Legal Disclosures

Last Updated: November 3, 2025

IMPORTANT RISK DISCLOSURE

Trading and investing in financial markets involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is appropriate for you in light of your experience, objectives, financial resources, and other relevant circumstances.

1. General Risk Disclosure

1.1 Market Risk

All investments and trading activities carry risk. Market prices can be extremely volatile and may result in significant losses. Factors affecting market prices include:

  • Economic conditions and policy changes
  • Political events and geopolitical tensions
  • Market sentiment and speculation
  • Technological developments
  • Regulatory changes
  • Natural disasters and global pandemics

1.2 Leverage Risk

Trading with leverage amplifies both potential gains and losses. Small price movements can result in proportionally larger losses, potentially exceeding your initial investment. Leveraged positions may be liquidated automatically if margin requirements are not maintained.

1.3 Liquidity Risk

During volatile market conditions or for less popular assets, you may not be able to execute trades at desired prices or exit positions quickly. This can result in larger than expected losses.

2. Asset-Specific Risks

2.1 Cryptocurrency Risks

  • Extreme Volatility: Crypto prices can fluctuate wildly within hours
  • Regulatory Uncertainty: Changing regulations may impact value or availability
  • Technology Risk: Blockchain networks may experience outages or security vulnerabilities
  • Irreversible Transactions: Crypto transfers cannot be reversed if sent to wrong address
  • Limited History: Cryptocurrencies have limited operating history

2.2 Stock Market Risks

  • Company-Specific Risk: Individual companies may fail or underperform
  • Market Hours: Stocks trade during specific hours, limiting trading flexibility
  • Dividend Risk: Dividends are not guaranteed and may be reduced or eliminated

2.3 Forex Risks

  • Currency Volatility: Exchange rates can change rapidly
  • Interest Rate Risk: Central bank policies significantly impact currencies
  • Political Risk: Government instability can cause currency devaluation

2.4 Commodity Risks

  • Supply Disruptions: Weather, strikes, or geopolitical events affect supply
  • Storage Costs: Physical commodities incur storage and insurance costs
  • Seasonality: Some commodities have seasonal price patterns

3. Trading Method Risks

3.1 Futures Trading

Futures contracts involve high leverage and carry substantial risk of loss. You may lose more than your initial margin deposit. Futures positions have expiration dates and may require rolling to maintain exposure.

3.2 Options Trading

Options can expire worthless, resulting in total loss of premium paid. Writing (selling) options carries unlimited loss potential. Options are complex instruments requiring understanding of time decay, volatility, and strike prices.

3.3 Margin Trading

Borrowing funds to trade increases both potential gains and losses. You must maintain minimum margin requirements or face forced liquidation. Interest charges on borrowed funds reduce overall profitability.

4. Platform and Technology Risks

  • System Outages: Technical issues may prevent you from accessing your account or executing trades
  • Internet Connectivity: Poor internet connection may cause order delays or failures
  • Cybersecurity: Despite security measures, no system is completely immune to cyber attacks
  • Third-Party Services: We rely on third-party providers who may experience outages

5. Regulatory Disclosures

5.1 No Investment Advice

SmarTrade does not provide investment, tax, or legal advice. All content on our platform is for informational purposes only. Consult with qualified professionals before making investment decisions.

5.2 Past Performance

Past performance is not indicative of future results. Historical returns, expected returns, and probability projections are provided for informational purposes only and are not guarantees.

5.3 Regulatory Status

SmarTrade Trading Investment is registered with relevant financial regulatory authorities. Our regulatory status varies by jurisdiction. Different products may be subject to different regulatory frameworks or be unregulated.

6. Geographic Restrictions

Our services may not be available in all jurisdictions. Users are responsible for complying with local laws and regulations. Services may be restricted or prohibited in certain countries including but not limited to:

  • Countries subject to international sanctions
  • Jurisdictions where our services are not licensed
  • Regions where local laws prohibit online trading

7. Tax Implications

Trading and investing may have tax consequences. Gains may be subject to capital gains tax, and you are responsible for reporting and paying all applicable taxes. Tax laws vary by jurisdiction and individual circumstances. Consult a tax professional for advice specific to your situation.

8. Conflict of Interest

Potential conflicts of interest may arise in our business operations:

  • We may earn revenue from spreads, commissions, and fees on your trades
  • We may trade for our own account in the same markets
  • Our employees may hold positions in assets available on the platform
  • We may receive compensation from third-party service providers

We have policies and procedures in place to identify and manage these conflicts.

9. AI Trading Bot Disclosure

Our AI trading bot uses algorithms and machine learning to make trading decisions. Important considerations:

  • AI performance depends on market conditions and historical data
  • Past AI performance does not guarantee future results
  • The AI may make losses during certain market conditions
  • You retain full responsibility for enabling and monitoring the AI
  • You can disable the AI at any time

10. Acknowledgment

By using our services, you acknowledge that:

  • You have read and understood these risk disclosures
  • You understand the risks involved in trading and investing
  • You are financially capable of bearing the risk of loss
  • You will not invest more than you can afford to lose
  • You are responsible for your own trading decisions