Marketing and Advertising Compliance Policy

This Marketing and Advertising Compliance Policy (the “Policy”) is issued by Kohle Capital Markets Limited (the “Company”, “we”, “us”, or “our”), operating under the KCM Trade brand and regulated by the Financial Services Commission of Mauritius (FSC Mauritius) under Licence No. C117022600 (Investment Dealer, Full Service Dealer, SEC-2.1B).

This Policy applies to all marketing, advertising, and promotional activities conducted by or on behalf of the Company or Kohle Capital Markets Pty Ltd (AFSL 489437, Australia, operating under the KCM Trade Plus brand) across all channels, including digital advertising, social media, public relations, influencer and KOL marketing, and AI-generated content.

1. Scope

This Policy governs:

• All paid and organic advertising (social media, display, search, programmatic, video, audio, out-of-home)
• Public relations (PR) and earned media initiatives
• Influencer, creator, and Key Opinion Leader (KOL) campaigns — whether involving human or AI-generated personas
• Content marketing, educational materials, and market commentary published by or on behalf of the Company
• AI-generated promotional content, including AI-generated graphics, video, voiceover, and virtual AI KOL personas
• Promotional materials developed by or for Introducing Brokers (IBs), affiliates, and authorised distribution partners
• Email marketing, push notifications, in-app notifications, and SMS campaigns

This Policy applies to employees, officers, contractors, IBs, affiliates, creative agencies, media buying agencies, PR agencies, and any other party acting on behalf of the Company.

2. Regulatory Framework

All marketing and advertising materials relating to the Company’s services must comply with:

• Securities Act 2005 (Mauritius) and applicable FSC Rules — requiring that all financial promotions are fair, clear, and not misleading
• FSC Mauritius Communiqués and Guidance on financial promotion standards for Investment Dealer licensees
• ASIC Regulatory Guide 234 (RG 234) — Advertising financial products and services (including credit) — applicable to Kohle Capital Markets Pty Ltd and all advertising targeting Australian residents
• Corporations Act 2001 (Cth) s. 1041H — prohibition on misleading or deceptive conduct in financial services (Australia)
• Competition and Consumer Act 2010 (Cth) Schedule 2 (Australian Consumer Law) — prohibition on misleading or deceptive conduct and false representations in trade or commerce; applicable to all advertising targeting Australian consumers
• Platform-specific advertising policies of Meta, Google, TikTok, X (formerly Twitter), LinkedIn, and any other distribution platforms used
• The Company’s Conflicts of Interest Policy regarding IB and affiliate remuneration arrangements

Where the standards of multiple regulatory regimes overlap or conflict, the stricter standard applies.

3. Mandatory Risk Warning

All financial promotions — in any format or medium — must include a prominent risk warning. The minimum required risk warning is:

Trading CFDs involves a significant risk of loss. You could lose some or all of your invested capital. This material does not constitute investment advice. Please ensure you fully understand the risks involved.

Additional requirements:

• The risk warning must be clearly visible and not obscured, minimised, or visually de-emphasised relative to other promotional content
• In video content, the risk warning must appear on-screen for sufficient duration for an average viewer to read it, or be stated in voiceover
• In audio format (podcasts, radio, audio ads), the risk warning must be spoken at a normal listening pace
• In static graphic format — including AI-generated images — the risk warning must be legible at the intended display size; it must not be rendered in a font size or colour that renders it effectively invisible
• In short-form social media content where character limits prevent inclusion of the full warning, a prominent abbreviated warning (e.g., “CFD trading involves risk of loss”) must be included, with the full warning accessible via a linked landing page

4. Standards for Financial Promotion Content

4.1 General Standards

All promotional content must be:

• Fair — balanced in presentation; not selectively emphasising favourable data or outcomes while omitting unfavourable information
• Clear — expressed in plain language accessible to the intended audience; free from excessive jargon
• Not misleading — accurate in all material respects; not likely to create a false impression through emphasis, omission, ambiguity, or visual presentation

4.2 Prohibited Content

The following content is strictly prohibited in all marketing and promotional materials:

• Guarantees of profit, return, or specific outcomes (e.g., “earn money guaranteed”, “risk-free trading”, “secure returns”)
• Claims that trading is easy, simple, suitable for everyone, or a reliable source of income or passive income
• Performance figures, trade results, account screenshots, or strategy outcomes that are unrepresentative, cherry-picked, or presented without context
• Testimonials or endorsements that imply typical or average user results without substantiated statistical basis
• Language implying that the Company’s platform, tools, or features eliminate the risk of loss
• Misrepresentation of leverage levels, fees, spreads, commissions, swap rates, or other trading conditions
• Claims of regulatory endorsement or approval that exceed the scope of the Company’s actual licence
• Content that exploits the financial vulnerability of the target audience or targets persons with known gambling or financial difficulties
• Advertising the Services in jurisdictions where the Company does not hold applicable regulatory authorisation, or in a manner inconsistent with local financial promotion rules

4.3 Past Performance Disclaimers

Any reference to historical performance — including charts, trade results, account performance, strategy backtests, or market analysis in promotional content — must include a prominent disclaimer such as:

Past performance is not a reliable indicator of future results.

4.4 Copy Trading and Signals Advertising

The Company offers copy trading (via Pelican Exchange Limited) and market signals (via Acuity Trading) as features of the Services. These are commonly referenced in advertising and are subject to the following additional requirements:

• All references to a copy trading strategy’s historical returns must be accompanied by a prominent statement that past performance is not a reliable indicator of future results and that losses of the copied strategy will also be replicated
• Screenshots or performance statistics of copy trading strategies must not be presented as representative of results achievable by a typical or average user
• Advertising must not imply that copy trading is a passive income strategy or that it removes the user’s exposure to market risk
• Market signals and analysis tools provided through the Services are for informational purposes only and do not constitute investment advice or personal recommendations; advertising must not present signals as a reliable method of generating profit
• Signal performance data or win-rate statistics presented in advertising must be accurate, time-bounded, and include the same past performance disclaimer as §4.3

4.5 Leverage Advertising

For an FX and CFD broker, advertising of leverage ratios requires specific care. Where promotional materials reference specific leverage levels:

• The leverage figure must be accurately stated and must not exceed the maximum ratio available for the relevant instrument class as set out in the Leverage and Margin Policy
• Leverage must always be accompanied by explicit risk context (e.g., “Leverage magnifies both gains and losses and may result in losses exceeding your initial deposit”)
• Advertising must not present high leverage as an unqualified benefit; it must simultaneously communicate the corresponding risk of amplified loss
• Leverage tiers that are restricted to specific jurisdictions or client categories must not be presented as universally available to all users
• Advertising must not use phrases such as “trade more with less” or similar formulations without immediate, proximate risk qualification

5. AI-Generated Advertising Content

5.1 General

The Company may use artificial intelligence tools to generate promotional and advertising content, including but not limited to:

• AI-generated images and graphics (“AI Graphical”)
• AI-generated video content (“AI Video”)
• AI-generated voiceover and audio
• AI-generated virtual personas and Key Opinion Leaders (“AI KOL”)
• AI-assisted copywriting and campaign scripts

All AI-generated promotional content is subject to the same compliance review and approval requirements as human-produced content.

5.2 Mandatory Disclosure of AI-Generated Content

Where required by applicable law, platform policy, or regulatory guidance, advertising materials that materially incorporate AI-generated content must include a disclosure. The Company will:

• Label AI-generated promotional videos with an on-screen or metadata disclosure (e.g., “This video contains AI-generated content”) on platforms that require or recommend such labelling, including YouTube, TikTok, and Meta
• Disclose AI KOL personas as virtual or AI-generated in the profile biography, post caption, or equivalent field on every platform where the persona appears
• Not present an AI KOL persona as a real human individual or imply that a human is personally endorsing the Company’s services
• Ensure that AI-generated content does not contain prohibited claims, performance guarantees, or misleading statements that human-produced content would also be prohibited from containing

5.3 AI KOL — Additional Requirements

Where the Company deploys an AI-generated Key Opinion Leader or virtual influencer in promotional campaigns:

• The AI nature of the persona must be disclosed in the profile biography or equivalent descriptive field on each platform (e.g., “This is a virtual AI content persona of KCM Trade”)
• Individual posts or videos featuring the AI KOL persona must include a disclosure where the format and platform policy permit (e.g., “#AIGenerated”, “#VirtualInfluencer”, or a platform’s built-in AI content label)
• The AI persona must not make statements that would constitute personal financial advice or create a false impression of human endorsement
• Engagement metrics or interactions attributed to an AI KOL persona must not be fabricated or artificially inflated to mislead consumers about organic interest

6. Social Media Advertising Standards

6.1 Platform Compliance

All social media advertising must comply with the advertising policies of the relevant platform. Key platform-specific obligations include:

6.2 Geo-Targeting

All paid social media and digital advertising for KCM Trade (Kohle Capital Markets Limited, Mauritius) must be geo-targeted to exclude jurisdictions in which the Services are restricted or prohibited, as listed in the Company’s Jurisdictional Availability policy, including but not limited to: United States, Canada, Japan, Australia, North Korea, Iran, Myanmar, Syria, and Sudan.

Australia is excluded from KCM Trade (Mauritius) advertising because Australian residents are served exclusively by the separate Australian entity, Kohle Capital Markets Pty Ltd (KCM Trade Plus, AFSL 489437). This exclusion does not restrict advertising lawfully conducted by or on behalf of Kohle Capital Markets Pty Ltd, targeting Australia under its own AFSL.

Targeting parameters applied to each campaign must be documented and retained.

6.3 Organic and Earned Content

Where a third party’s organic post is shared, retweeted, or amplified through an official Company channel, the same content standards apply as for Company-created promotional materials.

7. Influencer and KOL Marketing

7.1 Disclosure of Commercial Relationships

All influencer and KOL engagements — whether involving a cash payment, commission, free trading credit, account rebate, or any other benefit in kind — must be clearly disclosed as a paid or sponsored arrangement in every post, story, video, or content item that references or promotes the Company’s services. Required disclosures include:

• A platform-native sponsorship label (e.g., Meta “Paid Partnership” label, TikTok “Sponsored” tag) where available
• A textual label within the content (e.g., “#ad”, “#sponsored”, “#paid”, or the applicable jurisdiction’s required format)
• A verbal disclosure at the beginning of video content (e.g., “This is a paid partnership with KCM Trade”)

Disclosures must be prominent, early, and unavoidable — not buried in hashtag lists or below the “see more” fold.

7.2 Pre-Publication Compliance Brief

Prior to content creation, the Company will provide all engaged influencers, KOLs, and AI KOL operators with a written compliance brief covering:

• Mandatory risk warning text and required placement
• List of prohibited claims and prohibited phrases
• Required disclosure language
• Geographic audience targeting restrictions
• The requirement that the content not constitute regulated financial advice

The compliance brief must be retained as a record of the engagement.

7.3 Pre-Publication Approval

All influencer-produced and AI KOL-produced content must be reviewed and approved by the Company’s compliance function or a designated senior officer before publication. Content that fails compliance review must be revised and re-submitted for approval.

7.4 Record-Keeping

The Company will maintain records of all influencer and KOL engagements, including:

• Identity of the influencer or persona
• Agreed terms of engagement and compensation
• Compliance brief provided
• Content as published
• Approval records

Records will be retained for a minimum of five (5) years.

7.5 Non-Compliance by Influencers

Where an influencer or KOL publishes non-compliant content, the Company will:

• Require immediate removal or correction of the content
• Suspend or terminate the commercial arrangement where non-compliance is material or repeated
• Report to the relevant authority where required by applicable law

8. IB and Affiliate Promotional Materials

Introducing Brokers (IBs) and affiliates who generate or publish promotional content about the Company’s services are responsible for ensuring that such content complies with this Policy and applicable local laws. The Company:

• Requires IBs and affiliates to include the mandatory risk warning in all promotional materials (see §3)
• Prohibits IBs and affiliates from making claims that are prohibited under §4.2 of this Policy
• Reserves the right to require removal of non-compliant content and to suspend or terminate IB or affiliate arrangements where non-compliance persists

Where an IB uses the Company’s AI-powered IB Promo Generator to create promotional draft materials, the IB retains full and sole compliance responsibility for all content it publishes. The AI Promo Generator generates draft templates only; generation by the tool does not constitute the Company’s approval of the specific content for publication. See the AI Tools and Features Disclaimer for further terms.

9. Media Buying and Programmatic Advertising

9.1 Brand Safety

Advertising placements must be managed to ensure they do not appear alongside content that is harmful, hateful, extremist, fraudulent, or incompatible with the Company’s regulatory standing. Brand safety controls must be applied in all programmatic and media buying campaigns.

9.2 Audience Restrictions

The Company will not knowingly target advertising to:

• Individuals under the age of 18 (or the applicable age of majority in the target jurisdiction)
• Individuals in restricted jurisdictions (see §6.2)

9.3 Campaign Record-Keeping

The Company will retain records of all significant advertising campaigns including creative materials, targeting parameters, placement details, campaign dates, and approval records for a minimum of five (5) years.

10. Public Relations

10.1 Pre-Publication Review

Press releases, media statements, interview scripts, and third-party editorial content in which the Company has had editorial input must be reviewed and approved by the Company’s compliance function or a designated senior officer prior to publication.

10.2 Awards and Third-Party Endorsements

Any reference to an award, ranking, rating, or third-party endorsement in advertising must:

• Accurately identify the awarding body, award category, and the year in which the award was received
• Not be used after the award or ranking has materially lapsed or been superseded without appropriate qualification
• Not imply regulatory endorsement or approval by the FSC Mauritius, ASIC, or any other licensing authority

11. Approval Process

All marketing and advertising materials — including AI-generated content and IB-produced materials submitted for Company use — must receive documented approval from the Company’s compliance function or a designated senior officer before publication. Approval records must be retained for a minimum of five (5) years.

Urgent or time-sensitive campaigns do not exempt content from compliance review.

12. Breach and Enforcement

Breach of this Policy may result in:

• Immediate suspension or removal of non-compliant content
• Suspension or termination of the relevant commercial or employment arrangement
• Internal disciplinary procedures for employees and officers
• Reporting to the FSC Mauritius, ASIC, or other competent authority where required by applicable law

13. Review

This Policy will be reviewed at least annually and updated to reflect changes in applicable regulatory requirements, platform advertising policies, AI regulation developments, or the Company’s advertising activities.

14. Governing Law

This Policy is governed by and construed in accordance with the laws of the Republic of Mauritius, without regard to its conflict of law principles.

Any dispute arising out of or in connection with this Policy shall be subject to the exclusive jurisdiction of the courts of the Republic of Mauritius, unless otherwise required by applicable mandatory law in the relevant jurisdiction.

Nothing in this clause prevents the Company from seeking urgent injunctive or equitable relief before any competent court where necessary to protect its rights or those of affected users.

15. Contact

Queries relating to this Policy, compliance concerns regarding the Company’s marketing and advertising activities, or requests for compliance review of materials may be directed to:

Kohle Capital Markets Limited
Email: CS@kcmtrade.com
Mauritius: +230 5297 0961
Website: https://www.kcmtrade.com

This Policy forms part of the Company’s broader compliance framework and should be read alongside the Conflicts of Interest Policy, Risk Disclosure Statement, Regulatory and Licensing Disclosure, Website Legal Disclaimer, Terms of Service, and AI Tools and Features Disclaimer.