Risk Disclosure

1. Purpose of this Risk Disclosure

This Risk Disclosure summarises important risks associated with financial markets, trading, leveraged products, contracts for difference, foreign exchange, commodities, indices, cryptoassets, futures, options, derivatives, simulated accounts, evaluation accounts, funded-trader programmes, and technology-based access to trading platforms.

This disclosure is not exhaustive and does not explain every risk. You should carefully consider whether any Finotive service is suitable for your circumstances, knowledge, experience, objectives, and financial situation. You should obtain independent advice where appropriate.

2. No advice

Finotive does not provide investment advice, financial advice, trading advice, legal advice, tax advice, portfolio management, or personal recommendations unless expressly stated in separate legal documentation. Any information, example, market commentary, educational material, marketing material, dashboard metric, account statistic, or performance illustration is general in nature and should not be treated as advice.

3. General trading risk

Trading and investing in financial markets involves a high level of risk. Prices can move rapidly and unpredictably. You may lose all or part of the money, fees, margin, collateral, or capital committed to a product or trading activity. Depending on the product and applicable terms, losses may exceed the amount committed to a position.

You should not risk more than you can afford to lose.

4. Leverage and margin risk

Leveraged trading magnifies gains and losses. A small market movement can have a disproportionately large impact on account equity. Margin requirements can change quickly. Positions may be closed automatically if margin requirements are not met. You may have limited time to respond to margin calls, account-rule breaches, volatility, liquidity changes, or platform events.

5. CFD and OTC product risk

Contracts for difference and other over-the-counter leveraged products are complex and high-risk. They may involve leverage, counterparty risk, pricing risk, spread changes, financing charges, liquidity limitations, conflicts of interest, platform risks, and rapid loss of capital. They may not be suitable for retail clients or inexperienced traders.

6. Futures, options, and exchange-traded derivatives risk

Futures, options, and exchange-traded derivatives can involve substantial risk. Leverage, margining, daily settlement, volatility, liquidity, expiry, delivery, exchange rules, position limits, and clearing arrangements can materially affect outcomes. Losses can be substantial and, depending on the product and account terms, may exceed the amount initially committed.

7. Foreign exchange risk

Foreign exchange markets can be volatile and may be affected by interest rates, monetary policy, political events, economic data, liquidity, market sentiment, and central-bank intervention. Currency conversions may also affect profits, losses, fees, payouts, and account balances.

8. Commodities, indices, and cryptoasset risk

Commodity, index, and cryptoasset-linked products can be highly volatile. Cryptoassets and cryptoasset-linked products may be subject to extreme price movements, technological risks, regulatory changes, custody risks, network risks, exchange outages, liquidity issues, forks, hacks, and market manipulation. You should understand the specific risks before trading or using any product linked to these assets.

9. Market volatility, slippage, gapping, and liquidity risk

Market prices can move rapidly, including during news events, market opens, market closes, weekends, holidays, illiquid periods, and times of stress. Orders may be filled at prices different from expected, may be rejected, may experience slippage, or may not be executed. Stop-loss orders and risk controls may not guarantee a particular exit price.

10. Technology, platform, and data risk

Trading and account access depend on technology. Platforms, dashboards, data feeds, APIs, payment systems, internet connections, third-party providers, servers, and devices may fail, be delayed, be unavailable, or display inaccurate information. Cybersecurity incidents, outages, latency, software errors, maintenance, provider failures, and connectivity issues may affect access, execution, account status, or service availability.

11. Counterparty, provider, and regulatory risk

Depending on the service, you may be exposed to risks relating to counterparties, brokers, exchanges, liquidity providers, payment providers, clearing arrangements, technology providers, banking providers, verification providers, and regulators. Legal and regulatory protections may vary by jurisdiction, entity, product, client category, and account type.

12. Simulated accounts and evaluation accounts

Where a Finotive service involves simulated accounts, demo environments, virtual balances, evaluation accounts, challenge accounts, simulated trading, or funded-trader programmes, the account may not constitute a live trading account and may not involve client money, brokerage, or real market execution unless expressly stated in product-specific terms.

Simulated trading results may differ from live trading results. Simulated accounts may not reflect all live market conditions, liquidity constraints, slippage, spreads, commissions, financing, order-book depth, market impact, execution delays, exchange rules, counterparty behaviour, or the psychological impact of risking real capital.

13. Funded-trader and payout risk

Payout examples, marketing examples, account statistics, evaluation outcomes, and simulated trading results do not guarantee future payouts, future funding, account approval, continued access, profitability, or income. Payouts, upgrades, account access, and eligibility may be subject to product-specific terms, verification, payment checks, tax documentation, fraud review, rule compliance, jurisdiction checks, and risk controls.

14. Tax risk

Trading, payouts, rewards, refunds, rebates, commissions, and other amounts may have tax consequences. Tax treatment depends on your jurisdiction, residence, status, activities, and personal circumstances. Finotive does not provide tax advice. You are responsible for understanding and complying with your tax obligations.

15. Regulatory and jurisdiction risk

Services may not be available in all jurisdictions. Laws and regulations may change. A service available today may become restricted, modified, or unavailable in the future. Finotive may refuse, restrict, suspend, or terminate access where required or considered appropriate for legal, regulatory, sanctions, payment, fraud-prevention, risk-management, or compliance reasons.

16. Past performance and marketing examples

Past performance, simulated performance, modelled performance, back-tested performance, account statistics, marketing examples, testimonials, payout examples, and trading outcomes are not reliable indicators of future performance. No representation is made that any person will achieve profits, payouts, funding, account approval, or results similar to those shown.

17. Your responsibility

You are responsible for understanding the risks, reading applicable terms, maintaining secure account access, complying with laws applicable to you, using only funds you can afford to lose, and obtaining independent advice where appropriate.