Risk Warning

In order to place a CFD order, every Client is required to maintain a margin. A margin is usually a relatively low portion of the overall contract value. This means that the Client will be trading using “leverage” or “gearing” (the “multiplier feature”). As a result, a relatively small market movement can lead to a much larger movement in the value of the Client’s position. Such movement can work either in favour of or against the Client.

The Client must at all times maintain minimum margin requirements while trading. As such, Clients must carefully consider and maintain enough equity and monitor all running profits and losses. If the market moves against the Client’s position and/or the Margin requirements are increased, it may result in the Company closing the Client’s position(s) on behalf of the Client. Should this closure result in a loss or deficit, the Client remains liable for such losses.

It is important that the Client monitor his/her position(s) closely since the effect of leverage and gearing (the “multiplier feature”) on the Client’s trades drastically increases the speed of profits and/or losses. It is the Client’s responsibility to monitor all of his/her trades. While the Client has open trades, he/she should always ensure that he/she is in a position to do so.