1. General Risk Warning
Trading CFDs, foreign exchange, cryptocurrencies and other leveraged products carries a high level of risk and may not be suitable for all investors. You could lose some or all of your invested capital, and you should therefore not trade with money you cannot afford to lose. Before trading with marketcapital24, carefully consider your investment objectives, level of experience and risk appetite, and seek independent financial advice if you have any doubts.
2. Leverage & Margin
Leverage allows you to open positions much larger than the funds deposited in your account. While this can magnify profits, it equally magnifies losses. A small market movement can have a proportionately much larger impact on your account. If the market moves against you, you may be required to deposit additional margin at short notice, and your positions may be closed automatically at a loss.
3. Market Volatility
Financial markets can be highly volatile. Prices may move rapidly and unpredictably due to economic data, political events, central-bank decisions, natural disasters or changes in market sentiment. During such periods spreads may widen significantly and it may be difficult or impossible to execute orders at the desired price.
4. Gapping & Slippage
Markets may open at a price significantly different from the previous close (a “gap”), for example over weekends or following major news. Stop-loss orders do not guarantee a limit on your losses; in fast markets they may be executed at a worse price than specified.
5. Cryptocurrency Risks
Cryptocurrency CFDs are especially volatile and are affected by factors such as regulatory changes, technological developments, exchange outages and security breaches. Their prices can change dramatically within very short periods, and the underlying markets may be less transparent than traditional markets.
6. Over-the-Counter (OTC) Trading
CFDs are traded over the counter and not on a regulated exchange. marketcapital24 acts as the counterparty to your trades. This means you are exposed to the credit risk of marketcapital24 and that positions can only be closed with us, during our trading hours.
7. Technology & Communication Risks
Trading through online platforms involves risks including hardware or software failure, internet disruption, latency, and unauthorised access. We are not responsible for losses caused by failures of communication systems outside our reasonable control.
8. Currency Risk
Where instruments are denominated in a currency different from your account base currency, exchange-rate fluctuations may affect your profits and losses.
9. No Investment Advice
marketcapital24 provides an execution-only service. Any information, analysis, signals or educational material provided is for general purposes only and does not constitute investment advice or a recommendation to buy or sell any instrument. Past performance is not a reliable indicator of future results.
10. Negative Balance Protection
Retail clients of marketcapital24 benefit from negative balance protection, meaning you cannot lose more than the total funds in your trading account. This does not, however, protect you from losing your entire account balance.
11. Acknowledgement
By opening an account you confirm that you have read and understood this Risk Disclosure and accept the risks associated with trading leveraged products. This document does not disclose every risk; you should make sure you fully understand the products before trading.
For any questions about this document, contact us at support@marketcapital24.com, call , or write to marketcapital24, Level 12, 100 Example Street, City, Country.