Whenever the Client transfers funds to the Company, those funds belong to the Company and will be treated by it as its own for the purpose of securing or covering the Client’s present, future, actual, contingent or prospective obligations, subject only to any contractual obligation of the Company to pay or return money to the Client according to the terms of this Agreement. The Client will not have a proprietary claim over money transferred to the Company, and the Company can deal with it in its own right. In determining the amount of collateral and the amount of the Company’s obligations to pay or return money to the Client, the Company may apply such methodology (including judgments as to the future movement of markets and values), as the Company considers appropriate, consistent with Applicable Regulation.
Above is small, almost hidden terms and conditions of a broker that I copied. Want your opinion on this as it did not make clear sense to me. To me it sounds like whenever a client transfers funds to the company, those funds belong to the company and the client will not have any proprietary claim over money transferred to the company. Basically this means that the company can legally refuse withdrawal of client's funds/profits.
Please advice is the above info is important....
The broker is warning