January 8, 2010
Risk Warning
Before deciding to participate in the Forex market, you should carefully consider your investment objectives, level of experience and risk appetite. Most importantly do not invest money you cannot afford to lose.
There is considerable exposure to risk in any off-exchange foreign exchange transaction, including but not limited to leverage, creditworthiness, limited regulatory protection and market volatility that may substantially affect the price or liquidity of a currency or currency pair.
Moreover the leveraged nature of forex trading means that any market movement will have an equally proportional effect on your deposited funds. This may work against you as well as for you.
The possibility exists that you may sustain a total loss of initial margin funds and be required to deposit additional funds to maintain your position. If you fail to meet any margin requirement, you position may be liquidated and you will be responsible for any resulting losses. To manage exposure, employ risk-reducing strategies such as “stop-loss” or “limit” orders
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