Elective Professional Clients are broadly defined as having expertise, experience and knowledge considering the nature of the transactions envisaged, and capable of making their own investment decisions and understanding the risks involved. Other criteria:
Clients must state in writing to their broker that they wish to be treated as a professional client either generally or in respect of a particular service or transaction or type of transaction or product.
The broker must give the client a clear written warning of the protections and investor compensation rights they may lose.
The client must state in writing to their broker, in a separate document from the contract, that they are aware of the consequences of losing such protections.
IPSX Wholesale lets institutional and professional investors buy shares in IPSX Wholesale issuers. It means they can invest in much larger commercial real estate assets, which may previously have been more narrowly held or inaccessible to commercial real estate investors.
IPSX Wholesale allows institutional investors to invest in commercial real estate without being trapped in complicated agreements or difficult arrangements with commercial real estate owners. Issuers admitted to trading on IPSX Wholesale have the choice of two market models:
Shares with at least one market maker who provides firm two-way prices throughout the trading day.
Shares without market makers. Brokers publish firm quotes for orders which are matched in an order matching system.
IPSX Wholesale is designed to provide commercial real estate owners with an onshore market that may accept a variety of different corporate structures, including JV REITs, within a flexible regulatory environment. It allows shares in companies holding commercial real estate to be admitted to trading on an onshore market.
Investors can access information at the single asset level that is not ordinarily available to investors in REIT shares. This provides far greater transparency so investors can make better and more informed decisions. If the issuer is a REIT, the dividend distribution level will be driven by REIT legislation.
Investors have access to investments with potentially higher or different returns profiles than those available on IPSX Prime. The market is regulated by the FCA as a multilateral trading facility.
IPSX Wholesale is a market exclusively for institutional and professional investors.