RISK DISCLOSURE STATEMENT
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Risk Warning
High Risk Investment
Margined Currency Trading is one of the riskiest forms of investment available
in the financial markets and is only suitable for sophisticated individuals and
institutions. An account permits you to trade foreign currencies on a highly
leveraged basis (up to approximately 50 times your account equity). In a
standard account an initial deposit of $1,000 will enable the account holder to
take a maximum position of $100,000 market value. (Please note that the
minimum required to open an account is $2,500 for a standard account and
$250 for a mini).
The funds in an account trading at maximum leverage can be completely lost, if
the position(s) held in the account has a one percent swing in value.
Theoretically, an account could lose more than the equity it contains, if the
account is trading at maximum leverage and positions held in the account
swing more than one percent in value. Given the possibility of losing one's
entire investment, speculation in the foreign exchange market should only be
conducted with risk capital funds that if lost will not significantly effect one's
personal or institution's financial well beings.
Internet Trading Risks
In addition, there are risks associated with utilizing an Internet-based deal
execution trading system including, but not limited to, the failure of hardware,
software, and Internet connection. Configuration of your equipment or reliability
of its connection is your responsibility, we cannot be responsible for
communication failures, distortions or delays when trading via the Internet. The
Broker employs back up systems and contingency plans to minimize the
possibility of system failure, and trading via telephone is always available.