Risk warnings | TheGoldForex
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Risk Warning

 

This warning provides information on the risks associated with the services offered by the Dimond Affiliation BC company

All transactions relating to stocks, ETFs or cryptocurrencies  or allows short trades, and/or some copy trading transactions will be considered CFD transactions.

All of these products carry a high level of risk and may therefore not be suitable for all investors. This disclosure contains information on the risks associated with these products, but cannot specify all the risks, nor how these risks may affect the personal situation of each investor. If in doubt, we recommend that you seek external professional advice. Before engaging in any trading activity with any broker or service, it is important that each investor fully understands the possible risks, has the adequate financial resources to address such risks and closely monitors his or her positions. Trading involves risk to your capital. You should not invest money that you cannot afford to lose, however the maximum loss you can incur is the equity in your account.

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NOTWITHSTANDING ANYTHING TO THE CONTRARY IN THE TERMS AND CONDITIONS AND/OR THIS GENERAL RISK DISCLOSURE, FRENCH RESIDENTS ARE ENTITLED TO INHERENT PROTECTION. ACCORDINGLY AND REGARDLESS OF MARKET VOLATILITY, THEIR MAXIMUM LOSS RELATING TO EACH TRANSACTION WILL BE THE TOTAL AMOUNT INVESTED IN SUCH TRANSACTION, AS UPDATED BY SUCH USER FROM TIME TO TIME.

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CFDs

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CFD stands for "Contract For Difference": this tool allows you to buy not the underlying asset, but a contract that establishes the difference between the final price and the initial price of the underlying. When trading CFDs, your investment is made on margin – this means you only need to deposit a small percentage of the total value of your position. This is known as “Leverage” and even small market movements can have a large impact, positive or negative, on your trading account.

If the market is adverse, your total loss could be greater than the total funds invested in a given position. Each trader will be held responsible for his losses up to the total of his assets in the account.

Before deciding to trade on margin, you should carefully consider your investment objectives, level of experience and risk appetite. Our CDFs are not listed on the stock exchange. CFDs carry a higher level of risk than publicly traded investment products, as market liquidity cannot be guaranteed and as a result, it may be more difficult to liquidate an existing position. Prices and other conditions are set by eToro, in accordance with our obligation to offer best possible execution as set out in our order execution policy, act responsibly and operate in compliance with applicable terms and conditions. The characteristics of the CFDs we offer may differ significantly from the underlying instrument or market. Detailed analysis of all offered CFDs is available on our website. In the event of corporate events affecting the underlying assets, eToro does not seek to profit its clients by exploiting the outcome of such events, such as legal disputes, acquisitions, mergers, share distributions, consolidations and public offerings. Our aim is to give others the treatment that we ourselves would receive, or would like to receive, if we used our exposure to one of our traders as a hedging tool in the underlying market. However, in the case of CFDs the conditions may be less advantageous than an investment in the underlying market.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 77.30% of retail investor accounts lose money trading CFDs. You need to know how CFDs work and whether you can afford to lose your money.

CFDs are not suitable for long-term investors. Keeping an investment position in CFDs open for a long period of time causes the associated costs to increase (such as overnight fees), in which case it may be more advantageous to invest directly in the underlying. Sudden market movements, known as "gapping", can also cause a drastic change in the price of the underlying. The gapping phenomenon can occur when the underlying market is closed and, consequently, lead the price on the underlying market to open at a very different level, less advantageous for the investor.

While a position is open, you should ensure that your account meets our margin requirements, which may change from time to time. Therefore, if the market is adverse or if the margin requirements are modified, each user must be able to provide, in a short time, an amount of additional funds necessary to meet the margin requirements, otherwise the open positions will be closed. If the user will not be able to deposit the requested funds, we will be forced to close one or more or all open positions; in this case, the investor will be held responsible for any losses incurred.

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Anyone who decides to continue operations and open an account on our platform and/or join our services confirms that they know and understand the possible risks.

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Location control

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You must also ensure that you can check the open positions in your account at any time, as you will be solely responsible for doing so. Dimond Affiliation BC shall not be held responsible for monitoring user account positions.

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Execution

Dimond Affiliation BC offers automated trading services and is committed to providing the best possible execution. However, it is possible that the market prices may vary from the moment the order is placed to the moment it is executed: in this case, the price could be more or less favorable for the trader.

In order to contain your losses, we require you to select “stop loss” limits. These limits, once set, will automatically close positions that reach the indicated price level. There are, however, circumstances where a "stop loss" limit is not sufficient for this purpose (for example, when price movements are too rapid or the markets are closed).

There are also risks associated with the execution of online transactions and online trading systems, including, but not limited to, failure of hardware and software equipment and malfunction of the Internet connection.

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Copy trading

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Dimond FC LTD offers Social Copy Trading Features. Before deciding whether to copy a particular trader(s), and/or follow a specific strategy, you should take into account your general financial situation and financial commitments, and understand that using social trading features is highly speculative and that any losses you may incur could prove to be far greater than the total funds used to copy one or more traders. The risks associated with Social Features Copy Trading include, but are not limited to, the automatic execution of orders, which provides for the opening and closing of transactions in the user's account without manual intervention by the latter.

Learn more about the risks associated with CopyTrading:
 

Risks associated with Social Copy Trading

Dimond FC Ltd. and its affiliates are proud to offer you the ability to interact, follow and copy other traders using the information and/or social trading features provided and/or made available on our websites and/or trading platforms. Such social trading features include, but are not limited to our community, “follow”, “copy” and/or “copytrader” trader rankings, “featured users” and/or any advanced search options etc. (collectively, “Social Trading Features”). However, please note that the Social Trading Features are associated with various risks and we urge you to carefully read and consider the following risks before using our Social Trading Features:

  • The execution of automated trading whereby trades are opened and closed in your account without your manual intervention.

  • The investment management services of dimond FC LTD they are contingent upon your decisions to copy a specific trader or multiple traders and/or follow a particular strategy. In making such decisions, you have considered your entire financial situation, including your financial commitments, and you understand that use of the Social Trading Features is highly speculative and that you could suffer significant losses in excess of the total funds used to copy any or more traders.

  • We provide the Social Trading Features for informational purposes only. Dimond FC Ltd., its affiliates and their employees and agents are not investment or financial advisers. IF YOU MAKE AN INVESTMENT DECISION IN RELATION TO THE INFORMATION THAT IS AVAILABLE ON OUR WEBSITE OR AS A RESULT OF YOUR USE OF SOCIAL TRADING FEATURES, YOU DO SO AT YOUR OWN RISK AND DIMOND FC LTD., ITS AFFILIATES, THEIR EMPLOYEES AND AGENTS WILL NOT BE LIABLE FOR ANY LOSSES YOU MAY INCUR.

  • YOU SHOULD NOT MAKE AN INVESTMENT DECISION WITHOUT FIRST DOING YOUR OWN RESEARCH. YOU ARE SOLELY AND EXCLUSIVELY RESPONSIBLE FOR DECIDING WHETHER AN INVESTMENT, STRATEGY OR ANY OTHER PRODUCT OR SERVICE IS APPROPRIATE OR SUITABLE FOR YOU, BASED ON YOUR INVESTMENT OBJECTIVES AND YOUR PERSONAL AND FINANCIAL SITUATION.

  • A copied trader's positions (in respect of any of our financial instruments) will be copied with an amount equal to the lower of the minimum position amount or the prorated amounts of the copied trade relative to the copied trader's realized assets as the basis for the proportions of the copied transactions. Such positions will have the same leverage, stop loss and take profit, to the maximum extent possible. Transactions below the minimum trading amount will not be opened. All such positions will be modified and/or closed automatically if and when modified/closed by the copied trader, for any reason, without providing further notice and without any action on your part. You should be able and be prepared to bear the loss of your entire investment in a copied trader. You bear full responsibility for any losses you may suffer as a result of our automatic execution of instructions generated as a result of using any of the Social Trading Features.

  • If you place further transactions in your account or edit or cancel an order generated by a Social Trading Feature, you may get a materially different result than the user you copied. Cashout and withdrawal by the copied trader may also generate a materially different result than the copied trader as it may affect the proportions of Copy Trading.

  • Any past performance of our users, risk scores, statistics and any other user-related information that appears on our websites and applications are not indicative of future results and should be considered hypothetical as more fully described below. It is important to understand that risk scores, statistical information and performance history are no guarantees of future performance. WE MAKE NO REPRESENTATIONS OR WARRANTIES THAT ANY ACCOUNT WILL, OR WILL BE ABLE TO MAKE, PROFITS OR LOSSES SIMILAR TO THOSE SET FORTH AND/OR THAT A COPIED USER'S RISK SCORE WILL ACTUALLY BE NO HIGHER. When examining the content, portfolio, financial performance information, opinions or advice of another registered user, you should not assume that the user is impartial, independent or qualified to provide financial information or opinions. DIMOND FC LTD does not guarantee any orders, including the placing of stop orders such as Copy Stop Loss. As a result, regardless of the entry or closure designation, DIMOND FC LTD does not guarantee that the transaction will be executed at the order price/stop loss rate and you may lose more than the original amount used to copy such trader.

  • PAST PERFORMANCE AND/OR RISK SCORES SHOULD BE CONSIDERED AS HYPOTHETICAL PERFORMANCE RESULTS. HYPOTHETICAL PERFORMANCE RESULTS HAVE MANY INHERENT LIMITATIONS. WE MAKE NO REPRESENTATIONS OR WARRANTIES THAT ANY ACCOUNT WILL, OR WILL BE ABLE TO MAKE, PROFITS OR LOSSES SIMILAR TO YOUR PAST PERFORMANCE OR RISK SCORE SHOWN. THE ACTUAL PROFIT/LOSS PERCENTAGE EXPERIENCED BY INVESTORS VARIES DEPENDING ON MANY FACTORS, INCLUDING, BUT NOT LIMITED TO, THE INITIAL ACCOUNT BALANCE (DEPOSIT & WITHDRAWAL), MARKET BEHAVIOR, ACCOUNT SETTINGS, INVESTOR AND THE ACTUAL PERFORMANCE OF THE COPIED USER.

  • AS A RESULT, THERE ARE FREQUENTLY GREAT DIFFERENCES BETWEEN HYPOTHETICAL/PAST PERFORMANCE RESULTS AND THE ACTUAL RESULTS SUBSEQUENTLY ACHIEVED BY ANY SPECIFIC TRADING PROGRAM. ONE OF THE LIMITATIONS OF HYPOTHETICAL PERFORMANCE RESULTS IS THAT THEY ARE GENERALLY PREPARED WITH THE ADVANTAGE OF HINDOUT. FURTHER, HYPOTHETICAL TRADING DOES NOT IMPLY FINANCIAL RISK, AND NO HYPOTHETICAL TRADING DOCUMENT CAN FULLY TAKE INTO ACCOUNT THE IMPACT OF FINANCIAL RISK ON ACTUAL TRADING. FOR EXAMPLE, THE ABILITY TO RESIST LOSSES OR TO COMPLY WITH A SPECIFIC TRADING SCHEDULE DESPITE TRADING LOSSES ARE FACTUAL ELEMENTS WHICH MAY ALSO AFFECT THE ACTUAL TRADING RESULTS THEREFORE. THERE ARE MANY OTHER FACTORS RELATING TO THE MARKETS IN GENERAL OR THE IMPLEMENTATION OF ANY SPECIFIC TRADING PROGRAM WHICH CANNOT BE FULLY TAKEN INTO ACCOUNT IN THE PREPARATION OF HYPOTHETICAL PERFORMANCE RESULTS AND ALL OF THESE MAY SUBSEQUENTLY AFFECT ACTUAL TRADING RESULTS.

  • NO ASPECT OF THE INFORMATION AND/OR SOCIAL TRADING FEATURES PROVIDED AND/OR MADE AVAILABLE ON OUR WEBSITES IS INTENDED TO PROVIDE, OR SHOULD BE CONSTRUED AS PROVIDED TO PROVIDE, ANY ADVICE RELATING TO ANY FINANCIAL, INVESTMENT OR TAXATION. YOU SHOULD NOT CONSIDER SUCH CONTENT AND/OR FEATURES OF ANY KIND AS A SUBSTITUTE FOR PROFESSIONAL FINANCIAL AND/OR INVESTMENT ADVICE. IF YOU CHOOSE TO ENTER INTO TRANSACTIONS BASED ON THE CONTENT ON THE WEBSITE AND/OR SELECT SPECIFIC TRADERS AND/OR TRANSACTIONS TO COPY, IN SUCH CASE SUCH DECISIONS AND TRANSACTIONS AND ANY CONSEQUENCES ARISING ARE SOLELY YOUR RESPONSIBILITY. ALTHOUGH INDIVIDUAL PARTICIPANTS MAY OFFER INVESTMENT ADVICE OR OPINION AND/OR ENTER INTO A TRANSACTION WHICH MAY SUBSEQUENTLY BE COPIED BY OTHER TRADERS, SUCH ADVICE, OPINION OR TRANSACTIONS ARE NOTHING BUT EXCHANGES BETWEEN PEOPLE WHICH MAY BE ANONYMOUS OR NOT Identifiable OR SIMPLY THE EXECUTION OF A TRANSACTION BY SUCH TRADERS. DIMOND FC  LTD. AND ITS AFFILIATES DO NOT PROVIDE INVESTMENT ADVICE DIRECTLY, INDIRECTLY, IMPLIEDLY OR IN ANY WAY BY MAKING AVAILABLE SUCH INFORMATION AND/OR FUNCTIONS. YOU SHOULD USE ANY INFORMATION COLLECTED HEREIN AND/OR USE SOCIAL TRADING FEATURES ONLY AS A STARTING POINT FOR YOUR OWN INDEPENDENT INVESTMENT RESEARCH AND DECISIONS

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Risks of Automated Trading and the Internet

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While trading through our website and/or applications, system errors may occur. It is therefore necessary to be aware of the risks that could arise from such system errors as the latter could delay or block the execution of orders.

You acknowledge that there are risks associated with using an Internet based trading system including, but not limited to, hardware, software and Internet connection failures, the risk of introduction of malicious software, the risk that third parties may gain unauthorized access to information and/or assets (including your Cryptocurrencies) stored on your behalf, cyber attack, Cryptocurrency network failure (such as the blockchain), computer viruses, communication failures, interruptions, errors, distortions or delays you may experience while trading through the Services, howsoever caused, spyware, scareware, Trojan horses, worms or other malware that may affect your computer or other equipment, or any phishing, spoofing or other attacks. You should also be aware that SMS and email services are vulnerable to spoofing and phishing attacks, and you should be careful when reviewing messages purporting to be from eToro.

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Information

Any opinions, news, research, analyses, prices or other information published on this website are provided as general market commentary and should not be relied upon as investment advice. Therefore eToro will not be liable for any losses arising from any investment based on any recommendation, forecast or other information provided.

Past performance

Past performance is not a guide to future results. The value of investments can go down as well as up

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