Dear clients, with this document we would like to introduce you to the applicable rules regarding currency conversion into euros, as well as to provide you with the necessary information related to the impact of the introduction of the euro on the activities and services performed by investment intermediaries.

Date of introduction
The Law on the Introduction of the Euro in the Republic of Bulgaria (published in the State Gazette, issue 70 of 20.08.2024) shall enter into force on the date specified in the Decision of the Council of the European Union (Council) on the adoption of the euro by the Republic of Bulgaria.

The date of introduction of the euro as the official currency of the Republic of Bulgaria will be determined in this decision and will be further announced by the Investment Intermediaries.

Currency conversion and rounding rules
The conversion from levs to euros will be carried out by applying the irrevocably fixed exchange rate of 1.95583 levs to 1 euro , which must be confirmed by the Council through an amendment to Regulation (EC) No. 2866/985.

The conversion from levs to euros is carried out by dividing the numerical value in levs by the full numerical value of the official exchange rate , expressed in six digits with all five decimal places. After the specified conversion, the resulting amount is rounded to the second decimal place based on the third decimal place by the standard mathematical rounding rule.

Example: A numerical value of 100,000 BGN after dividing it by the official exchange rate of 1.95583 will be 51,129.188. Because the third decimal place is greater than five, not less, the converted amount is 51,129.19 euros.

 The effect of existing contracts
The introduction of the euro will not change or cancel the effect of existing contracts. All contracts, including for trading in financial instruments in levs or with references to the Bulgarian lev, will continue to be valid after the accession of the Republic of Bulgaria to the euro area.

Automatic currency conversion of the value of non-cash financial instruments
On the date of the introduction of the euro , Axiom Invest Ltd. will automatically converts the value of financial instruments from levs to euros, subject to the above-mentioned currency conversion and rounding rules.

An exception to this rule regarding the decimal point on the basis of which rounding is performed is allowed only when the Act on the Introduction of the Euro in the Republic of Bulgaria or another law or legal act of the European Union provides for rounding to be performed to a decimal point other than that specified.

Double designation period
 The period of dual denomination in leva and euro begins one month after the date of entry into force of the Decision on the adoption of the euro and ends 12 months after the date of introduction of the euro.

For this period, investment intermediaries shall indicate the double amount of fees and commissions for the services they provide. The information shall be disclosed in the offices and on the websites of the investment intermediaries, as well as free of charge on paper or on another durable medium upon request by a client.

For this period, investment intermediaries shall also double-label the balance of funds in the client's lev account, the total value of the client's financial instruments and information on fees and expenses 2 in connection with the provision of investment and additional services to retail clients.

It is important to note that with respect to client accounts previously held in a currency other than BGN, where the reporting information and the relevant fees and commissions were in a currency other than BGN, the double designation requirements do not apply . For these accounts, the reporting and charging of fees and commissions remain the same as they were before the introduction of the euro.

Double circulation period

For a period of one month from the date of the introduction of the euro, banknotes and coins in levs shall continue to be legal tender on the territory of the Republic of Bulgaria. During the period of dual circulation, investment intermediaries shall accept cash amounts in both levs and euros for the purposes of their activities and shall return the balance in full in euros provided that they have sufficient cash.

Investment intermediaries may not accept more than 50 coins in leva, including stotinki, in a single transaction. From the first day of the introduction of the euro, all cashless payments will be made only in euros.It is important to know that according to the Law on the Introduction of the Euro in the Republic of Bulgaria, investment intermediaries do not exchange banknotes and coins from levs into euros.

Right to information
In the period from the date of introduction to one year after the date of introduction of the euro, each client has the right to receive information about the monetary values in relation to the investment and additional services provided to him in levs as of the date of currency conversion . Axiom Invest Ltd. provides the information free of charge within 7 days of the request. Clients can make the request at the company's office: 9000 Varna, Odessos district, 24 Rayko Zhinzifov Str., 1st floor or by e- mail : frontoffice@axiominvest.eu Full information about fees and commissions (in BGN and EUR) is contained in the Tariff of Axiom Invest Ltd., posted on the company's website : https://www.axiominvest.eu/

Information under Art. 71, para. 2, item 4 of the Markets in Financial Instruments Act