FOREX TRADING RISKS

Monday, March 05, 2007

Trading foreign exchange carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. There exists a possibility that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose.

You should be aware of all the risks associated with foreign exchange trading, andlook for advice from an independent financial advisor if you have any doubts.

The risk disclaimer is used to inform the user of the potential financial risks of engaging in foreign exchange trading.

The transaction of such financial instruments known as forex or fx, currency and dealt on a valued basis known as 'spot' or 'forward' can contain a substantial degree of risk. Before deciding to undertake such transactions with advanced currency markets SA (abbreviated here as ACM SA) and indeed any other firm offering similar services, a user should carefully evaluate whether his/her financial situation is appropriate. Trading foreign exchange may result in substantial loss of funds and/or complete loss of funds and therefore should only be undertaken with risk capital. The definition of risk capital is the following: funds that are not essential for the survival or well being of the user. ACM SA strongly recommends a user considering trading foreign exchange products to read through all the main topics contained in the ACM SA website so that he/she may obtain a clear and accurate understanding of the risks inherent to fx trading.

Opinions and analysis of expected market movements contained within the ACM SA website are not considered to be necessary or precise. Due to the public nature of Internet, ACM SA cannot guarantee the accuracy of this information at any time.

The convenience or efficiency of on-line trading does not reduce the risks associated with foreign exchange trading. ACM SA does not respond for any customer, member or third party acting with the help of information contained on the web site.

If you do not understand the risks involved in trading foreign exchange, do not take part in it. If you need clarification you can contact customer support and an ACM representative can explain all the risks involved in foreign exchange transactions.

Posted by M3ele3 at 7:45 PM  

0 comments:

Post a Comment