Margin CFD trading involves high risks and may not be suitable for all investors. Investors may encounter losses that exceed the deposit amount during trading. The information in this website, email or related websites does not recommend any financial products, and the information contained is not based on the individual goals, financial situation and needs of investors. Before deciding to trade margin CFDs, investors are advised to read our documents carefully and seek independent expert advice if necessary. All information and content on this website are subject to change without notice.
Before applying for an account, the client should carefully consider whether trading the derivative CFD is suitable for him according to his own situation and financial situation. The principle of leverage is required to trade CFDs on derivatives. When considering whether to conduct transactions in this form, customers need to pay attention to the following:
Risks involved in trading derivatives CFDs
Customers should unconditionally recognize and accept that no matter what information may be provided by the company, the value of the CFD provided by the company may fluctuate upwards or downwards, and may even render the investment worthless.
Trading CFDs and other leveraged products is subject to certain risks and may not be suitable for all investors. Before you decide to conduct such a transaction, please make sure that you have fully understood the risks that the transaction may involve. If necessary, we recommend that you seek financial professional advice. Until the customer fully understands all the risks that may be involved, it is not easy to directly or indirectly carry out any contract for difference
The client shall unconditionally recognize and accept that as a result of trading CFDs, he shall bear a greater risk of loss and damage, and acknowledge and declare that he is willing to bear such risks.
High leverage is a specific feature of derivative CFDs. This is due to the margin system applicable to this type of transaction, which generally includes a deposit or margin corresponding to the entire contract value, so it can also cause a disproportionate and dramatic impact on customer transactions when relatively small fluctuations occur in the relevant market. .
The tradable CFDs provided by the company are "spot transactions without principal delivery" and provide an opportunity to use "basic instruments"-exchange rates, commodities, stock market indexes or stocks to make profits. If the fluctuation direction of the basic instrument is oriented to the customer's preference, the customer may obtain a better profit, but if a small market fluctuation in the opposite direction can not only quickly cause the loss of the customer's entire deposit, but may also generate additional commissions or other expenses expenditure.
Price fluctuations and existing market restrictions
The CFDs provided by the company are derivative securities, and their CFD prices are derived from the prices of basic related instruments. Derivative securities / markets may fluctuate significantly. The prices of derivatives CFDs, basic related instruments, and indexes may rapidly fluctuate within a large range, and may reflect changes in unforeseen events or circumstances, but neither of the above companies or customers can control. In some special market situations, it may not be possible to execute any type of customer order at the declared price. Therefore, a stop loss order cannot guarantee loss control.
The price of derivatives CFDs may be affected by, among other things: changes in supply and demand relations, government, agriculture, commercial and trading projects and systems, national and international political and economic events, and the general psychology of related markets feature.
The derivatives CFD trading provided by the company is not conducted on a recognized exchange, but through the company's trading platform, so customers may need to take greater risks than trading on the exchange. The rules, terms and regulations of the transaction are formulated by the responding party-in this case, the company. Customers are obliged to close any given CFDs during the normal opening hours of the company's trading platform.
Other additional business
Before the customer starts trading, the customer must obtain all the information about the commission and other fees that they need to bear, which can be obtained through the company website and the customer agreement. If any fees are not clearly denominated in currency (but such as trading spreads), the client should obtain a clear written instruction with appropriate examples to determine which fees can be denominated in a specific currency.
The position value of the CFD provided by the company involves financing costs. Financing costs are based on market interest rates at the time, so they may change over time. You can inquire the specific information of the financing expenses of the day on the company's trading platform.
Customers should bear the risk that their trading CFDs may generate related taxes and / or other responsibilities such as changes in legislation or changes in their personal circumstances. The company does not guarantee that no taxes and / or any other stamp duties will be payable. Clients are responsible for any taxes and / or any other liabilities that may arise in relation to their transactions.
Customers who want to open a position with the company need to deposit an initial deposit as required. Margin requirements are based on the derivative CFD of the underlying instrument, the established leverage level and the value of the position to be established. The company will try to notify the customer when the total equity balance of the account is at / close to 150% of the initial margin of all open positions. When the customer's total equity balance is less than 100% of the initial margin requirement for all open positions, the company has the discretion to automatically close the position at the market price. The company guarantees that when guests trade CFDs provided by the company, the account will not have a negative value.
The company reserves the right to review and / or modify the risk disclosure statement in appropriate and appropriate circumstances in accordance with its discretion.
Our risk disclosure is not part of the commercial conditions and regulations, and it is not intended to be contractually bound, or to attempt to impose any obligations that were not ours, except for the 2001 Company Law.
This statement cannot disclose or explain all risks or other serious effects that may be involved in trading CFDs. This statement is only used to explain the general nature of the specific risks that may be involved in trading CFDs provided by the company in order to help customers make investment decisions on an informed basis. This statement should be read in conjunction with the product disclosure statement (PDS) and financial service guide (FSG) provided by the company.