Document:

Filed by Automated Filing Services Inc. (604) 609-0244 - Stockgroup Information Systems Inc. - Exhibit 10.1

THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE UNITED
STATES SECURITIES ACT OF 1933, AS AMENDED, OR STATE LAWS, AND MAY NOT BE OFFERED
FOR SALE IN THE UNITED STATES OR TO A U.S. PERSON UNLESS EXEMPT
THEREUNDER FROM SUCH REGISTRATION 

STOCKGROUP INFORMATION SYSTEMS INC. 

AND 

     JENNINGS CAPITAL INC. 
AND
CORMARK SECURITIES INC. 

AND 

JENNINGS CAPITAL (USA) INC. 

SUBSCRIPTION AGREEMENT – COMMON SHARES 

Private Placement of 3,333,334 common share at $1.50 per
share to raise gross proceeds of $5,000,001. 

INSTRUCTIONS 

All Subscribers: 

	1. 	
      Complete and sign pages 1 and 2 of the Subscription
      Agreement.

	 	 
	2. 	
      If you are a non-individual subscriber, complete and sign
      the TSX Venture Exchange Form 4C – Corporate Placee Registration Form –
      Appendix I. If you have recently filed a Form 4C with the TSX Venture
      Exchange and it is still current, then complete and sign the
      Confirmation of Previously Filed Corporate Placee Registration Form –
      Appendix II, instead of Appendix I.

	 	 
	3. 	
      Complete and sign the Registration Rights Agreement –
      Appendix V, and the Selling Securityholder Questionnaire attached as
      Schedule A thereto.

	 	 
	4. 	
      Return item 1 completed, the Registration Rights
      Agreement, the Selling Securityholder Questionnaire, Appendix I, Appendix
      II, Appendix III and Appendix IV completed (as necessary) together with
      the subscription proceeds to Jennings Capital Inc., 555 Burrard Street,
      Suite 1225, Vancouver, BC V7X 1M9, Attention: Beng Lai; or to Cormark
      Securities Inc., Royal Bank Plaza, South Tower, 200 Bay Street, Suite
      2800, Box 63, Toronto, ON, M5J 2J2, Attention: Michael
    McCloskey.

Canadian Subscribers: 

If you are an “accredited investor” (as defined in Appendix
III), complete and sign the Accredited Investor Questionnaire – Appendix
III, unless the aggregate purchase price of the Common Shares you have
subscribed for is not less than $150,000. 

Subscribers who are U.S. Purchasers: 

Complete and sign the U.S. Accredited Investor Certificate –
Appendix IV. 

A “U.S. Purchaser” is (a) any “U.S. Person” as defined in
Regulation S under the United States Securities Act of 1933, (b) any person
purchasing securities on behalf of any “U.S. Person” or any person in the United
States, (c) any person that receives or received an offer of the securities
while in the United States, or (d) any person that is in the United States at
the time the subscriber’s buy order was made or this subscription agreement was
executed or delivered. 

SUBSCRIPTION AGREEMENT 

	To: 	
      Stockgroup Information Systems Inc. (the “Issuer”)
      750 West Pender Street, Suite 500, Vancouver, BC V6C 2T7 

	  	
       

	And To: 	
      Jennings Capital Inc. (“Jennings”) and Cormark
      Securities Inc. (“Cormark” and together with Jennings, the
      “Underwriters”), and Jennings Capital (USA) Inc. (the “U.S.
      Placement Agent”). 

The undersigned (the “Subscriber”) hereby acknowledges that the
Issuer is proceeding with a private placement of 3,333,334 common shares in the
capital of the Issuer (the “Common Shares”) at a price of $1.50 per Common
Share, and tenders to the Issuer and the Underwriters this subscription offer
which, upon acceptance by the Issuer, will constitute an agreement of the
Subscriber to subscribe for, take up, purchase and pay for and, on the part of
the Issuer, to issue and sell to the Subscriber the number of Common Shares set
out below. 

	Number of Common Shares: 	______________________________________________________
	 	 
	Total Purchase Price at $1.50 per Common Share: 	$
      _____________________________________________________

PLEASE MAKE CERTIFIED CHEQUES AND BANK DRAFTS PAYABLE TO:
“JENNINGS CAPITAL INC.” OR “CORMARK SECURITIES INC.” 

DATED this ________day of __________________, 2007. 

	_________________________________________________	 	__________________________________________________
	(Name of Subscriber – please print) 	 	(Subscriber’s Residential or Head Office
      Address) 
	  	 	  
	by: ______________________________________________	 	__________________________________________________
	(Official Capacity or Title – please print) 	 	  
	  	 	
	_________________________________________________	 	__________________________________________________  
	Authorized Signature 	 	(Telephone Number) 
	  	 	  
	_________________________________________________	 	__________________________________________________
	Please print name of individual whose signature appears 	 	(Facsimile Number) 
	above if different than the name of the Subscriber printed
    	 	  
	above.) 	 	__________________________________________________
	  	 	(E-mail Address) 
	Please complete if the Subscriber is signing as an
      agent 	 	  
	for a Disclosed Principal and not deemed to be 	 	  
	purchasing as a principal under the applicable
      securities 	 	  
	legislation 	 	  
	  	 	  
	_________________________________________________	 	  
	Name of Disclosed Principal 	 	  
	  	 	  
	_________________________________________________	 	  
	Address of Disclosed Principal 	 	  
	  	 	  
	_________________________________________________	 	  
	Telephone number of Disclosed Principal 	 	  

- 2 -

	Registration Instructions (if other than in name
      of Subscriber): 		Delivery Instructions (if other than the
      address above): 
	 	 	 
	 	 	 
	Name 	 	Account reference, if applicable 
	 	 	 
	 	 	 
	Account reference, if applicable 	 	Contact Name 
	 	 	 
	 	 	 
	Address 	 	Address 
	  	 	  
	 	 	 
	  	 	Telephone Number 
	 	 	 
	 	 	 
	  	 	Facsimile Number 

Present Ownership of Securities 

The Subscriber or Disclosed Principal, as the case may be,
either [check appropriate box]: 

	[   ]	
      does not own, directly or indirectly, or exercise control
      or direction over, any common shares in the capital stock of the Issuer or
      securities convertible into common shares in the capital stock of the
      Issuer; or 

	 	
       

	[   ]	
      owns directly or indirectly, or exercises control or
      direction over, common shares in the capital stock of the Issuer and
      convertible securities entitling the Subscriber to acquire an additional
      common shares in the capital stock of the Issuer. 

Subscriber Status 

The Subscriber or Disclosed Principal, as the case may be,
either [check appropriate box]: 

	[   ]	is an “Insider” of the Issuer as
      defined in the Securities Act (British Columbia); or 
	 	 
	[   ]	is a member of the “Pro Group” as
      defined in Policy 1.1 of the TSX Venture Exchange; or 
	 	 
	[   ]	is not an Insider or member of
      the Pro Group. 

This subscription is accepted by Stockgroup Information Systems
Inc., subject to the Terms and Conditions attached as Schedule 1, this ______
day of _____________, 2007. 

STOCKGROUP INFORMATION SYSTEMS INC. 

Per: 

_______________________________________
Authorized Signatory

NOTE: The information collected herein will be used by the
Issuer in determining whether the Subscriber or any Disclosed Principal, if
applicable, meets the requirements for the applicable prospectus exemptions, for
making certain filings with the TSX Venture Exchange and other applicable
regulatory authorities and for meeting its requirements under securities
legislation with respect to the mailing of continuous disclosure materials of
the Issuer. By signing this subscription agreement, the Subscriber and any
Disclosed Principal for whom the Subscriber is acting hereby consents to the
collection and use of all of the Subscriber’s or the Disclosed Principal’s
personal information contained herein by the Issuer for the above referenced
purposes.

- 3 -

SCHEDULE 1 
TERMS AND CONDITIONS OF THE PRIVATE
PLACEMENT 

	1. 	
      INTERPRETATION

	 	 	 
	1.1 	
      In this Agreement, unless the context otherwise
      requires:

	 	 	 
		(a) 	
      “1933 Act” or “U.S. Securities Act” means the United
      States Securities Act of 1933, as amended;

	 	 	 
		(b) 	
      “1934 Act” means the United States Securities Exchange
      Act of 1934, as amended;

	 	 	 
		(c) 	
      “Accredited Investor” has the same meaning ascribed to
      that term in National Instrument 45-106;

	 	 	 
		(d) 	
      “Acts” means the Alberta Act, the B.C. Act and the
      Ontario Act, collectively;

	 	 	 
		(e) 	
      “Agreement” means this subscription agreement to be
      entered into between the Issuer and the Subscriber for the purchase of
      Common Shares and includes all schedules and appendices attached hereto,
      in each case as they may be amended or supplemented from time to
    time;

	 	 	 
		(f) 	
      “Alberta Act” means the Securities Act (Alberta),
      the regulations and rules made thereunder and all published instruments,
      policy statements, blanket orders, notices, directions and rulings issued
      or adopted by the Alberta Securities Commission, all as amended;

	 	 	 
		(g) 	
      “Authorities” has the meaning ascribed to it in
      subparagraph 4.1(f)(i);

	 	 	 
		(h) 	
      “B.C. Act” means the Securities Act (British
      Columbia), the regulations and rules made thereunder and all published
      instruments, policy statements, blanket orders, notices, directions and
      rulings issued or adopted by the British Columbia Securities Commission,
      all as amended;

	 	 	 
		(i) 	
      “BCI 72-503” means BC Instrument 72-503 of the British
      Columbia Securities Commission

	 	 	 
			
      Distributions of Securities Outside of British
      Columbia;

	 	 	 
		(j) 	
      “Closing” means the day the Subscriber’s Common Shares
      are issued to the Subscriber;

	 	 	 
		(k) 	
      “Commissions” means the provincial securities commission
      or other regulatory authority in each of British Columbia, Alberta and
      Ontario;

	 	 	 
		(l) 	
      “Common Shares” means the previously unissued common
      shares in the capital of the Issuer, as presently constituted;

	 	 	 
		(m) 	
      “Directed Selling Efforts” means “directed selling
      efforts” as defined in Regulation S;

	 	 	 
		(n) 	
      “Disclosed Principal” has the meaning ascribed to it in
      subparagraph 4.1(c)(ii);

	 	 	 
		(o) 	
      “Disclosure Record” has the meaning ascribed to it in
      subparagraph 5.1(e);

	 	 	 
		(p) 	
      “Exchange” means the TSX Venture Exchange;

	 	 	 
		(q) 	
      “Exemptions” means the exemptions from the prospectus
      requirements of the Acts which are outlined in Sections 2.3 and 2.10 of
      National Instrument 45-106, and BCI 72-503;

	 	 	 
		(r) 	
      “General Solicitation” or “General Advertising” means
      “general solicitation or general advertising”, as used under Rule 502(c)
      of Regulation D under the 1933 Act;

	 	 	 
		(s) 	
      “International Jurisdiction” has the meaning ascribed to
      it in subparagraph 4.1(f)(i);

- 4 -

	 	(t) 	
      “Issuer” means Stockgroup Information Systems
  Inc.;

	 	 	 
	 	(u) 	
      “National Instrument 45-106” means National Instrument
      45-106 Prospectus and Registration Exemptions published by the
      Canadian Securities Administrators;

	 	 	 
	 	(v) 	
      “Ontario Act” means the Securities Act (Ontario),
      the regulations and rules made thereunder and all published instruments,
      policy statements, blanket orders, notices, directions and rulings issued
      or adopted by the Ontario Securities Commission, all as amended;

	 	 	 
	 	(w) 	
      “Parties” or “Party” means the Subscriber, the Issuer or
      both, as the context requires;

	 	 	 
	 	(x) 	
      “Private Placement” means the offering of the Common
      Shares;

	 	 	 
	 	(y) 	
      "Registration Rights Agreement" means the Registration
      Rights Agreement attached hereto as Schedule "A";

	 	 	 
	 	(z) 	
      "Registration Statement" means the registration statement
      that the Issuer agrees to file with the SEC pursuant to the Registration
      Rights Agreement to register the Shares for resale pursuant to the terms
      of the Registration Rights Agreement;

	 	 	 
	 	(aa) 	
      “Regulation D” means Regulation D promulgated under the
      1933 Act;

	 	 	 
	 	(bb) 	
      “Regulation S” means Regulation S promulgated under the
      1933 Act;

	 	 	 
	 	(cc) 	
      “Regulatory Authorities” means the Commissions, the
      Exchange and the securities regulatory authorities in an International
      Jurisdiction;

	 	 	 
	 	(dd) 	
      "SEC" means the United States Securities and Exchange
      Commission;

	 	 	 
	 	(ee) 	
      “Subscriber” has the meaning ascribed to it on page
    1;

	 	 	 
	 	(ff) 	
      “Subscriber’s Common Shares” means those Common Shares
      which the Subscriber has agreed to purchase under this
Agreement;

	 	 	 
	 	(gg) 	
      “Subscription Proceeds” means the total gross proceeds
      from the sale of Common Shares under the Private Placement;

	 	 	 
	 	(hh) 	
      “Underwriters” means collectively Jennings Capital Inc.
      and Cormark Securities Inc.;

	 	 	 
	 	(ii) 	
      “Underwriting Agreement” means the underwriting agreement
      to be entered into between the Issuer and the Underwriters;

	 	 	 
	 	(jj) 	
      “United States” means the United States of America, its
      territories and possessions, any state of the United States and the
      District of Columbia;

	 	 	 
	 	(kk) 	
      “U.S. Accredited Investor” means an “accredited investor”
      as defined in Rule 501(a) under the 1933 Act;

	 	 	 
	 	(ll) 	
      “U.S. Person” has the meaning ascribed to it in
      Regulation S. Without limiting the foregoing, but for greater clarity in
      this Agreement, a U.S. Person includes, subject to the exclusions set
      forth in Regulation S, (i) any natural person resident in the United
      States, (ii) any partnership or corporation organized or incorporated
      under the laws of the United States, (iii) any estate or trust of which
      any executor, administrator or trustee is a U.S. Person, (iv) any
      discretionary account or similar account (other than an estate or trust)
      held by a dealer or other fiduciary organized, incorporated, or (if an
      individual) resident in the United States, and (v) any partnership
    or

- 5 -

	 		
      corporation organized or incorporated under the laws of
      any non-U.S. jurisdiction which is formed by a U.S. Person principally for
      the purpose of investing in securities not registered under the 1933 Act,
      unless it is organized or incorporated, and owned, by U.S. Accredited
      Investors who are not natural persons, estates or trusts;

	 	 	 
	 	(mm) 	
      “U.S. Placement Agent” means Jennings Capital (USA) Inc.;
      and

	 	 	 
	 	(nn) 	
      “U.S. Purchaser” is (a) any “U.S. Person” as defined in
      Regulation S under the United States Securities Act of 1933, (b) any
      person purchasing securities on behalf of any “U.S. Person” or any person
      in the United States, (c) any person that receives or received an offer of
      the securities while in the United States, or (d) any person that is in
      the United States at the time the subscriber’s buy order was made or this
      subscription agreement was executed or delivered.

1.2        Time is of the
essence of this Agreement and will be calculated in accordance with the
provisions of the Interpretation Act (British Columbia). 

1.3        This Agreement is
to be read with all changes in gender or number as required by the context. 

1.4        The headings in
this Agreement are for convenience of reference only and do not affect the
interpretation of this Agreement. 

1.5        Unless otherwise
indicated, all dollar amounts referred to in this Agreement are in lawful
currency of Canada. 

1.6        This Agreement,
any amendment, addendum or supplement hereto, and all other documents relating
hereto shall be governed by and construed in accordance with the internal laws
of the Province of British Columbia, and the federal laws of Canada applicable
therein, governing contracts made and to be performed wholly therein, and
without reference to its principles governing the choice or conflict of laws.
The parties hereto irrevocably attorn and submit to the exclusive jurisdiction
of the courts of the Province of British Columbia, sitting in the City of
Vancouver, with respect to any dispute related to or arising from this
Agreement.

2.        
 THE COMMON SHARES 

2.1        The Common Shares
will be issued and registered in the name of the Subscriber or its nominee. 

2.2        The issue of the
Common Shares will not restrict or prevent the Issuer from obtaining any other
financing or from issuing additional securities or rights. 

2.3        The Subscriber
understands that the Common Shares subscribed for hereunder constitute a portion
of the aggregate number of Common Shares which are being offered for sale
pursuant to the Private Placement. 

3.         
REPRESENTATIONS, WARRANTIES, COVENANTS AND ACKNOWLEDGEMENTS OF THE
SUBSCRIBER 

3.1        The Subscriber
acknowledges, represents, warrants and covenants to and with the Issuer, the
Underwriters and the U.S. Placement Agent that, as at the date given above and
at the Closing: 

	 	(a) 	
      no prospectus has been filed by the Issuer with any of
      the Commissions in connection with the issuance of the Common Shares, such
      issuance is exempted from the prospectus requirements of the Acts and
      that:

	 	 	 	 
	 		(i) 	
      the Subscriber and the Disclosed Principal, if
      applicable, are restricted from using most of the civil remedies available
      under the Acts;

- 6 -

	 	(ii) 	
      the Subscriber and the Disclosed Principal, if
      applicable, may not receive information that would otherwise be required
      to be provided to it under the Acts; and

	 	 	 
	 	(iii) 	
      the Issuer is relieved from certain obligations that
      would otherwise apply under the Acts;

	 	(b) 	
      the Subscriber certifies that it and, if applicable, the
      Disclosed Principal, is resident in the jurisdiction(s) set out under
      “Subscriber’s Residential or Head Office Address” or “Address of Disclosed
      Principal”, as applicable, on page one of this Agreement which address is
      the residence or principal place of business of the Subscriber, or
      Disclosed Principal, as the case may be, and that such address was not
      obtained or used solely for the purpose of acquiring the Subscriber’s
      Common Shares;

	 	 	 	 
	 	(c) 	
      the Subscriber is either:

	 	 	 	 
	 		(i) 	
      purchasing the Subscriber’s Common Shares as principal
      for its own account and not for the benefit of any other person or is
      deemed under the Acts to be purchasing the Subscriber’s Common Shares as
      principal, and in either case is purchasing the Subscriber’s Common Shares
      for investment only and not with a view to the resale or distribution of
      all or any of the Subscriber’s Common Shares; or

	 	 	 	 
	 		(ii) 	
      purchasing the Subscriber’s Common Shares as agent for a
      disclosed principal (the “Disclosed Principal”) and is not deemed under
      the Acts to be purchasing the Subscriber’s Common Shares as principal, and
      it is duly authorized to enter into this Agreement and to execute and
      deliver all documentation in connection with the purchase on behalf of
      such Disclosed Principal, who is purchasing as principal for its own
      account and not for the benefit of any other person and for investment
      only and not with a view to the resale or distribution of all or any of
      the Subscriber’s Common Shares and in its capacity as agent, the
      Subscriber is acting in compliance with all applicable securities and
      other laws;

	 	 	 	 
	 	(d) 	
      the Subscriber, if not a resident of Canada, certifies
      that neither it nor the Disclosed Principal, if applicable, is resident in
      Canada and acknowledges that:

	 	 	 	 
	 		(i) 	
      no securities commission or similar regulatory authority
      or other entity has reviewed or passed on the merits of the Common
      Shares;

	 	 	 	 
	 		(ii) 	
      there is no government or other insurance covering the
      Common Shares;

	 	 	 	 
	 		(iii) 	
      there are risks associated with the purchase of the
      Common Shares;

	 	 	 	 
	 		(iv) 	
      there are restrictions on the Subscriber’s or the
      Disclosed Principal’s ability to resell the Common Shares and it is the
      responsibility of the Subscriber or the Disclosed Principal to find out
      what those restrictions are and to comply with them before selling the
      Common Shares; and

	 	 	 	 
	 		(v) 	
      the Issuer has advised the Subscriber that the Issuer is
      relying on an Exemption from the requirements to provide the Subscriber
      with a prospectus and to sell securities through a person registered to
      sell securities under the B.C. Act and, as a consequence of acquiring
      Common Shares pursuant to such Exemption, certain protections, rights and
      remedies provided by the B.C. Act, including statutory rights of
      rescission or damages, will not be available to the Subscriber or the
      Disclosed Principal;

	 	 	 	 
	 	(e) 	
      if the Subscriber or the Disclosed Principal is resident
      in Canada, the Subscriber or the Disclosed Principal for which it is
      acting, as the case may be:

- 7 -

	 	(i) 	
      is an Accredited Investor, by virtue of the fact that the
      Subscriber or such Disclosed Principal, as the case may be, falls within
      one or more of the sub-paragraphs of the definition of Accredited Investor
      set out in Appendix II, (the Subscriber having checked the
      sub-paragraph(s) applicable to the Subscriber or such Disclosed Principal,
      as the case may be), and neither the Subscriber nor the Disclosed
      Principal has been created or is being used solely to purchase or hold the
      Common Shares as an Accredited Investor as described in subparagraph (m)
      of Appendix II; or

	 	 	 
	 	(ii) 	
      is purchasing sufficient Common Shares so that the
      aggregate acquisition cost of the Subscriber’s Common Shares to the
      Subscriber (or if the Subscriber is purchasing for a Disclosed Principal,
      to the Disclosed Principal) is not less than $150,000 paid in cash at the
      time of the issuance of the Common Shares, and the Subscriber or the
      Disclosed Principal was not created and is not being used solely to
      purchase or hold the Subscriber’s Common Shares in reliance on the
      prospectus exemption set out in section 2.10 of National Instrument
      45-106; or

	 	(f) 	
      if the Subscriber or the Disclosed Principal is resident
      outside of Canada and the United States, each of the Subscriber and the
      Disclosed Principal, if applicable:

	 	 	 	 	 
	 		(i) 	
      is knowledgeable of, or has been independently advised as
      to the applicable securities laws of the securities regulatory authorities
      (the “Authorities”) having application in the jurisdiction in which the
      Subscriber and the Disclosed Principal, if applicable, is resident (the
      “International Jurisdiction”) which would apply to the acquisition of the
      Subscriber’s Common Shares, if any;

	 	 	 	 	 
	 		(ii) 	
      is purchasing the Subscriber’s Common Shares pursuant to
      exemptions from the prospectus and registration requirements under the
      applicable securities laws of the Authorities in the International
      Jurisdiction or, if such is not applicable, the Subscriber, and the
      Disclosed Principal, if applicable, is permitted to purchase the
      Subscriber’s Common Shares under the applicable securities laws of the
      Authorities in the International Jurisdiction without the need to rely on
      any exemption;

	 	 	 	 	 
	 		(iii) 	
      confirms that the applicable securities laws of the
      Authorities in the International Jurisdiction do not require the Issuer to
      make any filings or seek any approvals of any nature whatsoever from any
      Authority of any kind whatsoever in the International Jurisdiction in
      connection with the issue and sale or resale of the Subscriber’s Common
      Shares; and

	 	 	 	 	 
	 		(iv) 	
      confirms that the purchase of the Subscriber’s Common
      Shares by the Subscriber does not trigger:

	 	 	 	 	 
	 			(A) 	
      an obligation to prepare and file a registration
      statement, prospectus or similar document, or any other report with
      respect to such purchase in the International Jurisdiction; or

	 	 	 	 	 
	 			(B) 	
      continuous disclosure reporting obligations of the Issuer
      in the International Jurisdiction; and

the Subscriber will, if requested by
the Issuer, deliver to the Issuer, a certificate or opinion of local counsel
from the International Jurisdiction which confirms the matters referred to in
(ii), (iii) and (iv) above to the satisfaction of the Issuer, acting reasonably,
and comply with such other requirements as the Issuer may reasonably require;

- 8 -

		
      (g) 
	
      (i) 
	
      unless the Subscriber has completed and delivered the
      U.S. Accredited Investor Certificate attached as Appendix III hereto (in
      which case the Subscriber makes the representations, warranties and
      covenants therein): 

	 	(A) 	
      neither the Subscriber nor Disclosed Principal, if any,
      is a U.S. Person or is purchasing the Common Shares for the account or
      benefit of, a U.S. Person or a person in the United States;

	 	 	 	 
	 	(B) 	
      the offer to purchase the Subscriber’s Common Shares was
      not made to the Subscriber or Disclosed Principal, if any, in the United
      States;

	 	 	 	 
	 	(C) 	
      at the time the Subscriber’s subscription for Common
      Shares was executed and delivered to the Issuer, the Subscriber (or the
      Subscriber’s authorized signatory, if it is an entity) was outside the
      United States;

	 	 	 	 
	 	(D) 	
      the current structure of this transaction and all
      transactions and activities contemplated hereunder is not a scheme to
      avoid the registration requirements of the 1933 Act;

	 	 	 	 
	 	(E) 	
      it undertakes and agrees that it will not offer or sell
      the Common Shares in the United States unless such securities are
      registered under the 1933 Act and the securities laws of all applicable
      states of the United States or an exemption from such registration
      requirements is available, and further that it will not resell the Shares
      except in accordance with the provisions of applicable securities
      legislation, regulations, rules, policies and orders and stock exchange
      rules;

	 	 	 	 
	 	(F) 	
      it will not engage in hedging transactions with regard to
      the Shares unless conducted in compliance with the 1933 Act;

	 	 	 	 
	 	(G) 	
      it acknowledges that the Corporation will refuse to
      register any transfer of any of the Shares not made in accordance with the
      provisions of Regulation S under the 1933 Act, pursuant to registration
      under the 1933 Act, or pursuant to an available exemption from
      registration under the 1933 Act;

	 	 	 	 
	 	(H) 	
      the Common Shares have not been registered under the 1933
      Act and are "restricted securities" as defined under Rule 144 and may be
      resold only if:

	 	 	 	 
	 		(1) 	
      the sale is to the Issuer;

	 	 	 	 
	 		(2) 	
      the sale is made outside the United States in a
      transaction meeting the requirements of Rule 904 of Regulation S (or such
      successor rule or regulation then in effect), if available, and in
      compliance with applicable state securities laws;

	 	 	 	 
	 		(3) 	
      the sale is made pursuant to an exemption from the
      registration requirements under the 1933 Act provided by Rule 144
      thereunder, if available, and in accordance with any applicable state
      securities laws;

	 	 	 	 
	 		(4) 	
      the sale is a transaction that does not require
      registration under the 1933 Act or any applicable state securities laws,
      and it has prior to such sale furnished to the Issuer an opinion of
      counsel to that effect reasonably satisfactory to the Issuer; or

	 	 	 	 
	 		(5) 	
      the sale is pursuant to an effective registration
      statement under the 1933 Act;

- 9 -

	 	(I) 	
      while the Issuer has agreed to file the Registration
      Statement (as described in the Registration Rights Agreement) and cause it
      to be declared effective by the SEC, there is no assurance that the Issuer
      will be able to cause the Registration Statement to be declared effective
      by the SEC, and if the Registration Statement is not declared effective by
      the SEC, the Common Shares may not be resold by the Subscriber, except
      pursuant to an exemption contained under applicable securities laws, which
      may not be available, and if the Registration Statement is not declared
      effective, the Common Shares remain “restricted securities” under the 1933
      Act;

	 	 	 
	 	(J) 	
      for the period under the 1933 Act when the Common Shares
      are “restricted securities” as defined in Rule 144 under the 1933 Act,
      each certificate representing such security shall bear the following
      legend:

THE SECURITIES REPRESENTED HEREBY HAVE
NOT BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF
1933, AS AMENDED (THE “1933 ACT”). THESE SECURITIES MAY BE OFFERED, SOLD,
PLEDGED OR OTHERWISE TRANSFERRED ONLY (A) TO THE COMPANY, (B) OUTSIDE THE UNITED
STATES IN COMPLIANCE WITH REGULATION S UNDER THE 1933 ACT, (C) IN COMPLIANCE
WITH THE EXEMPTION FROM THE REGISTRATION REQUIREMENTS UNDER THE 1933 ACT
PROVIDED BY RULE 144 THEREUNDER, IF AVAILABLE, AND IN ACCORDANCE WITH APPLICABLE
STATE SECURITIES LAWS, OR (D) IN A TRANSACTION THAT DOES NOT REQUIRE
REGISTRATION UNDER THE 1933 ACT OR ANY APPLICABLE STATE LAWS, AND THE HOLDER
HAS, PRIOR TO SUCH SALE, FURNISHED TO THE COMPANY AN OPINION OF COUNSEL OR OTHER
EVIDENCE OF EXEMPTION, IN EITHER CASE REASONABLY SATISFACTORY TO THE COMPANY.
DELIVERY OF THIS CERTIFICATE MAY NOT CONSTITUTE “GOOD DELIVERY” IN SETTLEMENT OF
TRANSACTIONS ON STOCK EXCHANGES IN CANADA.

THE HOLDER HEREOF WILL NOT, DIRECTLY
OR INDIRECTLY, ENGAGE IN ANY HEDGING TRANSACTION WITH REGARD TO THIS SECURITY,
EXCEPT AS PERMITTED BY THE 1933 ACT. 

	 	(K) 	
      it acknowledges that it has been advised to consult its
      own legal advisors with respect to applicable resale restrictions and that
      it is solely responsible (and the Issuer is not in any manner responsible)
      for complying with such restrictions;

	 	(ii) 	
      the Subscriber and the Disclosed Principal, as the case
      may be, acknowledges that the Common Shares have not been registered under
      the 1933 Act or the securities laws of any state of the United States,
      that the Common Shares may not be offered or sold, directly or indirectly,
      in the United States or to a U.S. Person except pursuant to registration
      under the 1933 Act and the securities laws of all applicable states or
      available exemptions therefrom, and the Issuer has no obligation or
      present intention of filing a registration statement under the 1933 Act in
      respect of any of the Common Shares, and they are not purchasing the
      Common Shares as a result of and have not engaged in any Directed Selling
      Efforts;

	 	 	 
	 	(iii) 	
      the Subscriber and the Disclosed Principal, if
      applicable, will not offer, sell or otherwise transfer any of the Common
      Shares in the United States or to, or for the benefit
or

- 10 -

	 		
      account of, a U.S. Person except pursuant to registration
      under the 1933 Act and the securities laws of all applicable states or
      available exemptions therefrom; and

	 	 	 
	 	(iv) 	
      the Subscriber and the Disclosed Principal, if
      applicable, has not purchased the Common Shares as a result of any form of
      General Solicitation or General Advertising, and the sale of the Common
      Shares was not accompanied by any advertisement in printed media of
      general and regular paid circulation including printed public media,
      articles, notices or other communications published in any newspaper,
      magazine or similar media or broadcast over radio, television or
      telecommunications, including electronic display and the Internet or any
      seminar or meeting whose attendees have been invited by General
      Solicitation or General Advertising;

	 	(h) 	
      no person has made to the Subscriber or the Disclosed
      Principal, if applicable, any written or oral representations:

	 	 	 	 
	 		(i) 	
      that any person will resell or repurchase any of the
      Common Shares;

	 	 	 	 
	 		(ii) 	
      that any person will refund the purchase price of any of
      the Common Shares;

	 	 	 	 
	 		(iii) 	
      as to the future price or value of any of the Common
      Shares; or

	 	 	 	 
	 		(iv) 	
      that any of the Common Shares will be listed and posted
      for trading on a stock exchange or that application has been made to list
      and post any of the Common Shares for trading on a stock exchange, other
      than the Shares and the Warrant Shares on the Exchange;

	 	 	 	 
	 	(i) 	
      the Subscriber or the Disclosed Principal, as the case
      may be, is not and will not become a “control person” by virtue of the
      purchase of the Subscriber’s Common Shares, and does not intend to act in
      concert with any other person to form a control group of the
  Issuer;

	 	 	 	 
	 	(j) 	
      this subscription has not been solicited in any other
      manner contrary to the Acts or the 1933 Act and the Subscriber
      acknowledges that the Subscriber will not receive an offering memorandum
      or other disclosure document in respect of the Issuer or the Private
      Placement;

	 	 	 	 
	 	(k) 	
      neither the Subscriber nor the Disclosed Principal, if
      applicable, has knowledge of a “material fact” or “material change” (as
      those terms are defined in the Acts) in the affairs of the Issuer that has
      not been generally disclosed to the public, save knowledge of this
      particular transaction;

	 	 	 	 
	 	(l) 	
      the Subscriber’s decision to tender this offer and
      purchase the Subscriber’s Common Shares has not been made as a result of
      any verbal or written representation as to fact or otherwise made by or on
      behalf of the Issuer, the Underwriters, the U.S. Placement Agent or any
      other person and is based entirely upon this Agreement and currently
      available public information concerning the Issuer;

	 	 	 	 
	 	(m) 	
      the Underwriters and the U.S. Placement Agent assume no
      responsibility or liability of any nature whatsoever for the accuracy or
      adequacy of any publicly available information concerning the Issuer, or
      as to whether or not all information concerning the Issuer required to be
      disclosed by it has been generally disclosed;

	 	 	 	 
	 	(n) 	
      neither the Underwriters nor the U.S. Placement Agent
      have, in connection with the Private Placement, engaged in or conducted
      any independent investigation with respect to the Issuer, or any
      information made, or required to be made, publicly available by the
      Issuer;

	 	 	 	 
	 	(o) 	
      the Issuer will have the right to accept this
      subscription offer in whole or in part and the acceptance of this
      subscription offer will be conditional upon the sale of the Subscriber’s
      Common

- 11 -

	 		
      Shares to the Subscriber or the Disclosed Principal, as
      the case may be, being exempt from the prospectus and registration
      requirements under applicable relevant securities legislation;

	 	 	 
	 	(p) 	
      the Subscriber has the legal capacity and competence to
      enter into and execute this Agreement and to take all actions required
      pursuant hereto and, if an individual is of full age of majority, and if
      the Subscriber is a corporation it is duly incorporated and validly
      subsisting under the laws of its jurisdiction of incorporation, and all
      necessary approvals by its directors, shareholders and others have been
      given to authorize the execution of this Agreement on behalf of the
      Subscriber;

	 	 	 
	 	(q) 	
      the entering into of this Agreement and the transactions
      contemplated hereby will not result in the violation of any of the terms
      and provisions of any law applicable to, or the constating documents of,
      the Subscriber or the Disclosed Principal, if applicable, or of any
      agreement, written or oral, to which the Subscriber, or the Disclosed
      Principal, if applicable, may be a party or by which it is or may be
      bound;

	 	 	 
	 	(r) 	
      this Agreement has been duly executed and delivered by
      the Subscriber and constitutes a legal, valid and binding obligation of
      the Subscriber enforceable against the Subscriber and, if applicable, the
      Disclosed Principal;

	 	 	 
	 	(s) 	
      the Subscriber or the Disclosed Principal, if applicable,
      has been advised to consult its own legal advisors with respect to the
      applicable hold periods imposed in respect of the Common Shares by
      applicable securities legislation and regulatory policies and confirms
      that no representations by the Issuer or the Underwriters has been made
      respecting the hold periods applicable to the Common Shares, and the
      Subscriber or the Disclosed Principal, as the case may be, is solely
      responsible (and neither the Issuer nor the Underwriters are responsible)
      for compliance with the applicable resale restrictions;

	 	 	 
	 	(t) 	
      the Subscriber and, if applicable, the Disclosed
      Principal are aware of the risks and other characteristics of the Common
      Shares and of the fact that the Subscriber and, if applicable, the
      Disclosed Principal, may not be able to resell the Common Shares purchased
      by it except in accordance with the applicable securities legislation and
      regulatory policies and that the Common Shares may be subject to resale
      restrictions and may bear a legend to this effect;

	 	 	 
	 	(u) 	
      if required by applicable securities legislation, policy
      or order or by any securities commission, stock exchange or other
      regulatory authority, the Subscriber and, if applicable, the Disclosed
      Principal, will execute, deliver, file and otherwise assist the Issuer in
      filing, such reports, undertakings and other documents with respect to the
      issue of the Common Shares as may be required;

	 	 	 
	 	(v) 	
      the Subscriber acknowledges that, the Underwriters will
      receive a commission from the Issuer equal to 6.0% of the gross proceeds
      from the sale of Common Shares sold under the Private Placement, payable
      in cash;

	 	 	 
	 	(w) 	
      the Subscriber and, if applicable, the Disclosed
      Principal, have such knowledge in financial and business affairs as to be
      capable of evaluating the merits and risks of its investment and is able
      to bear the economic risk of loss of its investment;

	 	 	 
	 	(x) 	
      the Subscriber and, if applicable, the Disclosed
      Principal, has not received, nor has it requested, nor does it have any
      need to receive, any offering memorandum or any other document from the
      Issuer describing the business and affairs of the Issuer;

	 	 	 
	 	(y) 	
      the Subscriber, or, if applicable, the Disclosed
      Principal, if a corporation or other non-individual entity, has previously
      filed with the Exchange a Form 4C, Corporate Placee Registration Form, and
      represents and warrants that there has been no change to any of the
      information in the Corporate Placee Registration Form previously filed
      with the Exchange up to the date of this

- 12 -

	 		
      Agreement, or will deliver a completed Form 4C, Corporate
      Placee Registration Form in the form attached hereto as Appendix I to the
      Issuer in accordance with Section 7.2 of this Agreement;

	 	 	 
	 	(z) 	
      the funds representing the aggregate subscription price
      for the Subscriber’s Common Shares which will be advanced by the
      Subscriber hereunder will not represent proceeds of crime for the purposes
      of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act
      (Canada) (the “Proceeds of Crime Act”) and the Subscriber acknowledges
      that the Issuer may in the future be required by law to disclose the
      Subscriber’s name and other information relating to this Agreement and the
      Subscriber’s subscription hereunder, on a confidential basis, pursuant to
      the Proceeds of Crime Act. To the best of its knowledge: (a) none of the
      subscription funds to be provided by the Subscriber (i) have been or will
      be derived from or related to any activity that is deemed criminal under
      the law of Canada, the United States of America, or any other
      jurisdiction, or (ii) are being tendered on behalf of a person or entity
      who has not been identified to the Subscriber; and (b) the Subscriber
      shall promptly notify the Issuer if the Subscriber discovers that any of
      such representations ceases to be true, and to provide the Issuer with
      appropriate information in connection therewith;

	 	 	 
	 	(aa) 	
      the Subscriber agrees that the Issuer and the
      Underwriters may be required by law or otherwise to disclose to regulatory
      authorities the identity of the Subscriber and, if applicable, the
      beneficial purchaser for whom the Subscriber may be acting; and

	 	 	 
	 	(bb) 	
      the Subscriber agrees that the above representations,
      warranties, covenants and acknowledgements in this subsection will be true
      and correct both as of the execution of this subscription and as of the
      day of Closing.

3.2        The
representations, warranties, covenants and acknowledgements set forth herein
and, if applicable, in the U.S. Accredited Investor Certificate attached as
Appendix III hereto are made by the Subscriber on its own behalf and on behalf
of the Disclosed Principal, if applicable, with the intent that they be relied
upon by the Issuer, the Underwriters and the U.S. Placement Agent in determining
its suitability, and the suitability of the Disclosed Principal, as applicable,
as a purchaser of Common Shares, and the Subscriber hereby agrees to indemnify
the Issuer, the Underwriters and the U.S. Placement Agent, and their
representatives, directors, officers, employees and agents from and against all
losses, claims, costs, expenses and damages or liabilities which any of them may
suffer or incur as a result of reliance thereon. The Subscriber undertakes to
notify the Issuer and the Underwriters immediately of any change in any
representation, warranty or other information relating to the Subscriber or the
Disclosed Principal, as applicable, set forth herein and, if applicable, in the
U.S. Accredited Investor Certificate attached as Appendix III hereto, which
takes place prior to the Closing. 

3.3        The Issuer will
obtain and hold the right and benefit of this section in trust for and behalf of
itself and the Underwriters and the U.S. Placement Agent. 

	4. 	
      REPRESENTATIONS, WARRANTIES AND COVENANTS OF THE
      ISSUER

	 	 	 
	4.1 	
      The Issuer represents, warrants and covenants that, as of
      the date given above and at the Closing:

	 	 	 
		(a) 	
      the Issuer is a valid and subsisting corporation
      incorporated and in good standing under the laws of the State of
      Colorado;

	 	 	 
		(b) 	
      the Issuer is duly registered and licensed to carry on
      business in the jurisdictions in which it carries on business or owns
      property where required under the laws of that jurisdiction;

	 	 	 
		(c) 	
      the authorized capital of the Issuer consists of an
      unlimited number of common shares, of which as of February 28, 2007,
      36,971,788 common shares are issued and outstanding and the outstanding
      shares of the Issuer are fully paid and
non-assessable;

- 13 -

	 	(d) 	
      the Issuer will reserve or set aside sufficient shares in
      its treasury to issue the Common Shares and upon their issuance, the
      Common Shares will be duly and validly issued as fully paid and non-
      assessable;

	 	 	 
	 	(e) 	
      except as qualified by the disclosure in all
      prospectuses, financial statements, information circulars, annual
      information forms, press releases and material change reports (the
      “Disclosure Record”) filed with any of the Commissions, the Issuer is the
      beneficial owner of the properties, business and assets or the interests
      in the properties, business or assets referred to in the Disclosure
      Record, all agreements by which the Issuer holds an interest in a
      property, business or assets are in good standing according to their terms
      and the properties in which the Issuer holds an interest are in good
      standing under the applicable laws of the jurisdictions in which they are
      situated;

	 	 	 
	 	(f) 	
      the financial statements of the Issuer contained in the
      Disclosure Record, filed with any of the Commissions have all been
      prepared in accordance with Canadian generally accepted accounting
      principles, accurately reflect the financial position and all material
      liabilities (accrued, absolute, contingent or otherwise) of the Issuer as
      of the date thereof, and no adverse material changes in the financial
      position of the Issuer have taken place since the date thereof;

	 	 	 
	 	(g) 	
      the Issuer has complied and will comply fully with the
      requirements of all applicable corporate and securities laws and
      administrative policies and directions, including, without limitation, the
      Acts and the Colorado Corporation Code in relation to the issue and
      trading of its securities and in all matters relating to the Private
      Placement;

	 	 	 
	 	(h) 	
      there is not presently, and will not be until the closing
      of the Private Placement, any material change, as defined in the Acts,
      relating to the Issuer or change in any material fact, as defined in the
      Acts, relating to any of the Common Shares which has not been or will not
      be fully disclosed in accordance with the requirements of the Acts and the
      policies of the Exchange;

	 	 	 
	 	(i) 	
      the issue and sale of the Common Shares by the Issuer
      does not and will not conflict with, and does not and will not result in a
      breach of, any of the terms of the Issuer’s incorporating documents or any
      agreement or instrument to which the Issuer is a party or by which it is
      bound;

	 	 	 
	 	(j) 	
      neither the Issuer nor its subsidiaries is a party to any
      actions, suits or proceedings which could materially affect its respective
      business or financial condition, and to the best of the Issuer’s knowledge
      no such actions, suits or proceedings are contemplated or have been
      threatened;

	 	 	 
	 	(k) 	
      there are no judgments against the Issuer or its
      subsidiaries which are unsatisfied, nor is the Issuer or its subsidiaries
      subject to any consent decrees or injunctions;

	 	 	 
	 	(l) 	
      this Agreement has been or will be by the Closing, duly
      authorized by all necessary corporate action on the part of the Issuer,
      and the Issuer has or will have by the Closing full corporate power and
      authority to undertake the Private Placement;

	 	 	 
	 	(m) 	
      the Issuer is not in material default of any of the
      requirements of the Acts or any of the administrative policies or notices
      of the Exchange;

	 	 	 
	 	(n) 	
      no order ceasing or suspending trading in securities of
      the Issuer nor prohibiting the sale of such securities has been issued to
      and is outstanding against the Issuer or its directors, officers or
      promoters or against any other companies that have common directors,
      officers or promoters and no investigations or proceedings for such
      purposes are pending or threatened;

	 	 	 
	 	(o) 	
      except for as provided in the Disclosure Record, no
      person has any right, agreement or option, present or future, contingent
      or absolute, or any right capable of becoming such a right, agreement or
      option, for the issue or allotment of any unissued shares in the capital
      of the Issuer or its subsidiaries, or any other security convertible into
      or exchangeable for any such shares, or to

- 14 -

	 		
      require the Issuer or its subsidiaries to purchase,
      redeem or otherwise acquire any of the issued and outstanding shares in
      its capital;

	 	 	 
	 	(p) 	
      the Issuer and its subsidiaries, if any, have filed all
      federal, provincial, local and foreign tax returns which are required to
      be filed, or have requested extensions thereof, and have paid all taxes
      required to be paid by them and any other assessment, fine or penalty
      levied against them, to the extent that any of the foregoing is due and
      payable, except for such assessments, fines and penalties which are
      currently being contested in good faith;

	 	 	 
	 	(q) 	
      the Issuer has established on its books and records
      reserves which are adequate for the payment of all taxes not yet due and
      payable and there are no liens for taxes on the assets of the Issuer or
      its subsidiaries except for taxes not yet due, and there are no audits of
      any of the tax returns of the Issuer which are known by the Issuer’s
      management to be pending, and there are no claims which have been or may
      be asserted relating to any such tax returns which, if determined
      adversely, would result in the assertion by any governmental agency of any
      deficiency which would have a material adverse effect on the properties,
      business or assets of the Issuer.

	 	 	 
	 	(r) 	
      the Issuer is a reporting issuer in British Columbia,
      Alberta and Ontario, and the common shares of the Issuer are listed for
      trading on the Exchange and the Issuer is in material compliance with the
      rules and regulations of such body;

	 	 	 
	 	(s) 	
      the Issuer is not an “investment company” within the
      meaning of the Investment Company Act of 1940 (United States);

	 	 	 
	 	(t) 	
      neither the Issuer nor any of its affiliates, nor any
      person acting on its or their behalf (i) has made or will make any
      “directed selling efforts” (as such term is defined in Regulation S of the
      1933 Act) in the United States, or (ii) has engaged in or will engage in
      any form of General Solicitation or General Advertising in the United
      States with respect to offers or sales of the Common Shares;

	 	 	 
	 	(u) 	
      the Issuer has not, for a period of six months prior to
      the date hereof, sold, offered for sale or solicited any offer to buy any
      of its securities in a manner that would be integrated with the offer and
      sale of the Common Shares and would cause the exemption from registration
      set forth in Rule 506 of Regulation D or Rule 903 of Regulation S of the
      1933 Act to become unavailable with respect to the offer and sale of the
      Common Shares; and

	 	 	 
	 	(v) 	
      the Issuer is a “domestic issuer” (as such term is
      defined in Regulation S of the 1933 Act);

	 	 	 
	 	(w) 	
      the Issuer is a "reporting issuer" under section 12 of
      the 1934 Act and is not in default of any of the requirements of the 1934
      Act; and

	 	 	 
	 	(x) 	
      the Issuer will use all reasonable efforts to file, as
      required, the Registration Statement within the time period set forth in
      the Registration Rights Agreement.

4.2        The
representations and warranties contained in this section will survive the
Closing for a period of six months. 

4.3        By its acceptance
of this offer, the Issuer confirms that the Subscriber will have the benefit of
all of the representations, warranties, covenants and conditions provided to or
for the benefit of the Underwriters under the Underwriting Agreement as if such
representations, warranties, covenants and conditions were made directly to the
Subscriber under this Subscription Agreement and the Issuer acknowledges that
the Subscriber has relied on the representations and warranties contained in the
Underwriting Agreement. 

4.4        The Issuer shall
indemnify, defend and hold the Subscriber (which term shall, for the purposes of
this section, include the Subscriber or its shareholders, managers, partners,
directors, officers, members, employees, direct or indirect investors, agents
and affiliates and assignees and the stockholders, partners, directors, members,

- 15 -

managers, officers, employees, direct or indirect investors and
agents of such affiliates and assignees) harmless against any and all
liabilities, loss, cost or damage, together with all reasonable costs and
expenses related thereto (including reasonable legal and accounting fees and
expenses), arising from, relating to, or connected with the untruth, inaccuracy
or breach of any statement, representation, warranty or covenant of the Issuer
contained herein. 

5.         
WITHDRAWAL OF SUBSCRIPTION 

5.1        The Subscriber
reserves the right to withdraw this subscription and to terminate its
obligations hereunder at any time before the Closing if any of the Underwriters
terminates its obligations with respect to the Private Placement under the
Underwriting Agreement and hereby appoints the Underwriters as its agent for the
purpose of notifying the Issuer of the withdrawal or termination of this
subscription. 

6.         
CLOSING 

6.1        The Closing will
take place as contemplated in the Underwriting Agreement provided however that
the subscription proceeds paid by the Subscriber to the Underwriters will be
held in trust pending the Closing, and if the Closing does not occur on or
before May 15, 2007 or such later date as agreed to by the Issuer and the
Underwriters, the subscription proceeds will be returned to the Subscriber
without interest or deduction.

6.2        Upon execution of
this Agreement, the Subscriber will deliver to one of the Underwriters: 

	 	(a) 	
      this Agreement, duly executed and completed;

	 	 	 
	 	(b) 	
      a certified cheque or bank draft for the total price of
      the Subscriber’s Common Shares made payable to one of the
    Underwriters;

	 	 	 
	 	(c) 	
      if the Subscriber or, if applicable, the Disclosed
      Principal, as the case may be, is not an individual, a fully executed
      Corporate Placee Registration Form in the form set out in Appendix I,
      unless the Subscriber or, if applicable, the Disclosed Principal has
      previously filed such a form with the Exchange and such form is still
      current and accurate;

	 	 	 
	 	(d) 	
      if the Subscriber or, if applicable, the Disclosed
      Principal, as the case may be, is an “Accredited Investor”, a fully
      executed and completed Accredited Investor Questionnaire, in the form set
      out in Appendix II, unless the Subscriber is purchasing Common Shares
      having an aggregate purchase price of not less than $150,000;

	 	 	 
	 	(e) 	
      if the Subscriber is in the United States, is a U.S.
      Purchaser, a fully executed and completed U.S. Accredited Investor
      Certificate, in the form set out in Appendix III; and

	 	 	 
	 	(f) 	
      any further documentation as required under securities
      legislation or by any applicable stock exchange or other regulatory
      authority and the Subscriber covenants and agrees to do so upon request by
      the Issuer.

6.3        At Closing the
Issuer will deliver to the Underwriters the certificate(s) representing the
Shares and Warrants comprising the Subscriber’s Common Shares registered in the
name of the Subscriber or its nominee. 

6.4        The Subscriber
acknowledges that the Private Placement may be completed at one or more partial
closings in the discretion of the Issuer and the Underwriters and that the
Closing as contemplated in this Agreement may be effected at one or more of such
partial closings. 

6.5        Upon completion
of the Closing, the Issuer is irrevocably entitled to the Subscription Proceeds,
subject to the rights of the Subscriber under this Agreement and any applicable
laws. 

6.6        The Subscriber,
or the Disclosed Principal, if applicable, hereby irrevocably authorizes the
Underwriters in their sole discretion, acting reasonably: 

- 16 -

	 	(a) 	
      to act as the Subscriber’s representative at the Closing,
      to receive the certificates representing the Subscriber’s Common Shares
      and to execute in its name and on its behalf all closing receipts and any
      documents required; and

	 	 	 
	 	(b) 	
      to waive, in whole or in part, any representations,
      warranties, covenants or conditions for the benefit of the Subscriber
      contained herein or in any agreement or document ancillary or related
      thereto and as contemplated by section 10.1 to complete any such Appendix
      or ancillary document and to correct patent errors regarding the
      Subscriber’s completion of any of the documents.

7.         
RESALE RESTRICTIONS 

7.1        The Subscriber
understands and acknowledges that the Common Shares will be subject to certain
resale restrictions under the Acts and the Exchange’s policies, the terms of
which may be endorsed on the certificates representing such Common Shares, and
the Subscriber agrees to comply with such resale restrictions. The Subscriber
also acknowledges that it has been advised to consult its own independent legal
advisor with respect to the applicable resale restrictions and the Subscriber
or, if applicable, the Disclosed Principal is solely responsible for complying
with such restrictions and neither the Issuer nor the Underwriters is
responsible for ensuring compliance by the Subscriber or, if applicable, the
Disclosed Principal with the applicable resale restrictions. 

8.         
USE OF PERSONAL INFORMATION 

8.1        The Subscriber
hereby acknowledges, authorizes and consents to: (i) the collection by the
Issuer of the Subscriber’s (and any beneficial Purchaser’s) Personal Information
for the purpose of completing the Subscriber’s subscription and retaining said
information for as long as permitted or required by applicable law; (ii) the
disclosure by the Underwriters and the Issuer of Personal Information concerning
the Subscriber to the Commissions or any other regulatory authority (under the
authority granted by securities legislation, where applicable), or to the TSX
Venture Exchange Inc. and its affiliates, authorized agents, subsidiaries and
divisions, including the TSX Venture Exchange (collectively referred to in this
section as “the Securities Authorities”); and (iii) the indirect collection, use
and disclosure of Personal Information by the Securities Authorities for the
following purposes (or as otherwise identified by the Securities Authorities,
from time to time): 

	 	(a) 	
      to conduct background checks;

	 	 	 
	 	(b) 	
      to verify the Personal Information that has been provided
      about the Subscriber;

	 	 	 
	 	(c) 	
      to consider the suitability of the Subscriber as a holder
      of securities of the Issuer;

	 	 	 
	 	(d) 	
      to consider the eligibility of the Issuer to continue to
      list on the Exchange;

	 	 	 
	 	(e) 	
      to provide disclosure to market participants as to the
      security holdings of the Issuer’s shareholders, and their involvement with
      any other reporting issuers, issuers subject to a cease trade order or
      bankruptcy, and information respecting penalties, sanctions or personal
      bankruptcies, and possible conflicts of interest with the
Issuer;

	 	 	 
	 	(f) 	
      to detect and prevent fraud;

	 	 	 
	 	(g) 	
      to conduct enforcement proceedings or otherwise
      administer and enforce securities legislation; and

	 	 	 
	 	(h) 	
      to perform other investigations as required by and to
      ensure compliance with all applicable rules, policies, rulings and
      regulations of the Securities Authorities, securities legislation and
      other legal and regulatory requirements governing the conduct and
      protection of the public markets in Canada,

and the Subscriber represents and warrants that it has the
authority to provide the consent and acknowledgement set out in this paragraph
on behalf of all beneficial purchasers. 

- 17 -

8.2        The Subscriber
also acknowledges that: (i) the Exchange also collects additional Personal
Information from other sources, including securities regulatory authorities in
Canada or elsewhere, investigative law enforcement or self-regulatory
organizations, and regulations service providers to ensure that the purposes set
forth above can be accomplished; (ii) the Personal Information the Exchange
collects may also be disclosed to the agencies and organizations referred to
above or as otherwise permitted or required by law, and they may use it in their
own investigations for the purposes described above; (iii) the Personal
Information may be disclosed on the Exchange’s website or through printed
materials published by or pursuant to the direction of the Exchange; and (iv)
the Exchange may from time to time use third parties to process information and
provide other administrative services, and may share the information with such
providers. 

8.3        The public
official who can answer questions about the Ontario Securities Commission’s
indirect collection of Personal Information is the Administrative Assistant to
the Director of Corporate Finance, Ontario Securities Commission, Suite 1903,
Box 55, 20 Queen Street West, Toronto, Ontario, M5H 3S8, Telephone 416-593-8086.

8.4        Herein, “Personal
Information” means any information about the Subscriber required to be disclosed
to a Commission or the Exchange, whether pursuant to a Commission or Exchange
form or a request made by a Commission or the Exchange, including the Corporate
Placee Registration Form attached hereto as Appendix I. 

9.         
MISCELLANEOUS 

9.1        The Subscriber
hereby authorizes any of the Underwriters, acting reasonably, to correct any
errors in, or complete any minor information missing from this Agreement, the
Corporate Placee Registration Form (Appendix I), or the Accredited Investor
Questionnaire (Appendix II), or the U.S. Accredited Investor Certificate
(Appendix III) which have been executed by the Subscriber and delivered to the
Underwriters. The Subscriber consents to the filing of such documents and any
other documents as may be required to be filed with any stock exchange or
securities regulatory authority in connection with the Private Placement. 

9.2        Without
limitation, this subscription and the transactions contemplated hereby are
conditional upon and subject to the Issuer receiving the Exchange’s acceptance
of this subscription and the transactions contemplated hereby. 

9.3        This Agreement,
which includes any interest granted or right arising under this Agreement, may
not be assigned or transferred. 

9.4        Except as
expressly provided in this Agreement and in the agreements, instruments and
other documents contemplated or provided for herein, this Agreement contains the
entire agreement between the Parties with respect to the Common Shares and there
are no other terms, conditions, representations or warranties whether expressed,
implied, oral or written, by statute, by common law, by the Issuer, by the
Underwriters, or by anyone else. 

9.5        Subject to
section 10.1, the Parties may amend this Agreement only in writing. 

9.6        This Agreement
enures to the benefit of and is binding upon the Parties and, as the case may
be, their respective heirs, executors, administrators and successors. 

9.7        A Party will give
all notices or other written communications to the other Party concerning this
Agreement by hand or by registered mail addressed to such other Party’s
respective address which is noted on page 1 of this Agreement. 

9.8        This Agreement
may be executed in counterparts, each of which when delivered will be deemed to
be an original and all of which together will constitute one and the same
document and the Issuer or the Underwriters will be entitled to rely on delivery
by facsimile machine of an executed copy of this subscription, and acceptance by
the Issuer of such facsimile copy will be equally effective to create a valid
and binding agreement between the Subscriber and the Issuer as if the Issuer had
accepted the subscription originally executed by the Subscriber. 

- 18 -

9.9        The Parties
hereto confirm their express wish that this Agreement and all documents and
agreements directly or indirectly relating thereto be drawn up in the English
language. Les parties reconnaissent leur volonté expresse que la présente ainsi
que tous les documents et contrats s’y rattachant directement ou indirectment
soient rédigés en anglais. 

REMAINDER OF PAGE INTENTIONALLY LEFT BLANK 

	

	APPENDIX I
      

FORM 4C 	

 

CORPORATE PLACEE REGISTRATION FORM 

Where subscribers to a Private Placement are not individuals,
the following information about the placee must be provided. This Form will
remain on file with the Exchange. The corporation, trust, portfolio manager or
other entity (the “Placee”) need only file it on one time basis, and it will be
referenced for all subsequent Private Placements in which it participates. If
any of the information provided in this Form changes, the Placee must notify the
Exchange prior to participating in further placements with Exchange listed
companies. If as a result of the Private Placement, the Placee becomes an
Insider of the Issuer, Insiders of the Placee are reminded that they must file a
Personal Information Form (2A) or, if applicable, Declarations, with the
Exchange.

	1. 	 Placee Information:

	 	  
	  

		 (a) 
	 Name: __________________________________________________________________________________________

	 	  
	  

		 (b) 
	 Complete Address: ________________________________________________________________________________

	 	  
	  

		 (c) 
	 Jurisdiction of Incorporation or Creation: _______________________________________________________________

	 	  
	  

	2. 	 (a) 
	 Is the Placee purchasing securities as a portfolio
        manager (Yes/No)? __________________________________________

	 	  
	  

		 (b) 
	 Is the Placee carrying on business as a portfolio manager
        outside of Canada (Yes/No)? ____________________________

	 	  
	  

	3. 	 If the answer to 2(b) above was “Yes”,
        the undersigned certifies that:

	 	  
	  

		 (a) 
	 It is purchasing securities of an Issuer on behalf of
        managed accounts for which it is making the investment decision to purchase
        the securities and has full discretion to purchase or sell securities
        for such accounts without requiring the client’s express consent
        to a transaction;

	 	  
	  

		 (b) 
	 it carries on the business of managing the investment
        portfolios of clients through discretionary authority granted by those
        clients (a “portfolio manager” business) in ____________________
        [jurisdiction], and it is permitted by law to carry on a portfolio manager
        business in that jurisdiction;

	 	  
	  

		 (c) 
	 it was not created solely or primarily for the purpose
        of purchasing securities of the Issuer;

	 	  
	  

		 (d) 
	 the total asset value of the investment portfolios it
        manages on behalf of clients is not less than $20,000,000; and

	 	  
	  

		 (e) 
	 it has no reasonable grounds to believe, that any of
        the directors, senior officers and other insiders of the Issuer, and the
        persons that carry on investor relations activities for the Issuer has
        a beneficial interest in any of the managed accounts for which it is purchasing.

- 2 -

	4. 	
      If the answer to 2(a). above was “No”, please provide the
      names and addresses of control persons of the
Placee:

  	Name 	City 	Province or State 	Country 
	 	 	 	 
	 	 	 	 
	 	 	 	 
	 	 	 	 

The undersigned acknowledges that it is bound by the provisions
of applicable Securities Law, including provisions concerning the filing of
insider reports and reports of acquisitions (See for example, sections 87 and
111 of the Securities Act (British Columbia) and sections 176 and 182 of
the Securities Act (Alberta).

Acknowledgement - Personal Information 

“Personal Information” means any information about an
identifiable individual, and includes information contained in sections 1, 2 and
4, as applicable, of this Form. 

The undersigned hereby acknowledges and agrees that it has
obtained the express written consent of each individual to: 

	 	(a) 	
      the disclosure of Personal Information by the undersigned
      to the Exchange (as defined in Appendix 6B) pursuant to this Form;
    and

	 	 	 
	 	(b) 	
      the collection, use and disclosure of Personal
      Information by the Exchange for the purposes described in Appendix 6B or
      as otherwise identified by the Exchange, from time to
  time.

Dated at
_________________________________________on_________________________________________
.. 

	 	 
	 	(Name of Purchaser - please print) 
	 	 
	 	 
	 	(Authorized Signature) 
	 	 
	 	 
	 	(Official Capacity - please print) 
	 	 
	 	 
	 	(please print name of individual whose
      signature appears above) 

THIS IS NOT A PUBLIC DOCUMENT 

APPENDIX II 

CONFIRMATION OF PREVIOUSLY FILED CORPORATE PLACEE
REGISTRATION FORM 

TO:              
STOCKGROUP INFORMATION SYSTEMS INC. 

           In
connection with the proposed subscription for Common Shares of Stockgroup
Information Systems Inc., the undersigned hereby confirms that the undersigned
has previously filed a Form 4C - Corporate Placee Registration Form with the TSX
Venture Exchange and that the information in such Corporate Placee Registration
Form is accurate and up-to-date as of the date hereof. 

Dated __________________________________, 2007. 

	 	 
	 	(Name of Purchaser - please print) 
	 	 
	 	 
	 	(Authorized Signature) 
	 	 
	 	 
	 	(Official Capacity - please print) 
	 	 
	 	 
	 	(please print name of individual whose signature
      appears above) 

APPENDIX III 

ACCREDITED INVESTOR QUESTIONNAIRE 

The Subscriber and any Disclosed Principal is a resident of
British Columbia, Alberta or Ontario and the Subscriber hereby represents,
warrants and certifies to the Issuer that the Subscriber or the Disclosed
Principal, as the case may be, is an “accredited investor”, as such term is
defined in National Instrument 45-106 – Prospectus and Registration Exemptions
(“NI 45-106”) and, as at the time the subscription is accepted by the Issuer
(“Closing”), the Subscriber or the Disclosed Principal, as the case may be, will
fall within one or more of the following categories (Please check one or more,
as applicable): 

ACCREDITED INVESTOR STATUS 

The undersigned represents and warrants that the Subscriber or
the Disclosed Principal, as the case may be, is [check each applicable
item]: 

	____	(a) 	
      a Canadian financial institution (as defined under NI
      45-106), or an authorized foreign bank listed in Schedule III of the
      Bank Act (Canada); 

	 	  	
       

	____	(b) 	
      the Business Development Bank of Canada incorporated
      under the Business Development Bank of Canada Act (Canada);
      

	 	  	
       

	____	(c) 	
      a subsidiary of any person referred to in paragraphs (a)
      or (b), if the person owns all of the voting securities of the subsidiary,
      except the voting securities required by law to be owned by directors of
      that subsidiary; 

	 	  	
       

	____	(d) 	
      a person registered under the securities legislation of a
      jurisdiction of Canada as an adviser or dealer, other than a person
      registered solely as a limited market dealer under one or both of the
      Securities Act (Ontario) or the Securities Act (Newfoundland
      and Labrador); 

	 	  	
       

	____	(e) 	
      an individual registered or formerly registered under the
      securities legislation of a jurisdiction of Canada as a representative of
      a person referred to in paragraph (d); 

	 	  	
       

	____	(f) 	
      the Government of Canada or a jurisdiction of Canada, or
      any crown corporation, agency or wholly owned entity of the Government of
      Canada or a jurisdiction of Canada; 

	 	  	
       

	____	(g) 	
      a municipality, public board or commission in Canada and
      a metropolitan community, school board, the Comité de gestion de la taxe
      scolaire de l’île de Montréal or an intermunicipal management board in
      Québec; 

	 	  	
       

	____	(h 	
      any national, federal, state, provincial, territorial or
      municipal government of or in any foreign jurisdiction, or any agency of
      that government; 

	 	  	
       

	____	(i) 	
      a pension fund that is regulated by either the Office of
      the Superintendent of Financial Institutions (Canada) or a pension
      commission or similar regulatory authority of a jurisdiction of Canada;
      

	 	  	
       

	____	(j) 	
      an individual who, either alone or with a spouse,
      beneficially owns, directly or indirectly, financial assets having an
      aggregate realizable value that before taxes, but net of any related
      liabilities, exceeds $1,000,000; 

- 2 -

	____	(k) 	
      an individual whose net income before taxes exceeded
      $200,000 in each of the two most recent calendar years or whose net income
      before taxes combined with that of a spouse exceeded $300,000 in each of
      the two most recent calendar years and who, in either case, reasonably
      expects to exceed that net income level in the current calendar
    year;

	 	 	 	 
	____	(l) 	
      an individual who, either alone or with a spouse, has net
      assets of at least $5,000,000;

	 	 	 	 
	____	(m) 	
      a person, other than an individual or investment fund or
      a person created or used solely to purchase or hold securities as an
      accredited investor, that has net assets of at least $5,000,000 as shown
      on its most recently prepared financial statements;

	 	 	 	 
	____	(n) 	
      an investment fund that distributes or has distributed
      its securities only to:

	 	 	 	 
	 		(i) 	
      a person that is or was an accredited investor at the
      time of the distribution,

	 	 	 	 
	 		(ii) 	
      a person that acquires or acquired securities in the
      circumstances referred to in Sections 2.10 – Minimum Amount Investment and
      2.19 – Additional Investment in Investment Funds of NI 45-106,
  or;

	 	 	 	 
	 		(iii) 	
      a person described in paragraph (i) or (ii) that acquires
      or acquired securities under Section 2.18 – Investment Fund Reinvestments
      of NI 45-106;

	 	 	 	 
	____	(o) 	
      an investment fund that distributes or has distributed
      securities under a prospectus in a jurisdiction of Canada for which the
      regulator, or in Québec, the securities regulatory authority, has issued a
      receipt;

	 	 	 	 
	____	(p) 	
      a trust company or trust corporation registered or
      authorized to carry on business under the Trust and Loan Companies Act
      (Canada) or under comparable legislation in a jurisdiction of Canada
      or a foreign jurisdiction, acting on behalf of a fully managed account
      managed by the trust company or trust corporation, as the case may
    be;

	 	 	 	 
	____	(q) 	
      a person acting on behalf of a fully managed account
      managed by that person, if that person:

	 	 	 	 
	 		(i) 	
      is registered or authorized to carry on business as an
      adviser or the equivalent under the securities legislation of a
      jurisdiction of Canada or a foreign jurisdiction, and

	 	 	 	 
	 		(ii) 	
      in Ontario, is purchasing a security that is not a
      security of an investment fund;

	 	 	 	 
	____	(r) 	
      a registered charity under the Income Tax Act
      (Canada) that, in regard to the trade, has obtained advice from an
      eligibility adviser or an adviser registered under the securities
      legislation of the jurisdiction of the registered charity to give advice
      on the securities being traded;

	 	 	 	 
	____	(s) 	
      an entity organized in a foreign jurisdiction that is
      analogous to any of the entities referred to in paragraphs (a) through (d)
      or paragraph (i) in form and function;

	 	 	 	 
	____	(t) 	
      a person in respect of which all of the owners of
      interests, direct, indirect, or beneficial, except the voting securities
      required by law to be owned by directors, are persons that are accredited
      investors as defined under NI 45-106;

	 	 	 	 
	____	(u) 	
      an investment fund that is advised by a person registered
      as an adviser or a person that is exempt from registration as an adviser;
      or

- 3 -

	____	(v) 	
      a person that is recognized or designated by the
      securities regulatory authority or, except in Ontario and Québec, the
      regulator as:

	 	 	 	 
	 		(i) 	
      an accredited investor, or

	 	 	 	 
	 		(ii) 	
      an exempt purchaser in Alberta or British
  Columbia.

IN WITNESS WHEREOF, the undersigned has executed this Questionnaire
  as of the _______________ day of ______________________________, 200_______.

	If a Corporation, Partnership or Other Entity: 	 	If an Individual: 
	 
	 	 
	 	 	 
	Name of Entity 	 	Signature 
	
      
 
	 	 
	 	 	 
	Type of Entity 	 	Print or Type Name 
	
      
 
	 	 
	 	 	 
	Signature of Person Signing 	 	  
	
      
 
	 	 
	 	 	 
	Print or Type Name and Title of Person Signing 	 	  

As used in this Questionnaire, the following terms have the
following meanings: 

	(a) 	
      “Canadian financial institution” means

	 	 	 
		(i) 	
      an association governed by the Cooperative Credit
      Associations Act (Canada) or a central cooperative credit society for
      which an order has been made under section 473(1) of that Act,
or

	 	 	 
		(ii) 	
      a bank, loan corporation, trust company, trust
      corporation, insurance company, treasury branch, credit union, caisse
      populaire, financial services cooperative, or league that, in each case,
      is authorized by an enactment of Canada or a jurisdiction of Canada to
      carry on business in Canada or a jurisdiction of Canada;

	 	 	 
	(b) 	
      “control person” has the same meaning as in
      securities legislation except in Manitoba, Newfoundland and Labrador,
      Northwest Territories, Nova Scotia, Nunavut, Ontario, Prince Edward Island
      and Québec where control person means any person that holds or is one of a
      combination of persons that holds

	 	 	 
		(i) 	
      a sufficient number of any of the securities of an issuer
      so as to affect materially the control of the issuer, or

	 	 	 
		(ii) 	
      more than 20% of the outstanding voting securities of an
      issuer except where there is evidence showing that the holding of those
      securities does not affect materially the control of the
  issuer;

- 4 -

	(c) 	
      “director” means

	 	 	 
		(i) 	
      a member of the board of directors of a company or an
      individual who performs similar functions for a company, and

	 	 	 
		(ii) 	
      with respect to a person that is not a company, an
      individual who performs functions similar to those of a director of a
      company;

	 	 	 
	(d) 	
      “eligibility adviser” means a person that is
      registered as an investment dealer or in an equivalent category of
      registration under the securities legislation of the jurisdiction of a
      purchaser and authorized to give advice with respect to the type of
      security being distributed;

	 	 	 
	(e) 	
      “executive officer” means, for an issuer, an
      individual who is

	 	 	 
		(i) 	
      a chair, vice-chair or president,

	 	 	 
		(ii) 	
      a vice-president in charge of a principal business unit,
      division or function including sales, finance or production,

	 	 	 
		(iii) 	
      an officer of the issuer or any of its subsidiaries and
      who performs a policy-making function in respect of the issuer,
  or

	 	 	 
		(iv) 	
      performing a policy-making function in respect of the
      issuer;

	 	 	 
	(f) 	
      “financial assets” means

	 	 	 
		(i) 	
      cash,

	 	 	 
		(ii) 	
      securities, or

	 	 	 
		(iii) 	
      a contract of insurance, a deposit or an evidence of a
      deposit that is not a security for the purposes of securities
      legislation;

	 	 	 
	(g) 	
      “founder” means, in respect of an issuer, a person
      who,

	 	 	 
		(i) 	
      acting alone, in conjunction, or in concert with one or
      more persons, directly or indirectly, takes the initiative in founding,
      organizing or substantially reorganizing the business of the issuer,
      and

	 	 	 
		(ii) 	
      at the time of the trade is actively involved in the
      business of the issuer;

	 	 	 
	(h) 	
      “foreign jurisdiction” means a country other than
      Canada or a political subdivision of a country other than
Canada;

	 	 	 
	(i) 	
      “fully managed account” means an account of a
      client for which a person makes the investment decisions if that person
      has full discretion to trade in securities for the account without
      requiring the client's express consent to a transaction;

	 	 	 
	(j) 	
      “investment fund” means a mutual fund or a
      non-redeemable investment fund;

	 	 	 
	(k) 	
      “jurisdiction” means a province or territory of
      Canada except when used in the term foreign jurisdiction;

	 	 	 
	(l) 	
      “local jurisdiction” means the jurisdiction in
      which the Canadian securities regulatory authority is
  situate;

- 5 -

	(m) 	
      “non-redeemable investment fund” means an
      issuer,

	 	 	 	 
		(i) 	
      whose primary purpose is to invest money provided by its
      securityholders,

	 	 	 	 
		(ii) 	
      that does not invest,

	 	 	 	 
			(A) 	
      for the purpose of exercising or seeking to exercise
      control of an issuer, other than an issuer that is a mutual fund or a
      non-redeemable investment fund, or

	 	 	 	 
			(B) 	
      for the purpose of being actively involved in the
      management of any issuer in which it invests, other than an issuer that is
      a mutual fund or a non-redeemable investment fund, and

	 	 	 	 
		(iii) 	
      that is not a mutual fund;

	 	 	 	 
	(n) 	
      “person” includes

	 	 	 	 
		(i) 	
      an individual,

	 	 	 	 
		(ii) 	
      a corporation,

	 	 	 	 
		(iii) 	
      a partnership, trust, fund and an association, syndicate,
      organization or other organized group of persons, whether incorporated or
      not, and

	 	 	 	 
		(iv) 	
      an individual or other person in that person's capacity
      as a trustee, executor, administrator or personal or other legal
      representative;

	 	 	 	 
	(o) 	
      “regulator” means, for the local jurisdiction, the
      Executive Director or Director or la Commission des valeurs mobilières du
      Québec as defined under securities legislation of the local
      jurisdiction;

	 	 	 	 
	(p) 	
      “related liabilities” means

	 	 	 	 
		(i) 	
      liabilities incurred or assumed for the purpose of
      financing the acquisition or ownership of financial assets, or

	 	 	 	 
		(ii) 	
      liabilities that are secured by financial
  assets;

	 	 	 	 
	(q) 	
      “spouse” means, an individual who,

	 	 	 	 
		(i) 	
      is married to another individual and is not living
      separate and apart within the meaning of the Divorce Act (Canada),
      from the other individual,

	 	 	 	 
		(ii) 	
      is living with another individual in a marriage-like
      relationship, including a marriage-like relationship between individuals
      of the same gender, or

	 	 	 	 
		(iii) 	
      in Alberta, is an individual referred to in paragraph (a)
      or (b), or is an adult interdependent partner within the meaning of the
      Adult Interdependent Relationships Act
(Alberta);

APPENDIX IV 

U.S. ACCREDITED INVESTOR CERTIFICATE 

TO:      STOCKGROUP INFORMATION
SYSTEMS INC. 

The Subscriber understands and agrees that the Common Shares
have not been and will not be registered under the United States Securities
Act of 1933, as amended (the “1933 Act”), or applicable state securities
laws, and the Common Shares are being offered and sold to the Subscriber in
reliance upon Rule 506 of Regulation D under the 1933 Act. 

Capitalized terms used in this Appendix III and defined in the
Agreement to which the Appendix III is attached have the meaning defined in the
Agreement unless otherwise defined herein. 

The undersigned (the “Subscriber”) represents, warrants and
covenants (which representations, warranties and covenants shall survive the
Closing) to the Issuer, the Underwriters and the U.S. Placement Agent (and
acknowledges that the Issuer, the Underwriters and the U.S. Placement Agent are
relying thereon) that: 

	 	(a) 	
      it is purchasing the Common Shares for its own account or
      for the account of one or more persons for whom it is exercising sole
      investment discretion, (a “Beneficial Purchaser”), for investment purposes
      only and not with a view to resale or distribution and, in particular,
      neither it nor any Beneficial Purchaser for whose account it is purchasing
      the Common Shares has any intention to distribute either directly or
      indirectly any of the Common Shares in the United States or to U.S.
      Persons; provided, however, that this paragraph shall not restrict the
      Subscriber from selling or otherwise disposing of any of the Common Shares
      pursuant to registration thereof pursuant to the 1933 Act and any
      applicable state securities laws or under an exemption from such
      registration requirements;

	 	 	 
	 	(b) 	
      it, and if applicable, each Beneficial Purchaser for
      whose account it is purchasing the Common Shares is a U.S. Accredited
      Investor that satisfies one or more of the categories of U.S. Accredited
      Investor indicated below (the Subscriber must initial “SUB” for the
      Subscriber, and “BP” for each Beneficial Purchaser, if any, on the
      appropriate line(s)):

		____	Category 1. 	
      A bank, as defined in Section 3(a)(2) of the 1933 Act,
      whether acting in its individual or fiduciary capacity; or 

	 	 	  	
       

		____	Category 2. 	
      A savings and loan association or other institution as
      defined in Section 3(a)(5)(A) of the 1933 Act, whether acting in its
      individual or fiduciary capacity; or 

	 	 	  	
       

		____	Category 3. 	
      A broker or dealer registered pursuant to Section 15 of
      the United States Securities Exchange Act of 1934, as amended; or
      

	 	 	  	
       

	 	____	Category 4. 	
      An insurance company as defined in Section 2(13) of the
      1933 Act; or 

	 	 	  	
       

		____	Category 5. 	
      An investment company registered under the United States
      Investment Company Act of 1940; or 

	 	 	  	
       

		____	Category 6. 	
      A business development company as defined in Section
      2(a)(48) of the United States Investment Company Act of 1940; or
      

	 	 	  	
       

		____	Category 7. 	
      A small business investment company licensed by the U.S.
      Small Business Administration under Section 301 (c) or (d) of the United
      States Small Business Investment Act of 1958; or
  

- 2 - 

		____	Category 8. 	
      A plan established and maintained by a state, its
      political subdivisions or any agency or instrumentality of a state or its
      political subdivisions, for the benefit of its employees, with total
      assets in excess of U.S. $5,000,000; or 

	 	 	  	
       

		____	Category 9. 	
      An employee benefit plan within the meaning of the United
      States Employee Retirement Income Security Act of 1974 in
      which the investment decision is made by a plan fiduciary, as defined in
      Section 3(21) of such Act, which is either a bank, savings and loan
      association, insurance company or registered investment adviser, or an
      employee benefit plan with total assets in excess of U.S. $5,000,000 or,
      if a self-directed plan, with investment decisions made solely by persons
      who are accredited investors; or 

	 	 	  	
       

		____	Category 10. 	
      A private business development company as defined in
      Section 202(a)(22) of the United States Investment Advisers Act of
      1940; or 

	 	 	  	
       

		____	Category 11. 	
      An organization described in Section 501(c)(3) of the
      United States Internal Revenue Code, a corporation, a
      Massachusetts or similar business trust, or a partnership, not formed for
      the specific purpose of acquiring the securities offered, with total
      assets in excess of U.S. $5,000,000; or 

	 	 	  	
       

	 	____	Category 12. 	
      Any director or executive officer of the Issuer; or
    

	 	 	  	
       

		____	Category 13. 	
      A natural person whose individual net worth, or joint net
      worth with that person’s spouse, at the date hereof exceeds U.S.
      $1,000,000; or 

	 	 	  	
       

		____	Category 14. 	
      A natural person who had an individual income in excess
      of U.S. $200,000 in each of the two most recent years or joint income with
      that person’s spouse in excess of U.S. $300,000 in each of those years and
      has a reasonable expectation of reaching the same income level in the
      current year; or 

	 	 	  	
       

		____	Category 15. 	
      A trust, with total assets in excess of U.S. $5,000,000,
      not formed for the specific purpose of acquiring the securities offered,
      whose purchase is directed by a sophisticated person as described in Rule
      506(b)(2)(ii) under the 1933 Act; or 

	 	 	  	
       

		____	Category 16. 	Any entity in which all of the equity owners meet the requirements
      of at least one of the above categories; 

	 	(c) 	
      it understands that upon the issuance thereof, and until
      such time as the same is no longer required under the applicable
      requirements of the 1933 Act or applicable U.S. state laws and
      regulations, the certificates representing the Common Shares, and all
      securities issued in exchange therefor or in substitution thereof, will
      bear a legend in substantially the following form:

“THE SECURITIES REPRESENTED HEREBY
HAVE NOT BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT
OF 1933, AS AMENDED (THE “1933 ACT”). THESE SECURITIES MAY BE OFFERED, SOLD,
PLEDGED OR OTHERWISE TRANSFERRED ONLY (A) TO THE COMPANY, (B) OUTSIDE THE UNITED
STATES IN COMPLIANCE WITH REGULATION S UNDER THE 1933 ACT, (C) IN COMPLIANCE
WITH THE EXEMPTION FROM THE REGISTRATION REQUIREMENTS UNDER THE 1933 ACT
PROVIDED BY RULE 144 THEREUNDER, IF AVAILABLE, AND IN ACCORDANCE WITH APPLICABLE
STATE SECURITIES LAWS, OR (D) IN A TRANSACTION THAT DOES NOT REQUIRE
REGISTRATION UNDER THE 1933 ACT OR ANY APPLICABLE STATE LAWS, AND THE HOLDER
HAS, PRIOR TO SUCH SALE, FURNISHED TO THE COMPANY AN OPINION OF COUNSEL OR OTHER
EVIDENCE OF EXEMPTION, IN EITHER CASE REASONABLY SATISFACTORY 

- 3 - 

TO THE COMPANY. DELIVERY OF THIS
CERTIFICATE MAY NOT CONSTITUTE “GOOD DELIVERY” IN SETTLEMENT OF TRANSACTIONS ON
STOCK EXCHANGES IN CANADA. 

THE HOLDER HEREOF WILL NOT, DIRECTLY
OR INDIRECTLY, ENGAGE IN ANY HEDGING TRANSACTION WITH REGARD TO THIS SECURITY,
EXCEPT AS PERMITTED BY THE 1933 ACT” 

	 		
      provided, that if any of the Common Shares are being sold
      pursuant to Rule 144 of the 1933 Act and in compliance with any applicable
      state securities laws, the legend may be removed by delivery to the Issuer
      and its transfer agent of an opinion satisfactory to the Issuer and its
      transfer agent to the effect that the legend is no longer required under
      applicable requirements of the 1933 Act or state securities
laws;

	 	 	 	 
	 	(d) 	
      it agrees not to offer, sell or otherwise transfer any of
      the Common Shares except as permitted by paragraph (c) above and the
      legend included therein;

	 	 	 	 
	 	(e) 	
      it has had the opportunity to ask questions of and
      receive answers from the Issuer regarding the investment, and has received
      all the information regarding the Issuer that it has requested;

	 	 	 	 
	 	(f) 	
      it has had access to the Internet’s System for Electronic
      Document Analysis and Retrieval (“SEDAR”) at www.sedar.com and the
      Electronic Data Gathering and Retrieval System (“EDGAR”) at www.sec.gov
      and the filings of the Issuer included therein, and has had access to
      such other information concerning the Issuer as it has considered
      necessary or appropriate in connection with its investment decision to
      acquire the Common Shares;

	 	 	 	 
	 	(g) 	
      it acknowledges that the Corporation will refuse to
      register any transfer of any of the Shares not made in accordance with the
      provisions of Regulation S under the 1933 Act, pursuant to registration
      under the 1933 Act, or pursuant to an available exemption from
      registration under the 1933 Act;

	 	 	 	 
	 	(h) 	
      the Common Shares have not been registered under the 1933
      Act and are "restricted securities" as defined under Rule 144 and may be
      resold only if:

	 	 	 	 
	 		(i) 	
      the sale is to the Issuer;

	 	 	 	 
	 		(ii) 	
      the sale is made outside the United States in a
      transaction meeting the requirements of Rule 904 of Regulation S (or such
      successor rule or regulation then in effect), if available, and in
      compliance with applicable state securities laws;

	 	 	 	 
	 		(iii) 	
      the sale is made pursuant to an exemption from the
      registration requirements under the 1933 Act provided by Rule 144
      thereunder, if available, and in accordance with any applicable state
      securities laws;

	 	 	 	 
	 		(iv) 	
      the sale is a transaction that does not require
      registration under the 1933 Act or any applicable state securities laws,
      and it has prior to such sale furnished to the Issuer an opinion of
      counsel to that effect reasonably satisfactory to the Issuer; or

	 	 	 	 
	 		(v) 	
      the sale is pursuant to an effective registration
      statement under the 1933 Act

	 	 	 	 
	 	(i) 	
      it consents to the Issuer making a notation on its
      records or giving instruction to the registrar and transfer agent of the
      Issuer in order to implement the restrictions on transfer set forth and
      described herein;

- 4 - 

	 	(j) 	
      while the Issuer has agreed to file the Registration
      Statement (as described in the Registration Rights Agreement) and cause it
      to be declared effective by the SEC, there is no assurance that the Issuer
      will be able to cause the Registration Statement to be declared effective
      by the SEC, and if the Registration Statement is not declared effective by
      the SEC, the Common Shares may not be resold by the Subscriber, except
      pursuant to an exemption contained under applicable securities laws, which
      may not be available, and if the Registration Statement is not declared
      effective, the Common Shares remain “restricted securities” under the 1933
      Act;

	 	 	 
	 	(k) 	
      the office or other address of the Subscriber at which
      the Subscriber received and accepted the offer to purchase the Common
      Shares is the address listed as the “Subscriber’s Residential or Head
      Office Address” on the first page of the Subscription Agreement;

	 	 	 
	 	(l) 	
      it understands and agrees that there may be material tax
      consequences to the Subscriber of an acquisition, disposition or exercise
      of any of the Common Shares; the Issuer gives no opinion and makes no
      representation with respect to the tax consequences to the Subscriber
      under United States, state, local or foreign tax law of the Subscriber’s
      acquisition or disposition of such Common Shares;

	 	 	 
	 	(m) 	
      it has not purchased the Common Shares as a result of any
      form of General Solicitation or General Advertising or Directed Selling
      Efforts, including any advertisements, articles, notices or other
      communications published in any newspaper, magazine or similar media or
      broadcast over radio, television or internet or any seminar or meeting
      whose attendees have been invited by General Solicitation or General
      Advertising; and

	 	 	 
	 	(n) 	
      it acknowledges that the representations, warranties and
      covenants contained in this Appendix are made by it with the intent that
      they may be relied upon by the Issuer in determining its eligibility or
      the eligibility of others on whose behalf it is contracting thereunder to
      purchase Common Shares. It agrees that by accepting Common Shares it shall
      be representing and warranting that the representations and warranties
      above are true as at the Closing with the same force and effect as if they
      had been made by it at the Closing and that they shall survive the
      purchase by it of Common Shares and shall continue in full force and
      effect notwithstanding any subsequent disposition by it of such
      securities.

The Subscriber undertakes to notify the Issuer immediately of
any change in any representation, warranty or other information relating to the
Subscriber or any Beneficial Purchaser set forth herein which takes place prior
to the Closing. 

IN WITNESS WHEREOF, the undersigned has executed this
Certificate as of the _______________ day of
_____________________________________, 200_______. 

	If a Corporation, Partnership or Other Entity: 	 	If an Individual: 
	 
	 	 
	 	 	 
	Name of Entity 	 	Signature 
	 
	 	 
	 	 	 
	Type of Entity 	 	Print or Type Name 
	 
	 	 
	 	 	 
	Signature of Person Signing 	 	  
	 
	 	 
	 	 	 
	Print or Type Name and Title of Person Signing 	 	  

APPENDIX V 

[REGISTRATION RIGHTS AGREEMENT] 

SUBSCRIBER SIGNATURE PAGE 

DATED this ________ day of __________________, 2007. 

	 	 	 
	(Name of Subscriber – please print) 	 	(Subscriber’s Residential or Head Office
      Address) 
	  	 	  
	by:
    ________________________________________________________	 	 
    
	       (Official Capacity or Title –
      please print) 	 	  
	  	 	  
	Authorized Signature 	 	(Telephone Number) 
	  	 	  
	  	 	  
	Please print name of individual whose signature 	 	(Facsimile Number) 
	appears above if different than the name of the 	 	  
	Subscriber printed above.) 	 	 
    
	  	 	(E-mail Address) 
	Please complete if the Subscriber is signing as an
    	 	  
	agent for a Disclosed Principal and not deemed to
	 	  
	be purchasing as a principal under the applicable
	 	  
	securities legislation 	 	  
	  	 	  
	  	 	  
	Name of Disclosed Principal 	 	  
	  	 	  
	  	 	  
	Address of Disclosed Principal 	 	  
	  	 	  
	  	 	  
	Telephone number of Disclosed Principal 	 	  

SCHEDULE A 

FORM OF SELLING SECURITYHOLDER NOTICE AND QUESTIONNAIRE.

          The
undersigned beneficial owner (the "Selling Securityholder") of Registrable
Securities hereby gives notice to the Company of its intention to sell or
otherwise dispose of Registrable Securities beneficially owned by it and listed
below in Item 3 (unless otherwise specified under such Item 3) pursuant to the
Registration Statement. The undersigned, by signing and returning this Notice
and Questionnaire, understands that it will be bound by the terms and conditions
of this Notice and Questionnaire and the Registration Rights Agreement.

          Pursuant
to the Registration Rights Agreement, the undersigned has agreed to indemnify
and hold harmless the Company's directors and officers and each person, if any,
who controls the Company within the meaning of either Section 15 of the
Securities Act or Section 20 of the Securities Exchange Act of 1934, as amended
(the "Exchange Act"), from and against certain losses arising in connection with
statements concerning the undersigned made in the Company's Registration
Statement or the related prospectus in reliance upon the information provided in
this Notice and Questionnaire.

          If the
Selling Securityholder transfers all or any portion of the Registrable
Securities listed in Item 3 below after the date on which such information is
provided to the Company, the Selling Securityholder agrees to notify the
transferee(s) at the time of the transfer of its rights and obligations under
this Notice and Questionnaire and the Registration Rights Agreement.

[CONTINUED NEXT PAGE] 

SELLING SECURITYHOLDER QUESTIONNAIRE 

          Please
respond to every item, even if your response is "none." If you need more space
for any response, please attach additional sheets of paper. Please be sure to
indicate your name and the number of the item being responded to on each such
additional sheet of paper, and to sign each such additional sheet of paper
before attaching it to this Questionnaire. Please note that you may be asked to
answer additional questions depending on your responses to the following
questions.

COMPLETED QUESTIONNAIRES SHOULD BE RETURNED TO
STOCKGROUP
INFORMATION SYSTEMS INC. AS FOLLOWS: 

ONE (1) COPY BY FACSIMILE TO FAX: 604 687-6314 

Clark Wilson LLP 
Barristers & Solicitors

800 - 885 W Georgia Street 
Vancouver, BC V6C 3H1 Canada

Attention: Bernard Pinsky 

ONE (1) COPY BY FACSIMILE TO FAX: 604-331-1194 

Stockgroup Information Systems Inc. 
750 West Pender
Street, Suite 500 
Vancouver, BC, V6C 2T7 
Canada 
Attention: Gabriel
DuCharme 

WITH THE ORIGINAL COPY TO FOLLOW TO: 

Stockgroup Information Systems Inc. 
750 West Pender
Street, Suite 500 
Vancouver, BC, V6C 2T7 
Canada 
Attention: President
& CEO 

          The
undersigned hereby provides the following information to the Company and
represents and warrants that such information is accurate and complete:

	1. 	
      Your Identity and Background as the Beneficial Owner of
      The Registrable Securities.

      (a)        Your full
      legal name:

                  
      _________________________________________________________________

	 	(b) 	
      Your business address (including street address) (or
      residence if no business address), telephone number and facsimile
      number:

	 	 	 	 
	 		
      Address: _________________________________________________________________________________________

	 	 	 	 
	 		
      Telephone No.: ____________________________________________________________________________________

	 	 	 	 
	 		
      Fax No.: _________________________________________________________________________________________

	 	 	 	 
	 	(c) 	
      Are you a broker-dealer registered pursuant to Section 15
      of the Exchange Act?

	 	 	 	 
	 		[   ] 	
      Yes.

	 	 	 	 
	 		[   ] 	
      No.

	 	 	 	 
	 	(d) 	
      If your response to Item 1(c) above is no, are you an
      "affiliate" of a broker-dealer registered pursuant to Section 15 of the
      Exchange Act?

	 	 	 	 
	 		[   ] 	
      Yes.

	 	 	 	 
	 		[   ] 	
      No.

For the purposes of this Item 1(d), an "affiliate" of a
registered broker-dealer shall include any company that directly, or indirectly
through one or more intermediaries, controls, or is controlled by, or is under
common control with, such broker-dealer, and does not include any individuals
employed by such broker-dealer or its affiliates.

	 	(e) 	
      Full legal name of person through which you hold the
      Registrable Securities—(i.e. name of your broker, if applicable, through
      which your Registered Securities are held):

	 	 	 
	 		
      Name of broker::

	 	 	 
	 		
      Contact person:

	 	 	 
	 		
      Telephone No.:

	2. 	
      Your Relationship With Stockgroup Information Systems
      Inc.

	 	 	 	 
		(a) 	
      Have you or any of your affiliates, officers, directors
      or principal equity holders (owners of 5% or more of the equity securities
      of the undersigned) held any position or office or have you had any other
      material relationship with Stockgroup Information Systems Inc. (or their
      respective predecessors or affiliates) within the past three
  years?

	 	 	 	 
			[   ] 	
      Yes.

	 	 	 	 
			[   ] 	
      No.

	 	(b) 	
      If your response to Item 2(a) above is yes, please state
      the nature and duration of your relationship with Stockgroup Information
      Systems Inc.:

	3. 	
      Your Interest in the Registrable Securities.

	 	 	 	 
		(a) 	
      State the number of such Registrable Securities
      beneficially owned by you.

	 	 	 	 
		(b) 	
      Other than as set forth in your response to Item 3(a)
      above, do you beneficially own any other securities of Stockgroup
      Information Systems Inc.?

	 	 	 	 
			[   ] 	
      Yes.

	 	 	 	 
			[   ] 	
      No.

	 	 	 	 
		(c) 	
      If your answer to Item 3(b) above is yes, state the type,
      the aggregate amount and CUSIP No. (if applicable) of such other
      securities of Stockgroup Information Systems Inc. beneficially owned by
      you:

	 	 	 	 
			
      Type: __________________________________________________________________________________________

	 	 	 	 
			
      Aggregate amount: ________________________________________________________________________________

	 	 	 	 
			
      CUSIP No.: ______________________________________________________________________________________

	 	 	 	 
		(d) 	
      Did you acquire the securities listed in Item 3(a) above
      in the ordinary course of business?

	 	 	 	 
			[   ] 	
      Yes.

	 	 	 	 
			[   ] 	
      No.

	 	 	 	 
		(e) 	
      At the time of your purchase of the securities listed in
      Item 3(a) above, did you have any agreements or understandings, directly
      or indirectly, with any person to distribute the securities?

	 	 	 	 
			[   ] 	
      Yes.

	 	 	 	 
			[   ] 	
      No.

	 	 	 	 
		(f) 	
      If your response to Item 3(e) above is yes, please
      describe such agreements or understandings:

	 	 	 	 
			[   ] 	
      Yes.

	 	 	 	 
			[   ] 	
      No.

	4. 	
      Nature of Your Beneficial Ownership.

	 	 	 
		(a) 	
      If the name of the beneficial owner of the Registrable
      Securities set forth in your response to Item 1(a) above is that of a
      limited partnership, state the names of the general partners of such
      limited partnership:

	 	 	 
		(b) 	
      With respect to each general partner listed in Item 4(a)
      above who is not a natural person, and is not publicly held, name each
      shareholder (or holder of partnership interests, if applicable) of such
      general partner. If any of these named shareholders are not natural
      persons or publicly held entities, please provide the same information.
      This process should be repeated until you reach natural persons or a
      publicly held entity.

	 	 	 
		(c) 	
      Name your controlling shareholder(s) (the "Controlling
      Entity"). If the Controlling Entity is not a natural person and is not a
      publicly held entity, name each shareholder of such Controlling Entity. If
      any of these named shareholders are not natural persons or publicly held
      entities, please provide the same information. This process should be
      repeated until you reach natural persons or a publicly held
  entity.

		(A)(i) 	
      Full legal name of Controlling Entity(ies) or natural
      person(s) with who have sole or shared voting or dispositive power over
      the Registrable Securities: 

	 	 	
       

			
      Business address (including street address) (or residence
      if no business address), telephone number and facsimile number of such
      person(s): 

	 	 	
       

	 	  	
      Address: _______________________________________________________________________________________

	 	 	
       

	 	  	
      Telephone: ______________________________________________________________________________________

	 	 	
       

	 	  	
      Fax: ___________________________________________________________________________________________

	 	 	
       

	 	  	
      Name of shareholder:; 

	 	 	
       

	 	 	
       

	 	  	
       

	 	  	
       

	 	(B)(i) 	
      Full legal name of Controlling Entity(ies): 

	 	 	
       

		Business address (including street address) (or
      residence if no business address), telephone number and facsimile number
      of such person(s): 
	 	 
	 	Address: ________________________________________________________________________________________
	 	 
	 	Telephone: ______________________________________________________________________________________
	 	 
	 	Fax: ____________________________________________________________________________________________
	 	 
	 	Name of shareholders: ______________________________________________________________________________

If you need more space for this response, please attach
additional sheets of paper. Please be sure to indicate your name and the number
of the item being responded to on each such additional sheet of paper, and to
sign each such additional sheet of paper before attaching it to this
Questionnaire. Please note that you may be asked to answer additional questions
depending on your responses to the following questions.

	5. 	
      Plan of Distribution.

	 	 
		
      Except as set forth below, the undersigned (including
      its donees or pledgees) intends to distribute the Registrable Securities
      listed above in Item 3 pursuant to the Registration Statement only as
      follows (if at all): Such Registrable Securities may be sold from time to
      time directly by the undersigned or, alternatively, through underwriters,
      broker-dealers or agents. If the Registrable Securities are sold through
      underwriters, broker-dealers or agents, the Selling Securityholder will be
      responsible for underwriting discounts or commissions or agents'
      commissions. Such Registrable Securities may be sold in one or more
      transactions at fixed prices, at prevailing market prices at the time of
      sale, at varying prices determined at the time of sale or at negotiated
      prices. Such sales may be effected in transactions (which may involve
      block transactions) (i) on any national securities exchange or quotation
      service on which the Registrable Securities may be listed or quoted at the
      time of sale, (ii) in the over-the-counter market, or (iii) in
      transactions otherwise than on such exchanges or services or in the
      over-the-counter market.Filed by Automated Filing Services Inc. (604) 609-0244 - Stockgroup Information Systems Inc. - Exhibit 10.2

REGISTRATION RIGHTS AGREEMENT 

                    THIS
REGISTRATION RIGHTS AGREEMENT (this “Agreement”) is made and entered into
as of May ____, 2007 by and among Stockgroup Information Systems Inc.
(the “Issuer”) 750 West Pender Street, Suite 500, Vancouver, BC V6C 2T7 (the
“Company”), as evidenced by the signatures of the Company and each of the
subscribers listed on Exhibit I attached hereto (each, a
“Subscriber”) pursuant to Subscription Agreements accepted as of May
____, 2007 (the “Subscription Agreement”) for 3,333,334 common shares of
the Company (the “Shares”). In order to induce the Subscriber under the
Subscription Agreement to enter into the Subscription Agreement, the Company has
agreed to provide the registration rights set forth in this Agreement. 

                    The
Company agrees with each Subscriber, (i) for its benefit as Subscriber and (ii)
for the benefit of the beneficial owners (including the Subscriber) from time to
time of the Shares, and (iii) for the benefit of the beneficial owners from time
to time of the Registrable Securities (as defined herein) issuable pursuant to
the Subscription Agreement (each of the foregoing a “Holder” and together
the “Holders”), as follows: 

                    Definitions.
Capitalized terms used herein without definition shall have their respective
meanings set forth in the Subscription Agreement. In addition to the terms that
are defined elsewhere in this Agreement, the following terms shall have the
following meanings: 

                    “Additional
Amount” means any security issued with respect thereto upon any stock
dividend, split, merger or similar event, for each Registrable Security owned by
the Holder. 

                    “Affiliate”,
with respect to any specified person, has the meaning specified in Rule 144.

                    “Common
Shares” means the Company’s shares of common stock. 

                    “Company”
has the meaning specified in the first paragraph of this Agreement. 

                    “Deferral
Notice” has the meaning specified in Section 3(d) hereof. 

                    “Deferral
Period” has the meaning specified in Section 3(d) hereof. 

                    “Effectiveness
Deadline Date” has the meaning specified in Section 2(a) hereof. 

                    “Effectiveness
Period” means the period commencing on the Issue Date and ending on the
earlier of two (2) years from the Issue Date, the date that all Registrable
Securities have been sold by the Holders or such date that all Registrable
Securities have ceased to be Registrable Securities. 

                    “Exchange
Act” means the United States Securities Exchange Act of 1934, as amended,
and the rules and regulations of the SEC promulgated thereunder. 

                    “Filing
Deadline Date” has the meaning specified in Section 2(a) hereof. 

                    “Holder”
has the meaning specified in the second paragraph of this Agreement. 

                    “Initial
Registration Statement” has the meaning specified in Section 2(a) hereof.

                    “Issue
Date” means May ____, 2007. 

                    “Material
Event” has the meaning specified in Section 3(d) hereof. 

                    “Notice
and Questionnaire” means a written notice delivered to the Company
containing substantially the information called for by the Selling
Securityholder Notice and Questionnaire attached as Annex A to this
Agreement. 

                    “Notice
Holder” means on any date, any Holder that has delivered a Notice and
Questionnaire to the Company on or prior to such date. 

                    “Prospectus”
means the prospectus included in any Registration Statement (including, without
limitation, a prospectus that discloses information previously omitted from a
prospectus filed as part of an effective registration statement in reliance upon
Rule 415 promulgated under the Securities Act), as amended or supplemented by
any amendment or prospectus supplement, including post-effective amendments, and
all materials incorporated by reference or explicitly deemed to be incorporated
by reference in such Prospectus. 

                    “Registrable
Securities” means the Shares issued pursuant to the Subscription Agreement
and any security issued with respect thereto upon any stock dividend, split,
merger or similar event until, in the case of any such security, the earlier of
(i) the sale pursuant to Rule 144 under the Securities Act or a shelf
registration statement of all the Registrable Securities or (ii) the expiration
of the holding period applicable thereto under Rule 144(k) for all Registrable
Securities were such securities not held by an Affiliate of the Company. 

                    “Registration
Statement” means any registration statement of the Company that covers any
of the Registrable Securities pursuant to the provisions of this Agreement,
including the Prospectus, amendments and supplements to such registration
statement, including post-effective amendments, all exhibits, and all materials
incorporated by reference or explicitly deemed to be incorporated by reference
in such registration statement. 

                    “Registration
Statement” has the meaning specified in Section 2(a) hereof. 

                    “Rule
144” means Rule 144 under the Securities Act, as such Rule may be amended
from time to time, or any similar or successor rule or regulation hereafter
adopted by the SEC having substantially the same effect as such Rule. 

                    “SEC”
means the United States Securities and Exchange Commission and any successor
agency. 

                    “Securities
Act” means the United States Securities Act of 1933, as amended, and the
rules and regulations promulgated by the SEC thereunder. 

                    “Subscriber”
means the Subscriber to the Subscription Agreement. 

                    “Subsequent
Registration Statement” has the meaning specified in Section 2(b) hereof.

                    SECTION
2.           Resale
Registration.

                    (a)          
The Company shall prepare and file or cause to be prepared and filed with the
SEC no later than a date which is forty (40) days after the Issue Date (the
“Filing Deadline Date”) a Registration Statement (the “Initial
Registration Statement”) registering the resale from time to time by Holders
of all of the Registrable Securities (a “Registration Statement”). The
Initial Registration Statement shall be on Form SB-2, Form S-1, Form S-3 or
another appropriate form permitting registration of such Registrable Securities
for resale by such Holders in accordance with the methods of distribution set
forth in the Initial Registration Statement and shall register only the
Registrable Securities under this Agreement, unless consented to by Jennings
Capital Inc. and Cormark Securities Inc. The Company shall use its best efforts
to cause the Initial Registration Statement to be declared effective under the
Securities Act no later than the date (the “Effectiveness Deadline
Date”) that is one hundred and fifty (150) days after the Issue Date, and
to keep, subject to Section 3(d)(A) 

Stockgroup Information Systems Inc. 
Registration
Rights Agreement - Page 2 

hereof, the Initial Registration Statement (or any Subsequent
Registration Statement) continuously effective under the Securities Act until
the expiration of the Effectiveness Period. Each Holder that became a Notice
Holder on or prior to the date ten (10) Business Days prior to the time that the
Initial Registration Statement became effective shall be named as a selling
security holder in the Initial Registration Statement and the related Prospectus
in such a manner as to permit such Holder to deliver such Prospectus to
purchasers of Registrable Securities in accordance with applicable law (other
than laws not generally applicable to all such Holders). Notwithstanding the
foregoing, no Holder shall be entitled to have the Registrable Securities held
by it covered by such Registration Statement unless such Holder has provided a
Notice and Questionnaire in accordance with and in compliance with Section 4.
The Company may permit any of its security holders to include any of the
Company’s securities in the Initial Registration Statement or any Subsequent
Registration Statement. 

                    (b)           If
the Initial Registration Statement or any Subsequent Registration Statement
ceases to be effective for any reason at any time during the Effectiveness
Period, the Company shall use its commercially reasonable efforts to obtain the
prompt withdrawal of any order suspending the effectiveness thereof, and in any
event shall within thirty (30) days of such cessation of effectiveness amend the
Registration Statement in a manner reasonably expected by the Company to obtain
the withdrawal of the order suspending the effectiveness thereof, or file an
additional Registration Statement covering all of the securities that as of the
date of such filing are Registrable Securities (a “Subsequent Registration
Statement”). If a Subsequent Registration Statement is filed, the Company
shall use commercially reasonable efforts to cause the Subsequent Registration
Statement to become effective as promptly as is reasonably practicable after
such filing or, if filed during a Deferral Period, after the expiration of such
Deferral Period, and to keep such Registration Statement (or Subsequent
Registration Statement), subject to Section 3(d)(A) hereof, continuously
effective until the end of the Effectiveness Period. 

                    (c)           The
Company shall supplement and amend the Initial or any Subsequent Registration
Statement if required by the rules, regulations or instructions applicable to
the registration form used by the Company for such Registration Statement, if
required by the Securities Act. 

                    (d)           Each
Holder of Registrable Securities agrees that if such Holder wishes to sell
Registrable Securities pursuant to a Registration Statement and related
Prospectus, it will do so only in accordance with this Section 2(d), Section
3(d) and Section 4. Each Holder of Registrable Securities wishing to sell
Registrable Securities pursuant to the Initial or any Subsequent Registration
Statement and related Prospectus agrees to deliver a Notice and Questionnaire to
the Company at least five (5) business days prior to any intended distribution
of Registrable Securities under the Registration Statement. From and after the
date the Initial Registration Statement is declared effective, the Company
shall, as promptly as is reasonably practicable after the date a fully completed
and legible Notice and Questionnaire is received by the Company, (i) if required
by applicable law, file with the SEC a post-effective amendment to the
Registration Statement or prepare and, if required by applicable law, file a
supplement to the related Prospectus or a supplement or amendment to any
document incorporated therein by reference or file any other document required
by the SEC so that the Holder delivering such Notice and Questionnaire is named
as a selling security holder in the Registration Statement and the related
Prospectus in such a manner as to permit such Holder to deliver such Prospectus
to purchasers of the Registrable Securities in accordance with applicable law
(other than laws not generally applicable to all Holders of Registrable
Securities wishing to sell Registrable Securities pursuant to the Registration
Statement and related Prospectus) and using the manner of sale specified in the
Notice and Questionnaire, and, if the Company shall file a post-effective
amendment to the Resale Registration Statement, use commercially reasonable
efforts to cause such post-effective amendment to be declared effective under
the Securities Act as promptly as is reasonably practicable; (ii) provide such
Holder copies of any documents filed pursuant to Section 2(d)(i); and (iii)
notify such Holder as promptly as is reasonably practicable after the
effectiveness under the Securities Act of any post-effective amendment filed
pursuant to Section 2(d)(i); provided, that if such Notice and
Questionnaire is delivered during a Deferral Period, the Company shall so inform
the Holder delivering such Notice and Questionnaire and shall take the actions
set forth in clauses (i), (ii) and (iii) above upon expiration of the Deferral
Period in accordance with Section 3(d), provided, further, that if
under applicable law the Company has more than one option as to the type or
manner of making any such filing, the Company will make the required filing or
filings in the manner or of a type that is reasonably 

Stockgroup Information Systems Inc. 
Registration
Rights Agreement - Page 3 

expected to result in the earliest availability of the
Prospectus for effecting resales of Registrable Securities. Notwithstanding
anything contained herein to the contrary, the Company shall be under no
obligation to name any Holder that is not a Notice Holder as a selling security
holder in any Registration Statement or related Prospectus; provided,
however, that any Holder that becomes a Notice Holder pursuant to the
provisions of this Section 2(d) of this Agreement (whether or not such Holder
was a Notice Holder at the time the Registration Statement was initially
declared effective) shall be named as a selling security holder in the
Registration Statement or related Prospectus subject to and in accordance with
the requirements of this Section 2(d). 

                    SECTION
3.           Registration
Procedures. In connection with the registration obligations of the Company
under Section 2 hereof, the Company shall: 

                    (a)           Prepare
and file with the SEC such amendments and post-effective amendments to each
Registration Statement as may be necessary to keep such Registration Statement
continuously effective for the applicable period specified in Section 2(a);
cause the related Prospectus to be supplemented by any required Prospectus
supplement, and as so supplemented to be filed pursuant to Rule 424 (or any
similar provisions then in force) under the Securities Act; and use commercially
reasonable efforts to comply with the provisions of the Securities Act
applicable to it with respect to the disposition of all securities covered by
such Registration Statement during the Effectiveness Period in accordance with
the intended methods of disposition by the sellers thereof set forth in such
Registration Statement as so amended or such Prospectus as so supplemented. 

                    (b)           Submit
to the SEC, within five (5) Business Days after the Company learns that no
review of a particular Registration Statement will be made by the staff of the
SEC or that the staff has no further comments on a particular Registration
Statement, as the case may be, a request for acceleration of effectiveness of
such Registration Statement to a time and date not later than 48 hours after the
submission of such request. 

                    (c)           Use
commercially reasonable efforts to obtain the withdrawal of any order suspending
the effectiveness of a Registration Statement or the lifting of any suspension
of the qualification (or exemption from qualification) of any of the Registrable
Securities for sale in any jurisdiction in which they have been qualified for
sale, in either case at the earliest possible moment or, if any such order or
suspension is made effective during any Deferral Period, at the earliest
possible moment after the expiration of such Deferral Period. 

                    (d)           Upon
(A) the issuance by the SEC of a stop order suspending the effectiveness of the
Registration Statement or the initiation of proceedings with respect to the
Registration Statement under Section 8(d) or 8(e) of the Securities Act, (B) the
occurrence of any event or the existence of any fact (a “Material Event”)
as a result of which any Registration Statement shall contain any untrue
statement of a material fact or omit to state any material fact required to be
stated therein or necessary to make the statements therein not misleading, or
any Prospectus shall contain any untrue statement of a material fact or omit to
state any material fact necessary to make the statements therein, in light of
the circumstances under which they were made, not misleading (including, in any
such case, as a result of the non-availability of financial statements), or (C)
the occurrence or existence of any development, event, fact, situation or
circumstance relating to the Company that, in the discretion of the Company,
makes it appropriate to suspend the availability of the Registration Statement
and the related Prospectus, (i) in the case of clause (B) above, subject to the
next sentence, as promptly as practicable prepare and file a post-effective
amendment to such Registration Statement or a supplement to the related
Prospectus or any document incorporated therein by reference or file any other
required document that would be incorporated by reference into such Registration
Statement and Prospectus so that such Registration Statement does not contain
any untrue statement of a material fact or omit to state any material fact
required to be stated therein or necessary to make the statements therein not
misleading, and such Prospectus does not contain any untrue statement of a
material fact or omit to state any material fact necessary to make the
statements therein, in the light of the circumstances under which they were
made, not misleading, as thereafter delivered to the purchasers of the
Registrable Securities being sold thereunder, and, in the case of a
post-effective amendment to a Registration Statement, subject to the next
sentence, use commercially reasonable efforts to cause it to be declared
effective as promptly as is reasonably practicable, and (ii) give notice (via
facsimile, telephone or electronic mail followed by a written notice by
first-class mail) to the Notice 

Stockgroup Information Systems Inc. 
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Rights Agreement - Page 4 

Holders that the availability of the Registration Statement is
suspended (a “Deferral Notice”) and, upon receipt of any Deferral Notice,
each Notice Holder agrees not to sell any Registrable Securities pursuant to the
Registration Statement until such Notice Holder’s receipt of copies of the
supplemented or amended Prospectus provided for in clause (i) above, or until it
is advised in writing by the Company that the Prospectus may be used, and has
received copies of any additional or supplemental filings that are incorporated
or deemed incorporated by reference in such Prospectus. The Company will use
commercially reasonable efforts to ensure that the use of the Prospectus may be
resumed (x) in the case of clause (A) above, as promptly as is practicable, (y)
in the case of clause (B) above, as soon as, in the sole reasonable judgment of
the Company, public disclosure of such Material Event would not be prejudicial
to or contrary to the interests of the Company or, if necessary to avoid
unreasonable burden or expense, as soon as reasonably practicable thereafter and
(z) in the case of clause (C) above, as soon as, in the reasonable discretion of
the Company, such suspension is no longer appropriate. The period during which
the availability of the Registration Statement and any Prospectus is suspended
(the “Deferral Period”) is not to exceed (i) 20 consecutive days at any
one time; (ii) 30 days in the aggregate in any three-month period; or (iii) 60
days in the aggregate during any 12-month period, or as otherwise required by
applicable regulatory authority; provided that, the number of days the Company
is required to keep the Registration Statement effective shall be extended by
the number of days equal to the aggregate Deferral Period(s). The first day of
any Deferral Period must be at least two (2) trading days after the last day of
any prior Deferral Period. 

                    (e)           During
the Effectiveness Period (except during such periods that a Deferral Notice is
outstanding and has not been revoked), deliver to each Notice Holder in
connection with any sale of Registrable Securities pursuant to a Registration
Statement, without charge, as many copies of the Prospectus or Prospectuses
relating to such Registrable Securities and any amendment or supplement thereto
as such Notice Holder may reasonably request; and the Company hereby consents
(except during such periods that a Deferral Notice is outstanding and has not
been revoked) to the use of such Prospectus or each amendment or supplement
thereto by each Notice Holder in connection with any offering and sale of the
Registrable Securities covered by such Prospectus or any amendment or supplement
thereto in the manner set forth therein. 

                    (f)           Subject
to Section 3(d), use commercially reasonable efforts to register or qualify or
cooperate with the Notice Holders in connection with the registration or
qualification (or exemption from such registration or qualification) of such
Registrable Securities for offer and sale under the securities laws of the
United States, it being agreed that no such registration or qualification will
be made unless so requested; use commercially reasonable efforts to keep each
such registration or qualification (or exemption therefrom) effective during the
Effectiveness Period in connection with such Notice Holder’s offer and sale of
Registrable Securities pursuant to such registration or qualification (or
exemption therefrom) and do any and all other acts or things necessary to enable
the disposition in such jurisdictions of such Registrable Securities in the
manner set forth in the relevant Registration Statement and the related
Prospectus; provided, that the Company will not be required to (i)
qualify as a foreign corporation or as a dealer in securities in any
jurisdiction where it is not otherwise qualified or (ii) take any action that
would subject it to general service of process in suits or to taxation in any
such jurisdiction where it is not then so subject. 

                    (g)           Upon
(i) the filing of the Initial Registration Statement and (ii) the effectiveness
of the Initial Registration Statement, announce the same, in each case by press
release or any other means of dissemination reasonably expected to make such
information known publicly. 

                    SECTION
4. Holder’s Obligations. Each Holder agrees, by acquisition of the
Registrable Securities, that no Holder of Registrable Securities shall be
entitled to sell any of such Registrable Securities pursuant to a Registration
Statement or to receive a Prospectus relating thereto, unless such Holder has
furnished the Company with a Notice and Questionnaire as required pursuant to
this Section 4 (including the information required to be included in such Notice
and Questionnaire) and the information set forth in the next sentence. Each
Holder of Registrable Securities wishing to sell Registrable Securities pursuant
to the Initial or any Subsequent Registration Statement and related Prospectus
agrees to deliver a Notice and Questionnaire to the Company at least five (5)
business days prior to the filing of the Initial Registration Statement or
Subsequent Registration Statement. Each Notice Holder agrees promptly to furnish
to the Company in writing all 

Stockgroup Information Systems Inc. 
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Rights Agreement - Page 5 

information required to be disclosed in order to make the
information previously furnished to the Company by such Notice Holder not
misleading, any other information regarding such Notice Holder and the
distribution of such Registrable Securities as may be required to be disclosed
in the Registration Statement under applicable law or pursuant to SEC comments
and any information otherwise required by the Company to comply with applicable
law or regulations. Each Holder further agrees, following termination of the
Effectiveness Period, to notify the Company, within twenty (20) Business Days of
a request, of the amount of Registrable Securities sold pursuant to the
Registration Statement and, in the absence of a response, the Company may assume
that all of the Holder’s Registrable Securities were so sold. 

                    SECTION
5.           Registration
Expenses. The Company shall bear all fees and expenses incurred in
connection with the performance by the Company of its obligations under Sections
2 and 3 of this Agreement whether or not any of the Registration Statements are
declared effective. Such fees and expenses shall include, without limitation,
(i) all registration and filing fees (including, without limitation, fees and
expenses (x) with respect to filings required to be made with the NASD Over the
Counter Bulletin Board and (y) of compliance with federal and state securities
laws to the extent such filings or compliance are required pursuant to this
Agreement (including, without limitation, reasonable fees and disbursements of
the counsel specified in the next sentence in connection with qualifications of
the Registrable Securities under the laws of such jurisdictions as the Notice
Holders of a majority of the Registrable Securities being sold pursuant to a
Registration Statement may designate)), (ii) printing expenses, (iii)
duplication expenses relating to copies of any Registration Statement or
Prospectus delivered to any Holders hereunder, and (iv) fees and disbursements
of counsel for the Company in connection with the Registration Statement. In
addition, the Company shall pay its internal expenses (including, without
limitation, all salaries and expenses of officers and employees performing legal
or accounting duties), and its expenses for any annual audit, the fees and
expenses incurred in connection with the listing of the Registrable Securities
on any securities exchange on which the same securities of the Company are then
listed and the fees and expenses of any person, including special experts,
retained by the Company. 

                    SECTION
6.           Registrant
and Information Requirements. The Company represents that Form SB-2 under
the Securities Act is, on the date of this Agreement, available for the
registration of the Registrable Securities by the Company for sale by the
Holders. The Company covenants that (a) during the Effectiveness Period, it will
(i) make and keep public information available, as those terms are understood
and defined in Rule 144, (ii) take such action as is necessary to enable the
Holders to utilize Form SB-2 for the sale of their Registrable Securities, (iii)
file with the SEC in a timely manner all reports and other documents required of
the Company under the Securities Act and the Exchange Act, and (b) so long as
any Holder owns any Registrable Securities, it will furnish to such Holder,
forthwith upon request (i) a written statement by the Company that it has
complied with the reporting requirements of Rule 144, the Securities Act and the
Exchange Act, (ii) a copy of the most recent annual or quarterly report of the
Company and such other reports and documents so filed by the Company, and (iii)
such other information as may be reasonably requested in availing any Holder of
any rule or regulation of the SEC that permits the selling of any such
securities without registration or Form SB-2.

                    SECTION
7.           Indemnification
and Contribution.

                    (a)          
The Company agrees to indemnify and hold harmless each Holder of Registrable
Securities covered by the Registration Statement, the directors, officers,
employees, Affiliates and agents of each such Holder and each person who
controls any such Holder within the meaning of either the Securities Act or the
Exchange Act against any and all losses, claims, damages or liabilities, joint
or several, to which they or any of them may become subject under the Securities
Act, the Exchange Act or other federal or state statutory law or regulation, at
common law or otherwise, insofar as such losses, claims, damages or liabilities
(or actions in respect thereof) arise out of or are based upon any untrue
statement or alleged untrue statement of a material fact contained in the
Registration Statement or in any amendment thereof, in each case at the time
such became effective under the Securities Act, or in any preliminary Prospectus
or the Prospectus, or in any amendment thereof or supplement thereto, or arise
out of or are based upon the omission or alleged omission to state therein a
material fact required to be stated therein or necessary to make the statements
therein (in the case of any preliminary Prospectus or the Prospectus, in the
light of the circumstances under which they were made) not misleading, and
agrees to reimburse each such indemnified party, as incurred, for any legal or
other expenses 

Stockgroup Information Systems Inc. 
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Rights Agreement - Page 6 

reasonably incurred by it in connection with investigating or
defending any such loss, claim, damage, liability or action; provided,
however, that the Company will not be liable in any such case to the extent
that any such loss, claim, damage or liability arises out of or is based upon
any such untrue statement or alleged untrue statement or omission or alleged
omission made therein in reliance upon and in conformity with written
information furnished to the Company by or on behalf of the party claiming
indemnification specifically for inclusion therein. This indemnity agreement
shall be in addition to any liability that the Company may otherwise have. 

                    (b)           Each
Holder of securities covered by the Registration Statement severally and not
jointly agrees to indemnify and hold harmless the Company, each of its
directors, each of its officers who signs the Registration Statement and each
person who controls the Company within the meaning of either the Securities Act
or the Exchange Act, to the same extent as the foregoing indemnity from the
Company to each such Holder, but only with reference to written information
relating to such Holder furnished to the Company by or on behalf of such Holder
specifically for inclusion in the documents referred to in the foregoing
indemnity. This indemnity agreement shall be acknowledged by each Notice Holder
that is not a Subscriber in such Notice Holder's Notice and Questionnaire and
shall be in addition to any liability that any such Notice Holder may otherwise
have. 

                    (c)          
Promptly after receipt by an indemnified party under this Section 7 or notice of
the commencement of any action, such indemnified party will, if a claim in
respect thereof is to be made against the indemnifying party under this Section
7, notify the indemnifying party in writing of the commencement thereof; but the
failure so to notify the indemnifying party (i) will not relieve it from
liability under paragraph (a) or (b) above unless such failure results in the
forfeiture by the indemnifying party of substantial rights and defenses or
otherwise materially prejudices the indemnifying party; and (ii) will not, in
any event, relieve the indemnifying party from any obligations to any
indemnified party other than the indemnification obligation provided in
paragraph (a) or (b) above. The indemnifying party shall be entitled to appoint
counsel (including local counsel) of the indemnifying party's choice at the
indemnifying party's expense to represent the indemnified party in any action
for which indemnification is sought (in which case the indemnifying party shall
not thereafter be responsible for the fees and expenses of any separate counsel,
other than local counsel if not appointed by the indemnifying party, retained by
the indemnified party or parties except as set forth below); provided,
however, that such counsel shall be reasonably satisfactory to the
indemnified party. Notwithstanding the indemnifying party's election to appoint
counsel (including local counsel) to represent the indemnified party in an
action, the indemnified party shall have the right to employ separate counsel
(including local counsel), and the indemnifying party shall bear the reasonable
fees, costs and expenses of such separate counsel if (i) the use of counsel
chosen by the indemnifying party to represent the indemnified party would
present such counsel with a conflict of interest; (ii) the actual or potential
defendants in, or targets of, any such action include both the indemnified party
and the indemnifying party and the indemnified party shall have reasonably
concluded that there may be legal defenses available to it and/or other
indemnified parties that are different from or additional to those available to
the indemnifying party; (iii) the indemnifying party shall not have employed
counsel reasonably satisfactory to the indemnified party to represent the
indemnified party within a reasonable time after notice of the institution of
such action; or (iv) the indemnifying party shall authorize the indemnified
party to employ separate counsel at the expense of the indemnifying party. An
indemnifying party will not, without the prior written consent of the
indemnified parties, settle or compromise or consent to the entry of any
judgment with respect to any pending or threatened claim, action, suit or
proceeding in respect of which indemnification or contribution may be sought
hereunder (whether or not the indemnified parties are actual or potential
parties to such claim or action) unless such settlement, compromise or consent
includes an unconditional release of each indemnified party from all liability
arising out of such claim, action, suit or proceeding. 

                    (d)          
If the indemnification to which an indemnified party is entitled under this
Section 7 is for any reason unavailable to or insufficient although applicable
in accordance with its terms to hold harmless an indemnified party in respect of
any losses, liabilities, claims, damages or expenses referred to therein, then
each indemnifying party shall contribute to the aggregate amount of such losses,
liabilities, claims, damages and expenses incurred by such indemnified party, as
incurred, in such proportion as is appropriate to reflect the 

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Rights Agreement - Page 7 

relative fault of the indemnifying party or parties on the one
hand and of the indemnified party on the other hand in connection with the
statements or omissions which resulted in such losses, liabilities, claims,
damages or expenses, as well as any other relevant equitable considerations.

                    The
relative fault of the Company on the one hand and the Holders of the Registrable
Securities or the Subscriber on the other hand shall be determined by reference
to, among other things, whether any such untrue or alleged untrue statement of a
material fact or omission or alleged omission to state a material fact relates
to information supplied by the Company or by the holder of the Registrable
Securities or the Subscriber and the parties’ relative intent, knowledge, access
to information and opportunity to correct or prevent such statement or omission.

                    The
parties hereto agree that it would not be just and equitable if contribution
pursuant to this Section 7(d) were determined by pro rata allocation or by any
other method of allocation which does not take account of the equitable
considerations referred to above in this Section 7(d). The aggregate amount of
losses, liabilities, claims, damages, and expenses incurred by an indemnified
party and referred to above in this Section 7(d) shall be deemed to include any
out-of-pocket legal or other expenses reasonably incurred by such indemnified
party in investigating, preparing or defending against any litigation, or any
investigation or proceeding by any governmental agency or body, commenced or
threatened, or any claim whatsoever based upon any such untrue or alleged untrue
statement or omission or alleged omission.

                    Notwithstanding
the provisions of this Section 7, neither the Holder of any Registrable
Securities nor the Subscriber shall be required to indemnify or contribute any
amount in excess of the amount by which the total price at which the Registrable
Securities sold by such Holder of Registrable Securities or by the Subscriber,
as the case may be, and distributed to the public were offered to the public
exceeds the amount of any damages that such Holder of Registrable Securities or
the Subscriber has otherwise been required to pay by reason of such untrue or
alleged untrue statement or omission or alleged omission. 

                    No
person guilty of fraudulent misrepresentation (within the meaning of Section
11(f) of the Securities Act) shall be entitled to contribution from any person
who was not guilty of such fraudulent misrepresentation. 

                    For
purposes of this Section 7(d), each person, if any, who controls the Subscriber
or any Holder of Registrable Securities within the meaning of Section 15 of the
Securities Act or Section 20 of the Exchange Act shall have the same rights to
contribution as the Subscriber or such Holder, and each person, if any, who
controls the Company within the meaning of Section 15 of the Securities Act or
Section 20 of the Exchange Act shall have the same rights to contribution as the
Company. 

                    (e)           The
provisions of this Section 7 shall remain in full force and effect, regardless
of any investigation made by or on behalf of any Holder or the Company or any of
the indemnified persons referred to in this Section 7, and shall survive the
sale by a Holder of Registrable Securities covered by the Registration
Statement. 

Stockgroup Information Systems Inc. 
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Rights Agreement - Page 8 

                    SECTION
8.           Liquidated
Damages 

                    (a)           If
the Initial Registration Statement is not filed on or prior to the Filing
Deadline Date (any such failure or breach being referred to as a “Filing
Default,” and the date on which such event occurs (the “Filing Default
Date”), then in addition to any other rights available to the Holders: (x)
on such Filing Default Date, the Company shall pay to each Holder an amount in
cash, as partial liquidated damages and not as a penalty, equal to 5% of the
product of (A) the Subscription Price, and (B) the number of Common Shares held
by such Holder as of the Filing Default Date that are Registrable Securities
(such product, the “Holder’s Subscription Amount”) (which remedy
shall not be exclusive of any other remedies available under this Agreement);
and (y) on each 30 day anniversary of each such Filing Default Date thereof (if
the applicable default shall not have been cured by such date) until the
applicable Filing Default is cured, the Company shall pay to each Holder an
amount in cash, as partial liquidated damages and not as a penalty, equal to 2%
of the Holder’s Subscription Amount. 

                    (b)          
If the Initial Registration Statement is not declared effective by the SEC or
otherwise becomes effective on or prior to the Effectiveness Deadline Date (any
such failure or breach being referred to as a “Effectiveness Default,”
and the date on which such event occurs (the “Effectiveness Default
Date”), then in addition to any other rights available to the Holders: (x)
on such Effectiveness Default Date, the Company shall pay to each Holder an
amount in cash, as partial liquidated damages and not as a penalty, equal to 2%
of the product of (A) the Subscription Price, and (B) the number of Common
Shares held by such Holder as of the Effectiveness Default Date that are
Registrable Securities (such product, the “Holder’s Subscription Amount”)
(which remedy shall not be exclusive of any other remedies available under this
Agreement); and (y) on each 30 day anniversary of each such Effectiveness
Default Date thereof (if the applicable default shall not have been cured by
such date) until the applicable Effectiveness Default is cured, the Company
shall pay to each Holder an amount in cash, as partial liquidated damages and
not as a penalty, equal to 2% of the Holder’s Subscription Amount.

                    (c)           If
after its Effective Date the Initial Registration Statement or any Subsequent
Registration Statement ceases for any reason (including without limitation by
reason of a stop order, or the Company’s failure to update the Registration
Statement), but excluding the inability of any Holder to sell the Registrable
Securities covered thereby due to market conditions, to be effective and
available to the Holders as to all Registrable Securities to which it is
required to cover at any time prior to the expiration of the Effectiveness
Period for more than an aggregate of 30 Trading Days in any 12-month period
(which need not be consecutive)(an “Unauthorized Suspension”), the date
which such 30 Trading Day period is exceeded, being referred to as “Event
Date”), then in addition to any other rights available to the Holders: (x)
on such Unauthorized Suspension, the Company shall pay to each Holder an amount
in cash, as partial liquidated damages and not as a penalty, equal to 2% of the
product of (A) the Subscription Price, and (B) the number of Common Shares held
by such Holder as of the date of the Unauthorized Suspension that are
Registrable Securities which are not eligible to be sold in the market by the
Holder under Rule 144 (such product, the “Holder’s Amount”) (which remedy
shall not be exclusive of any other remedies available under this Agreement);
and (y) on each 30 day anniversary of each such Unauthorized Suspension thereof
(if the applicable default shall not have been cured by such date) until the
applicable Unauthorized Suspension is cured, the Company shall pay to each
Holder an amount in cash, as partial liquidated damages and not as a penalty,
equal to 2% of the Holder’s Amount. 

                    (d)           If
the Company fails to pay any partial liquidated damages pursuant to this Section
8 in full within seven days after the date payable, the Company will pay
interest thereon at a rate of 18% per annum (or such lesser maximum amount that
is permitted to be paid by applicable law) to the Holder, accruing daily from
the date such partial liquidated damages are due until such amounts, plus all
such interest thereon, are paid in full. The partial liquidated damages pursuant
to the terms hereof shall apply on a pro-rata basis for any portion of a month
prior to the cure of a default set forth in this Section 8. 

Stockgroup Information Systems Inc. 
Registration
Rights Agreement - Page 9 

                    (e)          
Notwithstanding anything else in this Agreement, the maximum payable by the
Company to any Holder is: 

(i)          
under subsection (a) of this Section 8, 15% of the Holder’s Subscription Amount
as liquidated damages; and 

(ii)           under
subsections (b) and (c) combined of this Section 8, 15% of the Holder’s
Subscription Amount as liquidated damages,

for a maximum of 30% as liquidated damages under this Section
8. 

                    SECTION
9.           Miscellaneous

                    (a)          
No Conflicting Agreements. The Company is not, as of the date hereof, a
party to, nor shall they, on or after the date of this Agreement, enter into,
any agreement with respect to the Company’s securities that conflicts with the
rights granted to the Holders of Registrable Securities in this Agreement. The
Company represents and warrants that the rights granted to the Holders of
Registrable Securities hereunder do not in any way conflict with the rights
granted to the holders of the Company’s securities under any other agreements.

                    (b)          
Amendments and Waivers. The provisions of this Agreement, including the
provisions of this sentence, may not be amended, modified or supplemented, and
waivers or consents to departures from the provisions hereof may not be given,
unless the Company has obtained the written consent of Holders of a majority of
the then outstanding Registrable Securities. Notwithstanding the foregoing, a
waiver or consent to depart from the provisions hereof with respect to a matter
that relates exclusively to the rights of Holders of Registrable Securities
whose securities are being sold pursuant to a Registration Statement and that
does not directly or indirectly affect the rights of other Holders of
Registrable Securities may be given by Holders of at least a majority of the
Registrable Securities being sold by such Holders pursuant to such Registration
Statement; provided, that the provisions of this sentence may not be
amended, modified, or supplemented except in accordance with the provisions of
the immediately preceding sentence. Each Holder of Registrable Securities
outstanding at the time of any such amendment, modification, supplement, waiver
or consent or thereafter shall be bound by any such amendment, modification,
supplement, waiver or consent effected pursuant to this Section 9(b), whether or
not any notice, writing or marking indicating such amendment, modification,
supplement, waiver or consent appears on the Registrable Securities or is
delivered to such Holder. 

                    (c)           Notices.
All notices and other communications provided for or permitted hereunder shall
be made in writing by hand delivery, by telecopier, by courier guaranteeing
overnight delivery or by first-class mail, return receipt requested, and shall
be deemed given (i) when made, if made by hand delivery, (ii) upon confirmation,
if made by telecopier, (iii) one (1) Business Day after being deposited with
such courier, if made by overnight courier, or (iv) on the date indicated on the
notice of receipt, if made by first-class mail, to the parties as follows: 

if to a Notice Holder, at the most current address given by
such Holder to the Company in a Notice and Questionnaire or any amendment
thereto; 

Stockgroup Information Systems Inc. 
Registration
Rights Agreement - Page 10 

if to the Company, to: 

Stockgroup Information Systems Inc.

750 West Pender Street, Suite 500 
Vancouver, BC, V6C 2T7 
Canada

Attention: President & CEO 
Facsimile: 604-331-1194 

                    with
a copy to: 

Clark Wilson LLP

Barristers & Solicitors 
800 - 885 W Georgia Street

Vancouver, BC V6C 3H1 Canada 
Attention: Bernard Pinsky 
Facsimile No.
604-687-6314 

or to such other address as such person may have furnished to
the other persons identified in this Section 9(c) in writing in accordance
herewith. 

                    (d)          
Approval of Holders. Whenever the consent or approval of Holders of a
specified percentage of Registrable Securities is required hereunder,
Registrable Securities held by the Company or its Affiliates (other than the
Subscriber or subsequent Holders of Registrable Securities if such subsequent
Holders are deemed to be such Affiliates solely by reason of their holdings of
such Registrable Securities) shall not be counted in determining whether such
consent or approval was given by the Holders of such required percentage. 

                    (e)          
Successors and Assigns. This Agreement shall inure to the benefit of and
be binding upon the successors and assigns of each of the parties hereto and,
without requiring any express assignment, shall inure to the benefit of and be
binding upon each Holder of any Registrable Securities; provided, that
nothing herein shall be deemed to permit any assignment, transfer of other
disposition of Registrable Securities in violation of the terms of the
Subscription Agreement. If any transferee of any Holder shall acquire
Registrable Securities in any manner, whether by operation of law or otherwise,
such Registrable Securities shall be subject to all of the terms of this
Agreement and by taking and holding such Registrable Securities such person
shall be conclusively deemed to have agreed to be bound by and to perform all of
the terms and provisions of this Agreement. 

                    (f)          
Counterparts. This Agreement may be executed in any number of
counterparts and by the parties hereto in separate counterparts, each of which
when so executed shall be deemed to be original and all of which taken together
shall constitute one and the same agreement. 

                    (g)          
Headings. The headings in this Agreement are for convenience of reference
only and shall not limit or otherwise affect the meaning hereof. 

                    (h)           Governing
Law. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH
THE LAWS OF THE STATE OF NEVADA. 

                    (i)           Severability.
If any term, provision, covenant or restriction of this Agreement is held to be
invalid, illegal, void or unenforceable, the remainder of the terms, provisions,
covenants and restrictions set forth herein shall remain in full force and
effect and shall in no way be affected, impaired or invalidated thereby, and the
parties hereto shall use their reasonable best efforts to find and employ an
alternative means to achieve the same or substantially the same result as that
contemplated by such term, provision, covenant or 

Stockgroup Information Systems Inc. 
Registration
Rights Agreement - Page 11 

restriction, it being intended that all of the rights and
privileges of the parties hereto shall be enforceable to the fullest extent
permitted by law. 

                    (j)           Entire
Agreement. This Agreement is intended by the parties hereto as a final
expression of their agreement and is intended to be a complete and exclusive
statement of the agreement and understanding of the parties hereto in respect of
the subject matter contained herein and the registration rights granted by the
Company with respect to the Registrable Securities. Except as provided in the
Subscription Agreement, there are no restrictions, promises, warranties or
undertakings, other than those set forth or referred to herein, with respect to
the registration rights granted by the Company with respect to the Registrable
Securities. This Agreement supersedes all prior agreements and undertakings
among the parties hereto with respect to such registration rights. 

                    (k)          
Termination. This Agreement and the obligations of the parties hereunder
shall terminate upon the expiration of the Effectiveness Period. 

Stockgroup Information Systems Inc. 
Registration
Rights Agreement - Page 12 

IN WITNESS WHEREOF the parties hereto have duly executed
this Registration Rights Agreement as of the day and year set forth above.

STOCKGROUP INFORMATION SYSTEMS INC. 

 

By: ____________________________________________
Name:

Office:

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