GENERAL RISK DISCLOSURE

 

This notice informs you of the risks associated with investment strategies that you can invest in through copy trading offered to you by the Capitalbrothers organization .

 

Investment products traded by Capitalbrothers include stocks, exchange-traded funds (ETFs) and cryptocurrencies . In addition, Capitalbrothers trades contracts for difference (CFDs) that provide exposure to currencies, commodities and indices.All transactions in stocks, ETFs and cryptocurrencies in which we leverage you or in which we make short transactions and all copy trading transactions / copy trading strategies (including CopyPortfolios) are CFD transactions.

 

All transactions in connection with cryptocurrencies are subject to the addendum for trading cryptocurrencies.Since the markets for cryptocurrencies are decentralized and not subject to supervision, the term trading services for cryptocurrencies, as it is defined in the addition for trading cryptocurrencies, is not subject to the supervision of any of the European Is controlled by supervisory authorities (not even by MIFID).

 

All of these products can be high risk and unsuitable for many investors. This notice informs you about the risks associated with these products, but cannot explain all risks, including how these risks relate to your personal circumstances. If you are unsure, you should seek professional advice. It is important that you fully understand the risks involved before deciding to copy strategies at Capitalbrothers, that you have the appropriate financial resources to handle such risks and that you carefully monitor your positions. Trading harbors risks for the capital you invest. You should not be investing money that you cannot afford to lose.

 

CFDs

 

CFD stands for “Contract for Difference” , which means that you are not buying the underlying asset yourself, but rather a contract to compensate for the difference between the initial price and the closing price of the asset. In CFD trading, you are typically trading a margin, which means that you only need to deposit a small percentage of the total value of your position. This is known as the "lever"; even small market changes can have a big impact on your trading account, both negative and positive.

 

If the market moves against you, you can suffer a loss that is greater than the amount invested in any particular position. You are responsible for all losses in your account, up to the amount of the principal in your account.

 

Before deciding to trade by margin, you should carefully think about your investment goals, experience, and risk tolerance. CFDs are not listed on any stock exchange. CFDs pose a greater risk than investing in exchange products, as market liquidity cannot be guaranteed and it can be more difficult to liquidate an existing position. The rates and other conditions will be determined by the brokers in accordance with their obligation to provide best execution as set out in their execution policy in order to act reasonably in accordance with applicable terms and conditions. The characteristics of these CFDs can differ significantly from the actual underlying market or financial instrument. Full details of all of their CFDs are posted on the brokers' website.

 

Ultimately, however, you are not dealing with the underlying market, so the treatment you receive in relation to CFDs may be less beneficial than if you owned the underlying financial instrument yourself.

 

CFDs are complex instruments and carry a high risk of losing money quickly through leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.CFDs are not suitable for long-term investments. If you keep a CFD open for an extended period of time, the associated costs (e.g. overnight fees) increase and it may be cheaper to buy the underlying asset yourself instead. There may be sudden market movements known as gapping that can cause the price of the underlying asset to change dramatically. Gapping can occur when the underlying market is closed, meaning that the price on the underlying market can open at a significantly different level - and at a price that is less favorable to you.

 

Position monitoring

 

You should also ensure that you are able to monitor positions in your account at all times, as this is your sole responsibility. We are not responsible for monitoring the positions on your account.

 

execution

 

Although Capitalbrohters' trading platform is automated and brokers will give you the best execution available, it is possible that the market price has changed between the time the order was placed and the time of execution, so brokers cannot guarantee that execution will be at the same rate that you requested and the rate you receive may be in your favor or against you.

 

In order to limit losses, you are expected to set “stop loss” limits. With these defined limits, your position will automatically be closed when the price limit you have chosen is reached. However, there are circumstances in which the “stop-loss” limits are not fully effective - for example in the event of rapid exchange rate changes or market closures.

 

In addition, there are risks associated with the use of online execution and trading systems, including, for example, software or hardware errors and the internet connection.

 

Cryptocurrencies

 

• Trading risks

  • Since the markets for cryptocurrencies are decentralized and not subject to supervision, cryptocurrencies are non-regulated services that are not controlled by any of the European supervisory authorities (including the MIFID). This means that there is no central bank that can take corrective action to protect the value of cryptocurrencies in a crisis or that can spend more money.

 

• CRYPTO CURRENCY MARKETS ARE SUBJECT TO THE LAWS OF SUPPLY AND DEMAND ONLY. The cryptocurrency market is very dynamic and prices are often difficult to predict and extremely volatile. The prices of cryptocurrencies are usually not transparent and highly speculative and are prone to market manipulation. In the worst case, the product may become worthless.

 

• It is important to distinguish between target prices that are displayed on charts and tradable prices that are displayed on trading platforms. Guide prices only indicate where the market is. Since the markets for cryptocurrencies are decentralized, meaning that there is no single central exchange where all transactions are carried out, each market maker can offer slightly different prices. Therefore, all prices that are displayed on a chart are only “target prices” and do not necessarily reflect the actual “trading prices” at which transactions can be carried out.

 

• Cryptocurrency trading is prone to abuse for illegal activity because of the anonymity of transactions, and investors could be negatively affected if law enforcement agencies investigate allegedly illegal activity.

 

• ACCORDINGLY, CRYPTO CURRENCIES SHOULD BE CONSIDERED AS EXPRESSLY HIGH RISK ASSETS. THEREFORE, YOU SHOULD NEVER INVEST IN MONEY WHICH YOU COULD NOT LOSE. In view of the above, cryptocurrencies are not suitable for all investors. You should not trade in these products if you do not have the necessary knowledge and experience and do not understand the characteristics of these products and the risk to you. You should also make sure that this product is suitable for you in light of your circumstances and your financial position.

 

• Liquidating a position may be difficult or impossible for you in certain market conditions. This can be the case, for example, when the market reaches a daily price fluctuation limit (“limit move”) when there is insufficient liquidity in the market.

 

• Blockchain Risks. Since the blockchain is an independent direct network that is not controlled by Capitalbrothers in any way, Capitalbrothers is not responsible for any failure and / or error and / or violation that is in the blockchain or in any other Network in which the cryptocurrencies can be issued and / or traded. They are bound by any change and / or addition to the blockchain system and are subject to all laws that may apply to the blockchain. We give - neither with regard to the functionality of the blockchain nor with regard to possible security breaches in the blockchain - no assurances or guarantees of any kind, neither express nor implicit, neither legal nor of any other kind.

 

Automated trading and internet risks

 

System errors may occur while copying investment strategies on our website and / or through third party applications. You should be aware of the risks that can result from system malfunctions, which could mean that your order is delayed or not executed at all.

 

You confirm that there are risks associated with the use of an internet-based trading system, in particular due to the failure of hardware , software or internet connections ; the risk of malicious software attacks ; the risk that third parties gain unauthorized access to information and / or assets (including cryptocurrencies), cyber attacks; the failure of the cryptocurrency network (like the blockchain); Computer viruses; Communication failures, glitches, errors, distortions or delays. Which you may experience when trading through the Services for whatever reason; Spyware, scareware, Trojan horses, worms or other malware that affects your computer or other equipment, as well as possible phishing, spoofing or other attack. You should also be aware that SMS and email services are susceptible to spoofing and phishing attacks, and you should exercise caution when reviewing communications purported to be from Capitalbrothers.

 

Fees and costs

 

Our fees and charges are set out on our website www.capitalbrother.com under the “Investment Strategies” section. Please be aware of all costs and fees that you may incur as such costs and fees will affect your profitability.

 

information

 

Any opinions, news, research, analysis, quotes or other information contained on this website are provided as general market comments. They do not constitute investment advice. Capitalbrothers is not responsible for any loss whatsoever resulting from an investment based on a recommendation, a forecast or any other information provided.

 

Past performance

 

Past performance is not indicative of future results. The value of an investment can go down as well as up.

 

Currency risk

 

Your account with your partner broker will be held in different currencies, which may differ from the main currency in which our investment strategies are conducted; accordingly, you should be aware of fluctuations in exchange rates.

 

 

RISKS ASSOCIATED WITH COPY TRADING

 

At CapitalBrothers, we pride ourselves on empowering you to copy investment strategies. However, we would like to point out that various risks are associated with the copy trading functions and we strongly encourage you to carefully read and consider the following risks before using our platform.

 

 

• Automated trading execution, where trades on your account are opened and closed without manual intervention on your part.

 

• CapitalBrothers investment management services are dependent on your decisions about copying a particular trade or particular trader and / or following a particular strategy . In making such decisions it is necessary that you consider your overall financial situation, including financial obligations, and understand that using the copy trading features is highly speculative and that you could incur significant losses over and above go beyond the amount you used to copy a strategy.

 

• Copy trading functions are provided by us for informational purposes only. CapitalBrothers, its employees and agents are not investment or financial advisors. IF YOU MAKE INVESTMENT DECISIONS ON THE BASIS OF INFORMATION AVAILABLE ON OUR WEBSITES OR AS A RESULT OF USING THE COPY TRADING FUNCTIONS, YOU DO SO AT YOUR OWN RISK, AND THE ORGANIZATION OF YOUR CAPITAL BROTHERS DOES NOT RESPOND INCREASED LOSSES.

 

• YOU SHOULD NOT MAKE AN INVESTMENT DECISION WITHOUT HAVING YOUR OWN RESEARCH. IN RELATION TO THE DECISION WHETHER AN INVESTMENT OR STRATEGY OR ANY OTHER PRODUCT OR SERVICE IS APPROPRIATE AND APPROPRIATE FOR YOU BASED ON YOUR INVESTMENT OBJECTIVES AND YOUR PERSONAL AND FINANCIAL SITUATION.

 

• When copying the position of a strategy (in relation to financial instruments), the amount of the copied amount should either be equal to the minimum amount of the position, or equal to the proportion of the copied trade and the realized capital of the copied strategy as the basis for the interests copied trades, whichever is lower. Such positions should, as far as possible, have the same leverage and stop-loss and take-profit amounts. Trades below the minimum amount for a trade should not be opened. All such positions will be automatically changed and / or closed if the copied strategy changes / closes position for whatever reason without notice to the copier and without any action on your part. You should be able, and prepared, to lose all of the amount you invested in copying a strategy. You are fully responsible for any losses you incur as a result of using one of our copy trading functions due to the automated execution of instructions.

 

• If you make additional trades on your account or if you change or cancel an order generated by a copy trading function , the result you achieved may differ substantially from that of the user you copied. Withdrawals and withdrawals by CapitalBrothers can also result in a substantially different outcome than that of the user you copied, as this can affect the copytrading ratios.

 

• Any past performance, risk scores or statistics of our strategies - and any other information regarding users that appear on our websites and applications - are not indicative of future results and should be viewed as hypothetical, as further described below. It is important to understand that risk scores, statistics, and past performance are no guarantee of future results. NO REPRESENTATION OR WARRANTY IS MADE THAT ANY ACCOUNT WILL BE MADE OR LIKELY TO OBTAIN PROFITS OR LOSSES SIMILAR TO THOSE DISCLOSED OR THAT THE RISK SCORE OF A STRATEGY DOESN'T HAVE BEEN EXECUTED. In reviewing the content, portfolio, financial information, opinions, or advice of any other user, you should not assume that that user is impartial, independent, or qualified to provide any financial information or opinion. CapitalBrothers gives no guarantee for orders, not even for stop orders such as Copy Stop Loss. Accordingly, regardless of the name of an entry or deal , CapitalBrothers makes no guarantee that the trade will be executed at the price / stop-loss percentage and you may lose more than what was originally used to copy such a strategy Amount.

 

• PAST PERFORMANCE AND / OR RISK SCORES SHOULD BE CONSIDERED HYPOTHETICAL PERFORMANCE RESULTS. HYPOTHETICAL PERFORMANCE RESULTS ARE BASED ON MANY LIMITING ASSUMPTIONS. NO REPRESENTATIONS OR WARRANTIES ARE MADE THAT ANY ACCOUNT WILL BE MADE OR LIKELY TO OBTAIN PROFITS OR LOSSES SIMILAR TO THE PERFORMANCE OR RISK RATINGS SHOWN. THE ACTUAL PROFIT / LOSS PERCENTAGES REALIZED BY INVESTORS DEPEND ON MANY FACTORS, INCLUDING: INITIAL ACCOUNT BALANCE (DEPOSITS AND WITHDRAWALS), MARKET BEHAVIOR, ACCOUNT SETTINGS OF THE INVESTOR'S INVESTMENT.

 

• THEREFORE, THERE ARE Often LARGE DIFFERENCES BETWEEN THE HYPOTHETICAL / PAST PERFORMANCE RESULTS AND THE RESULTS ACTUALLY OBTAINED DUE TO SOME SPECIFIC TRADING PROGRAM. ONE OF THE RESTRICTIONS TO WHICH HYPOTHETICAL PERFORMANCE RESULTS ARE SUBJECT TO THAT THEY ARE GENERALLY ARISED ON THE BASIS OF A REVIEWS. FURTHERMORE, HYPOTHETICAL TRADING IS NOT SUBJECT TO FINANCIAL RISK, AND NO RECORDING OF HYPOTHETICAL TRADING CAN FULLY DETECT THE INFLUENCE OF THE FINANCIAL RISK ON ACTUAL TRADING. FOR EXAMPLE, THE ABILITY TO SUSTAIN LOSSES OR HOLD ON A CERTAIN TRADING PROGRAM DESPITE LOSSES IS AN ESSENTIAL POINT THAT MAY ALSO AFFECT ACTUAL TRADING RESULTS. THERE ARE MANY OTHER FACTORS IN RELATION TO THE MARKETS IN GENERAL OR IN RELATION TO THE IMPLEMENTATION OF A SPECIFIC TRADING PROGRAM, WHICH MAY NOT BE TAKEN INTO COMPLETE INTO ACCOUNT OF THE RESULTS WHEN PREPARING HYPOTHETICAL PERFORMANCE RESULTS.

 

• WITH NO ASPECT OF OUR WEBSITES PROVIDED ON OR AVAILABLE MADE INFORMATION AND / OR COPY TRADING OPERATIONS IS INTENDED TO AN ADVICE OF ANY KIND - INVESTMENT ADVICE, OR TAX ADVICE FINANCIAL - TO OFFER. ALSO, IT SHOULD NOT BE IMPLEMENTED THAT SUCH ADVICE IS PROVIDED. YOU SHOULD NOT CONSIDER SUCH CONTENT AND / OR FEATURES AS A SUBSTITUTE FOR PROFESSIONAL FINANCIAL AND / OR INVESTMENT ADVICE IF YOU DECIDE TO MAKE TRANSACTIONS BASED ON CONTENT ON THE WEBSITE AND / OR CANCEL TRANSACTIONS AND / OR CERTAIN STRATEGIES AND ANY CONSEQUENCES THAT THEREFORE ARE YOUR SOLE RESPONSIBILITY. THE CAPITALBROTHERS ORGNIZATION DOES NOT PROVIDE ANY INVESTMENT ADVICE IN PROVIDING SUCH INFORMATION AND / OR FUNCTIONS, DIRECTLY, INDIRECTLY, IMPLIED OR IN ANY OTHER WAY. YOU SHOULD CONSIDER ANY INFORMATION INCLUDED HERE AND / OR COPY TRADING FUNCTIONS USED ​​AS A STARTING POINT FOR YOUR OWN INDEPENDENT RESEARCH AND DECISION MAKING.

 

 

FOREIGN MARKET

 

1. Lever. Trades carried out on trading accounts involve high risks. The amount of initial margin for executing a trade is considerably lower than the minimum size on the interbank foreign exchange market, so every trade is executed with leverage. A relatively small movement in the price of the asset being traded will significantly affect your wealth. Leverage is a double-edged sword - it can work in your favor as well as against you. You can lose your deposits and also other assets that you have deposited for the margin. If the price of the asset being traded moves against you, this leads to an increased margin requirement. As a result, you may need to deposit additional funds to meet the margin requirement. Should you refuse to do so, your position could be closed at a loss.

 

2. Orders to limit risk. Orders to limit risks, such as - "Stop Loss" or "Stop Limit" may not be effective under certain circumstances if the market conditions do not allow execution at the specified price.

 

 

OTHER RISKS USED IN FOREX

 

3. Commissions and Other Fees. Before you start trading, you need to understand what commissions, payments, and other costs may be involved. These costs will decrease your profit or increase your loss.

 

4. Currency Risks. Your total profits and losses will depend on the fluctuations in currencies.

 

5. Ways of Executing Trades. The forex market is not highly regulated, so buyers and sellers do not need to meet each other to place a trade. The liquidity for trading is made available electronically in automatic mode. Quotes and prices change depending on the change in liquidity as a result of an auction process. Most electronic trading platforms are fully automatic. Like any other technology, such systems can also be prone to malfunctions. You should contact the company you are dealing with for detailed instructions in such cases.

 

6. Electronic commerce. Trading on an electronic platform is not only different from the interbank foreign exchange market but also from other trading platforms. When you trade on an electronic platform, you take risks such as a system crash. This could mean that your order cannot be properly executed.

 

 

RISKS THAT CAPITALBROTHERS CUSTOMERS ADDITIONALLY ACCEPT:

(AS WE AS THE OPERATOR USE THE PLATFORM COPYFX FROM ROBOFOREX)

7. Investor

7.1 The investor agrees that participating in the CopyFX system involves risks. An investor fully accepts the risk of possible loss that may arise as a result of a trader's activity during the chosen offer.

7.2 The investor accepts that the ignorance or misinterpretation of the terms of use of the CopyFX system and / or the terms of the offer does not release him from responsibility or risks.

7.3 The investor accepts the risk that the execution price of orders on his account may differ from the execution price on a trader's account. The company does not compensate any potential difference in profit / loss and commission for such transactions.

7.4 The investor accepts the risks associated with the fact that a trader does not need a license to confirm his / her qualifications.

7.5 The investor accepts the risk of a possible loss due to the fact that the trader partially closes his position, thereby closing the current position on the investor's account and opening a new position immediately. The new position in the investor's account is the same size as the trader's position.

7.6 The investor accepts the risk that the margin requirements for accounts of a trader may differ from those for an investor.

7.7 The investor accepts the risk of possible loss or lost profits that may result from the rounding of values, if he uses flexible settings for the volume while copying transactions.

7.8 The investor accepts the risk of possible loss or lost profits, which arise due to incorrect settings for copying, as well as due to the inability to edit the settings after linking to the trader's offer.

8. Trader

8.1 The trader accepts the fact that participating in the CopyFX system involves risks. The trader is responsible for the trade on his account and accepts all risks in accordance with the client agreement and the terms of the offer that he has chosen. The trader conducts trades in his own name, for his own account and at his own risk.

8.2 The trader accepts the risk that an investor may not have sufficient experience and knowledge, which can affect the trading result on the investor's account as well as the trader's commission.

8.3 The trader accepts the risk that he may not receive all of the commission because the investor does not have sufficient funds to carry out such an operation. In such a case, the company takes no responsibility and does not compensate for the difference in commission.