Prior to applying for an account you should consider carefully whether trading in FX and derivative products is suitable for you in the light of your circumstances and financial situation. FX and derivatives involve different levels of exposure to risk and, in deciding whether to trade in such instruments, you should be aware of the following points:
a. Trading in these products carries a high degree of risk. FX and derivative trading can carry greater risks than conventional share trading. A relatively small market movement can lead to a proportionately much larger movement in the value of your investment, and this can work against you as well as for you.
b. You may sustain a total loss of the margin that you deposit with us to establish or maintain a position. If the market moves against you, you may be called upon to pay substantial additional margin at short notice. If you fail to do so within the required time, your position may be liquidated at a loss and you will be liable for any resulting deficit subject to negative balance protection for retail clients . You will be deemed to have received a notice requiring the payment of such funds, even if you are not at home or do not receive the messages we leave for you, if the notices are delivered to your nominated contact points.
c. Under certain trading conditions it may be difficult or impossible to liquidate a position. This may occur, for example, at times of rapid price movement if the price rises or falls in one trading session to such an extent that trading in the underlying market is suspended or restricted.