RISK DISCLOSURE NOTICE

 

 

The intention of this notice is to inform you that the risk of loss in commodities trading can be substantial, you should therefore carefully consider whether such is suitable for you in light of your own financial position and investment objective. Certain strategies such as a “spread” position, or a “straddle / cross currency” position, may be as risky as a simple “long” or “short” position.

This notice does not disclose all of the risks and other significant aspect of dealing in commodities trading. In considering whether to trade, you should be aware of the following points : -

Collateral

You may sustain a total loss of the margin funds and any additional funds that you deposit to establish or maintain a position in the market. If the market moves against your position, you may call upon to deposit additional margin funds, on short notice, in order to maintain your position. We may at our sole discretion liquidate your position at a loss and you will be liable for any resulting deficit in your account.

Suspension Of Trading

Under certain market conditions, you may find it difficult or impossible to liquidate a position. Placing contingent orders, such as stop-loss orders, will not necessarily limit your losses to the intended amounts, since market conditions may make it impossible to execute such orders.

Margined Transaction

The high degree of leverage that is often obtainable in commodities margin trading can, because of the small margin requirement, work against you as well as for you. The use of leverage can lead to a large losses as well as gains.

This brief statement cannot, of course, disclose all the risk and other significant aspects of the relevant commodities market, this statement is given without any liability on our part. You should therefore carefully study commodities margin trading before you trade.


ACKNOWLEDGMENT TO HGC

I/We acknowledge that I/we understand the Risk Disclosure Statement provided to Me/Us.

 






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