EFTA Document EFTA01426472

EFTA01426472 EFTA01426473 EFTA01426474 EFTA01426475 EFTA01426476 EFTA01426477 EFTA01426478 JEFFREY EPSTEIN - INDIVIDAUL ACCOUNT -Options Agreements Expire 10/31/2018. -Options Agreement - we will need the original form. Each section must be reviewed / corrected (Client's Financial Information, Investment Experience, Option Objectives, Strategy Requests) 0 2nd Page - sign, date and print name 4th Page - Initial - Uncovered Call Writers - Sign and date - we will need the original form as well as margin 0 0 Thank you. Liam Liam O'Sullivan AVP I Key Client Partners - US DB Securities Inc Deutsche Bank Wealth Management 345 Park Avenue, 10154-0004 New York, NY, USA Tel +1 212 454- 0453 Email [email protected] KCP products and services are intended and available only for persons who are sophisticated institutional investors within the meaning of the FINRA Rule 4512(C)(3), and who are capable of evaluating the strategies, characteristics and investment risks of, and exercising independent judgment in evaluating, the ideas and products discussed herein. Trades and transactions are subject to relevant internal approvals of DBSI or its affiliates prior to execution, and the execution of any transaction or idea discussed herein is conditional on your becoming a client of Deutsche Bank. Key Client Partners (KCP) products, investment ideas and solutions and related matters discussed herein are provided for discussion purposes only, and strictly on a non-advisory basis. The KCP Americas desk does not provide investment advice. The information set forth herein is confidential and personal to you and is being presented for your information and for discussion purposes only. Any reproduction and/or redistribution thereof (in whole or in part) or disclosure of its content without our written consent is strictly forbidden. This communication does not create any legally binding obligation on the part of DBSI or any of its affiliates. Deutsche Bank Wealth Management Option Agreement and Approval Form Please Complete All Sections Account Name Account Number Jeffrey Epstein EFTA01426479 N4GXXX968 Account Registration Account Type Individual Cash D Managed Account Q Discretionary Account 0 Other Name(s) of person(s) other than account owner{s) authorized to place orders for the account: Account and Owner Information (Provide requested information for each account owner (Client). Attach supplement to this Agreement if necessary). Harry Beller, Darren Indyke Name Jeffrey Epstein Country Address Virgin Islands, US Little Saint James, St. Thomas Birthdate Number of Dependents Marital Status Phone Number 01/20/1953 Single 0 (340) 775-2525 Business Phone Number Employer (340) 775-2525 Southern Financial LLC Business Address 6100 Red Hook Quarter, B3, St Thomas, Virgin Islands, USVI 00802 Years Held Position Type of Business 5 President Finance Present Brokerage Accounts with 1 Does the individual or entity that controls this account have the power to control any other Option Account(s) with Deutsche Bank Securities Inc,? see attached list 0 Yes n No if yes, please provide the account number(s): Client(s) Financial Information Approximate Aggregate Net Worth Sources of Income (Approximate) Approximate Aggregate Annual Income of Account Owner(s) from All Sources 50_% 50% Approximate Net Worth EFTA01426480 Excluding Principal Residence Q Less than $50,000 o $50,000-$99,999 o $100,000-$249,999 o $250,000-5499,999 o $500,000-5999,999 o $1,000,000-$2,499,999 o $2,500,000-54,999,999 0 $5,000,000 and over Salary/Bonus Interest/Dividends U Less than $50,000 U $50,000-599,999 o $100,000-3249.999 o $250,000-5499.999 n $500,000-5999,999 o $1,000,000-$2,499,999 o $2,500,000-54,999,999 0 $5,000,000 and over Liquid Net Worth D Less than $50,000 o $50,000-599,999 o $100,000-$249,999 o $250.000-$499,999 o $500,000-$999,999 o 31,000,000-32.499,999 n $2,500.000-$4,999,999 0 $5,000,000 and over Other (specify): "Deutsche Bank" means Deutsche Bank AG and its affiliated companies. Deutsche Bank Wealth Management represents the wealth management activities conducted by Deutsche Bank AG or its subsidiaries. Clients are provided Deutsche Bank Wealth Management products or services by one or more legal entities that are Identified to clients pursuant to the contracts, agreements, offering materials or other documentation relevant to such products or services. Brokerage services are offered through Deutsche Bank Securities Inc., a broker-dealer and registered investment adviser, whlcli conducts securities activities in the United States. Deutsche Bank Securities Inc. is a member of FINRA, NYSE and SIPC. Banking and lending services are offered through Deutsche Bank Trust Company Americas, member FDIC, and other members of the Deutsche Bank Group. WM189768 010721.051018 EFTA01426481 Page 1 of 4 Investment Experience of Account Owner(s) Average Size of Average Size in ' Types of Previous Option Trades In $ Shares / Contracts Experience Year First Traded Average # Trades Per Year 1988 $1.000,000.00,1,000 $1,000,000.00{1,000 $1,000,000.00".M0 $1,000,000.00 1,000 $1,000,000.00 1,000 10 Options ^ Covered Call Writing ^ Purchased Options S Option Spreads 0 Uncovered Put Writing 0 Uncovered Call Writing n None 1988 10 Equities r 1988 10 ' Fixed Income 1988 10 Commodities and Futures 1988 10 Exchange Traded Funds (ETFs) Alternative Investments (Hedge Funds, Private Equity] $1,000,000.00 1,000 1988 10 Option Objectives (check ALL that apply) 0 Income (covered call writing) 0 Portfolio Protection (protective puts) 0 Speculation (option buying, spreads and uncovered writing) Cllent(s) Strategy Requests (Please check as many of the following strategies sought to be employed) 0 1. Covered Call Writing Moderate Risk. Calls fully covered by underlying stock. Stock may be called at any time or at expiration, requiring owner to sell at strike price. EFTA01426482 0 2. Purchasing Options Involves Substantial Risk. Entire premium is at risk. Profit or loss usually determined by selling position. If position is not closed or exercised by expiration date, options will expire worthless. 0 3, Option Spreads—Margin account required. Involves Substantial Risk. In addition to risk of purchasing puts or calls, if long side is closed out, leaving only a short position, the financial risk becomes unlimited. Option assignments require purchase of the underlying stock in the open market to effect delivery to purchaser of option. 0 4. Uncovered Put Writing—Margin account and special statement for uncovered option writers required. Involves Substantial Risk. If assigned, the client must purchase the underlying stock at the strike price, which may be substantially higher than the then-current market price 0 5. Uncovered Call Writing—Margin account and special statement for uncovered option writers required. Involves Substantial Risk. Writing uncovered calls involves unlimited financial risk. Option assignments require purchase of the underlying stock in open market to effect delivery to purchaser of option. I have read and un^tstand-aliof the conditions and stipulations on the reverse side of this form in regard to trading in options and represent that trading in optiopsissuitable in^ght of my investment objectives, financial situation, risk tolerance and knowledge. I hereby confirm that I am the source o^^d attest to the accuracy of the above information and authorize Deutsche Bank Securities Inc. (DBSI) to verify any representation contained tmerein, at its discrMon. I will promptly notify DBSI, in writing, of any material change in the above-stated infomiation. I acknowledge that I may obtain an option^learing corporation prospectus upon request I have received arid reee Options Clearing Corporation Disclosure Document entitled "Characteristics and Risks of Standardized Options." Signature Signature W Date (MM/DD/YYYY) Print Name nt Name Date (MM/DD/YYYY) CM Date Client Advisor Signature Print Client Advisor Name Date ROP Approval Signature F^int Name Page 2 of 4 WM189768 010721.051018 OPTION DEPT. PPROVAL EFTA01426483 Comments: ROSFP Date gni! Q uj o Covered Call Writing G Purchasing Options o Option Spreads o Uncovered Put Writing o Uncovered Call Writing 0 u. Risks, Prohibitions and General Information Concerning Option Trading Important: Please read this appendix I understand that options transactions involve a high degree of risk and offer no guarantee of gain or assurance against loss. Accordingly, 1 understand that prior to engaging in any option transaction, i should review my present financial situation and determine whether it is advisable to incur the risk of loss associated with that particular investment. 1. I understand that when I engage in option trading I expose myself to certain, potentially substantial financial risks in addition to those identified on the front side of this form under the heading "Client(s) Strategy Requests," including but not limited to the following: • I understand that I should not buy an option unless I am able to sustain a total loss of the premium and transaction costs. • If I sell (write) covered options, I understand that I may forfeit participation in capital gains but retain risk of participation in capital losses in the underlying security. I understand that if an exercise is assigned to me, I may be forced to liquidate my position in the underlying security at a time which may be unfavorable to me. 1 also understand that I should not sell (write) a covered call option unless I am prepared to deliver the underlying security (or a security convertible, exchangeable, or exercisable into such underlying security) upon the exercise of the option. • If I sell (write) uncovered (naked) options, I risk substantial capital loss if, and to the extent that, the market price of the underlying security increases above the strike price of a call or decreases below the strike price of a put. If an exercise is assigned to me, it will, in all likelihood, be at a time which will force me to assume such a capital loss. I understand that I should not sell (write) a put option or an uncovered call option, especially an index option, unless 1 am able to sustain potentially unlimited losses. • I am aware that various factors may affect the price of an option contract, such as the relationship between the exercise price and market price of the underlying security, the time period remaining until the option expires, and the EFTA01426484 price fluctuation or other characteristics of the underlying security. • I am aware that the respective option exchanges (Exchanges) may, in their discretion and from time to time, restrict transactions in particular options or the exercise of option contracts in the interest of maintaining a fair and orderly market in option contracts or in the underlying security, for the protection of investors. I understand that I may not be able to close a position in the event that a secondary market in the option ceases to exist or the listing exchange restricts or suspends trading in the option. • I am aware that the Exchanges have established restrictions on certain opening purchase and sale transactions on the Exchanges which are considered to be restricted options. 2. I understand and agree that my account(s) with DBSI will be handled in accordance with the Rules of the Financial Industry Regulatory Authority (FINRA) and the Exchanges on which listed options are traded and of the Options Clearing Corporation (OCC), as expressed in its prospectus. I am aware of and agree to be bound by such rules. In accordance with such rules: * I will not attempt to acquire at any time, either by myself or in concert with others, a position in excess of the limits prescribed from time to time by the Exchanges. For the purpose of computing such limits, I understand that total long call options and short put options of the same underlying stock must be added to compute the position limit. Similarly, total long put options and short call options of the same underlying stock must be added to compute the position limit. • I will not attempt to exercise, either by myself or in concert with others, during any period of five consecutive business days, a quantity in excess of the limit prescribed by the Exchanges. • ! understand that if found in violation of either the position limit or the exercise limit i may be subject to sanctions imposed by the Exchange involved and that these sanctions may include liquidation of the positions in violation. f^ge3of4 WM189768 010721.051018 Important: Please read this appendix (continued) 3. 1 understand that DBSI has policies which may be more restrictive than or impose requirements in addition to those of the Exchanges, FIN RA or the New York Stock Exchange. I agree to abide by such policies as a condition of doing business with DBSI. I understand that these policies include but are not limited to the following: - Settlement date for all option trades is the business day following trade date. Notwithstanding this provision, DBSI may, in its discretion, elect not to accept purchase orders in options unless cash equal to the purchase price has first been deposited in my account, and may elect not to accept opening sale orders in options unless I have first deposited in my account either the required margin or unrestricted negotiable shares EFTA01426485 of the underlying stock in an amount specified by DBSI. • DBSI may refuse orders to trade options in my account if there are restrictions against my account, including restrictions regarding trading in the underlying security, or for any other reason, at its discretion. ■ DBSI has set trading and exercise deadlines which correspond to deadlines established by the OCC and will accept no responsibility for completion of orders entered by clients after such deadline. • Margin, either in cash or securities, posted by me against short option positions, may not be included in my margin account equity or interest computations. DBSI may, in turn, use these deposits to secure said short positions with the OCC. • Option exercise notices assigned to DBSI in respect of option contracts in customer accounts shall be allocated to customers of DBS! on an automated random that if I am assigned, the assignment will be processed as a sale (in the case of a call) or a case of a put), settling two business days from the date of assignment (except for non-equity options, which settle for cash on the day of assignment) and that I am obligated to deliver the underlying stock or required cash to DBSI no later than settlement date. 4. I understand that margin requirements exist in connection with certain options and I agree to meet ali margin calls as made by DBSI. I understand that DBSI. in computing the margin requirements for option positions, may impose a higher margin requirement for individual option positions than other investment firms, and that DBSI will inform me of its existing margin requirements for option positions upon request. In the event I do not meet margin calls promptly, DBSI is authorized, in its sole discretion and without notification to me, to take any and ail steps necessary to protect itself in connection with put and/or call transactions made for my account, including the right to buy and/or sell short, or short exempt, for my account and risk any part or all of the shares represented by options endorsed by DBSI for my account, or to buy for my account and risk any puts and/or calls as DBSI may deem necessary for its protection. I further agree that any and all expenses incurred by DBSI in this connection will be reimbursed by me. 5. This agreement shall apply to all option orders for my/our account, whether or not such orders are executed. 6. I understand that options may be listed on one or more Exchanges and that if no Exchange is specified by me, DBSI will use its discretion in routing my order(s). 7. 1 hereby authorize you in your sole discretion and with notification to me (or in the event of my death, without notification to representatives of my estate or to my heirs) whenever you deem it necessary for your protection, to take such action, including, a short position in basis. I understand purchase (in the EFTA01426486 without limitation, to buy, sell or sell short for my account(s) and my risk, puts, calls, or other forms of options and/or to buy, sell, or sell short any part or all of the underlying securities represented by options endorsed by you for my account(s). Any and ail expenses, including, without limitation attorneys' fees and their reasonable disbursements, incurred by you in connection with such transactions will be reimbursed by me or by my estate. 8. You are under no obligation to convey to me any information relating to the underlying securities covered by an option or any securities related thereto, or any information relating to options whether such information is then or thereafter known or available. Any information, advice or notification in respect to any option or any underlying securities or securities relating thereto which you may give me and which you are not required to give by the terms of this agreement or any other agreement, expressed or implied, shall not be construed as creating an implied agreement or course of dealing between us and shall not impair the provisions of this or any other agreement between us. 9. This agreement and its enforcement shall be governed by the laws of the State of New York and its provisions shall be continuous; shall cover all options transactions hereunder, whether you are acting as broker or principal, and all accounts, individually and collectively, which I may open or re-open with you; shall inure to the benefit of your present organization, its successors and assigns; and shall be binding upon me and my estate, executors, administrators and assigns, but no assignment shall release me from any of my obligations hereunder. Written notice of revocations of this agreement shall not release either of us from any obligations hereunder arising prior to the actual receipt of such notice by the other. 10. Whenever any law or regulation is adopted which affects or is inconsistent with any provision hereof, such provision shall be deemed modified or superseded, as the case may be, by such law or regulation, and such provisions as so modified or superseded and all other provisions hereof shall in all respects continue in full force and effect. All other agreements existing between us or hereafter made which, by their provisions apply to any of my transactions and accounts with you, shall be applicable to any of my options transactions and accounts where they are not in conflict with this agreement. Should such a conflict exist it shall be resolved in favor of this agreement. Otherwise, the provisions of each agreement shall be applicable. 11. As used herein, "I" and "me" refers to all account owners. "You" and "Your" refers to DBSI. Please Initial Here: 0 2018 Deutsche Bank AG. All rights reserved. WM189768 010721.051016 Deutsche Bank Wealth Management Customer Identification Program Notice Important Information To help the government fight the funding of terrorism and money laundering EFTA01426487 activities, Federal law requires all financial institutions to obtain, verify, and record information that identifies each person who establishes an account, investment or other business relationship with a financial institution. This means that we will ask for your name, address, and other information that will allow us to identify you. We may also ask to see identifying documents such as a certificate of formation or good standing (legal entities) or a passport or other photo identification (individuals). 3rd EU Notice Governmental rules have also broadened the scope of our firm's obligations to aid in the fight against money laundering and terrorist financing; these rules call for an active involvement of both asset management firms and their clients. For new and existing clients we currently have a legal obligation to ask our customers questions regarding their identities, addresses, source of funds and, if necessary, legal representatives, authorized signatories, beneficial owners or control structures and to collect requisite documentation to substantiate the information. Also, enhanced anti-money laundering requirements require that should any of the above persona! or institutional information change, our clients would be obliged to immediately notify us of the change(s) and provide us with relevant documentation to verify these changes. "Deutsche Bank" means Deutsche Bank AG and its affiliated companies. Deutsche Bank Wealth Management represents the wealth management activities conducted by Deutsche Bank AG or its subsidiaries. Brokerage services are offered through Deutsche Bank Securities Inc., a broker-dealer and registered investment adviser, which conducts investment banking and securities activities in the United States. Deutsche Bank Securities Inc. is a member ofFINRA, NYSE and SIPC. 02018 Deutsche Bank AG. All rights reserved. WM189470 006431.011818 By signing below, client acknowledges that client has received, read and agrees to the terms of this margin agreement including the margin disclosure. By signing this agreement the client acknowledges that client's securities not fully paid for may be loaned to DBSI or to Pershing or loaned out to others. This agreement is subject to the pre-dispute arbitration clause in Section III, page 7, of the account agreement. Account NurT"r—s" Individual dr Joint account (if this is a Joint account all account owners must sign): /ohl2oi8 Date Signature tNlame ^ SSN/EIN Print EFTA01426488 Date Signature SSN/EIN Print Name Date Signature SSN/EIN Print Name Corporation, partnership, trust or other entity: Confirmation of authority to borrow If this is an agreement for a trust other fiduciary account or other non- natural person(s) account the authorized person hereby certifies and represents that the use of a margin account and specifically the borrowing, lending and pledging of Securities and Other Property as described herein and in the Margin Section is in accordance with and authorized by the provisions of the trust or other instrument and Applicable Law governing the trust or other entity. Employer ID No. Name of Entity Date Signature of Officer, Partner, Trustee, Authorized Party Print Name/Title Date Signature of Officer, Partner, Trustee, Authorized Party Print Name/Title Date Signature of Officer, Partner, Trustee, Authorized Party Print Name/Title For office use only Branch Manager approval for margin accounts: Signature Date Branch Manager approval for margin accounts: Print Name 02018 Deutsche Bank AG. Ail rights reserved. WM189778 015684.080218 Deutsche Bank Wealth Management Special Statement for Uncovered Option Writers Account Name Account No Jeffrey Epstein N4Gxxx968 There are special risks associated with uncovered option writing which expose the investor to potentially significant loss. I understand that this type of strategy may not be suitable for all customers approved for options transactions. I also understand each of the following: 1. The potential loss of uncovered call writing is unlimited, since there is no upper limit on a stock's price and the loss to a writer of an uncovered call equals the stock price minus the exercise price. The writer of an uncovered call is in an extremely risky position, and may incur large losses if the value of the EFTA01426489 underlying instrument increases above the exercise price. Such a loss can exceed the equity in the call writer's account. 2. The potential loss from writing uncovered put options is also substantial. The writer of an uncovered put option bears a risk of loss if the value of the underlying instrument declines below the exercise price. However, since stock prices cannot be lower than zero, the maximum loss is equal to the strike price of the put sold less the premium received for that put. Such loss could be substantial if there is a significant decline in the value of the underlying instrument and can exceed the equity in the put writer's account. 3. For combination writing, where the investor writes both a put and a call on the same underlying instrument, the potential risk is unlimited and can exceed the equity in the option writer's account. _ 4. Uncovered option writing is thus suitable only for the knowledgeable investor who understands the risks, has the financial capacity and willingness to incur potentially substantial losses and has sufficient liquid assets to meet applicable margin requirements. In this regard, if the value of the underlying instrument moves against an uncovered writer's options position, the investor's broker may request significant additional margin payments. If an investor does not make such margin payments, the broker may liquidate stock or options positions in the investor's account, with little or no prior notice in accordance with the investor's margin agreement. 5. The option writer may not be able to rely on the secondary market. If a secondary market in options were to become unavailable, investors could not engage in closing transactions, and an option writer would remain obligated until expiration or assignment. _ 6. The writer of an American-style option is subject to being assigned an exercise at any time after he has written the option until the option expires. By contrast, the writer of a European-style option is subject to exercise assignment only during the exercise period. NOTE: It is expected that the person(s) signing below will read the booklet entitled Characteristics and Risks of Standardized Options available from your broker. Particular attention is directed to the chapter entitled "Risks of Buying and Writing Options." This statement is not intended to enumerate all of the risks entailed in writing uncovered options. ! have read andjjrtdersteqd the above statement regarding the special risks associated with uncovered option writing and represent tj;iat^ch tradir^ is suitable in light of my investment objectives, which include speculation, as well as my financial situation„dsk tolerance anfl knowledge. I understand that you will rely on the representations I have made herein and in the Option Agreement ana Approval Form I provided to you in determining whether to approve my account for the options strategies^have electeyand I hereby certify the truth and accuracy of such EFTA01426490 statements. IOlill'Oi& Date Signed Date Signed Date Signed Date Signed Date Signed Approved for K Uncovered Calls K Uncovered Puts ROP/Manager Approval Date Deutsche Bank Securities lncn a subsidiary of Deutsche Bank AG. conducts investment banking and securities activities in the United States. 02017 Deutsche Bank AG. All rights reserved. WM179363 006418.120617 EFTA01426491