the parties' intention to enter into an investment advisory relationship

3. Definitions: Key terms used throughout the agreement defined for clarity and legal certainty

4. Scope of Services: Detailed description of investment advisory services to be provided, including any limitations

5. Appointment and Authority: Formal appointment of the adviser and extent of their authority to act on behalf of the client

6. Representations and Warranties: Statements of fact and assurances from both parties regarding their capacity and authority

7. Fees and Payment Terms: Structure of advisory fees, payment schedule, and calculation methodology

8. Client's Obligations: Responsibilities of the client including information provision and cooperation

9. Adviser's Obligations: Core duties and responsibilities of the investment adviser

10. Risk Disclosures: Mandatory risk warnings and acknowledgments as required by SECP regulations

11. Confidentiality: Provisions for protecting confidential information shared between parties

12. Conflicts of Interest: Disclosure and management of potential conflicts of interest

13. Term and Termination: Duration of the agreement and circumstances for termination

14. Indemnification: Mutual indemnification provisions and liability limitations

15. Governing Law and Jurisdiction: Specification of Pakistani law as governing law and jurisdiction for disputes

16. Notices: Process and requirements for formal communications between parties

17. General Provisions: Standard boilerplate clauses including severability, entire agreement, and amendments