High Risk Investment Warning
CFDs and forex trading carry a high risk of loss. The majority of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
1. Important Notice — Read Before Trading
This Risk Disclosure Statement ("Statement") is provided to you by ForexPro (fxprorise.org) in accordance with best industry practices and applicable financial regulations. It is not intended to be exhaustive. You are strongly advised to seek independent financial and legal advice before making any investment decisions. By accessing, registering for, or using the ForexPro trading platform, you acknowledge that you have read, understood, and accepted all risks described in this Statement. If you do not understand any part of this Statement, do not trade until you have sought professional advice.
2. General Risk Warning
Trading foreign exchange (forex) and contracts for difference (CFDs) on margin carries a HIGH LEVEL OF RISK and is NOT SUITABLE for all investors. The possibility exists that you could sustain a loss EQUAL TO OR GREATER THAN your entire investment. Therefore: • Do not invest money you cannot afford to lose • Do not trade with funds required for essential living expenses, savings, or retirement • Do not borrow money to fund your trading • Past performance is NOT indicative of future results • Prices shown on the platform are indicative and may differ from execution prices Statistical evidence consistently shows that the majority of retail forex and CFD traders lose money. You should carefully assess whether trading is appropriate for you in light of your personal circumstances, knowledge, and financial resources.
3. Leverage and Margin Risk
ForexPro offers leverage of up to 1:500 on forex pairs, 1:200 on metals, and 1:10 on cryptocurrencies. Leverage magnifies both profits AND losses relative to your deposited margin. Illustrative example (1:100 leverage): • You deposit $500 margin to control a $50,000 position • A 1% adverse price movement results in a $500 loss — your entire deposit • A 2% adverse movement would result in a loss exceeding your initial deposit Higher leverage ratios increase this risk proportionally. A 1:500 leverage position requires only a 0.2% adverse price move to wipe out your entire margin. You should use leverage cautiously and understand that: • Margin calls may be issued when your account equity falls below required margin • Positions may be automatically closed (stopped out) to prevent negative balances • In extreme market conditions, you may lose more than your initial deposit • ForexPro has a negative balance protection policy for retail accounts, but this may not apply in all circumstances
4. Market Volatility Risk
Forex and CFD markets are highly volatile. Prices can change rapidly and significantly in response to: • Economic data releases (GDP, inflation, employment figures, trade data) • Central bank interest rate decisions and policy statements (Federal Reserve, ECB, BoE, BoJ) • Geopolitical events, elections, referendums, and political instability • Natural disasters and pandemics • Corporate earnings and financial results (for equity CFDs) • Commodity supply disruptions (for commodity CFDs) • Market sentiment and speculative flows During periods of extreme volatility, spreads may widen significantly beyond their normal levels, making it more expensive to enter or exit positions. You may experience substantial gains or losses in very short timeframes, including within a single trading session.
5. Liquidity Risk and Slippage
Liquidity varies significantly across different instruments, market sessions, and market conditions. In illiquid conditions: • Orders may not be executed at the requested price (slippage) • Stop Loss orders are NOT guaranteed to execute at the specified price in fast-moving or gapping markets • Take Profit orders may be skipped during rapid price movements • Large positions may be difficult to close without moving the market against you • Bid-ask spreads may widen substantially during news events or low-volume periods Market gaps occur when prices "jump" from one level to another without trading through intermediate prices, typically at market open on Monday after a weekend, or during major news events. Gapping can cause Stop Loss orders to be filled at prices significantly worse than the specified level, potentially resulting in losses exceeding your deposited margin.
6. Overnight and Weekend Risk (Swap/Rollover Charges)
Positions held open overnight are subject to swap charges (also called overnight financing or rollover fees), which represent the interest rate differential between the two currencies in a forex pair. • Swaps can be positive (credit to your account) or negative (debit from your account) • Swap rates are adjusted periodically and are displayed on the trading platform • Triple swaps are typically applied on Wednesday nights (covering the weekend) • Over time, negative swap charges can significantly erode returns on long-held positions • Weekend risk: Markets are closed Friday–Sunday but geopolitical or economic events can occur, causing price gaps at Monday's open Long-term position holders should factor swap costs into their trading decisions and risk calculations.
7. Currency Conversion Risk
If your account base currency differs from the currency of an instrument you are trading, profits, losses, and costs will be subject to currency conversion. Fluctuations in exchange rates may increase or decrease the value of your positions when converted to your account currency. Additionally: • Deposit and withdrawal conversions may be subject to exchange rate fluctuations • The exchange rate used for conversions may differ from mid-market rates • Currency conversion fees may apply depending on your payment provider
8. Counterparty and Platform Risk
When trading CFDs through ForexPro: • You are entering into a contract with the platform, not trading directly on an exchange • ForexPro acts as counterparty to your trades in the context of CFD products • The platform's ability to honour contracts depends on its financial stability and operational continuity • Client funds are maintained separately from operational funds to the extent permitted; however, this does not guarantee protection in all circumstances Technology and operational risks include: • Internet connectivity failures preventing trade execution at critical moments • Server outages or maintenance affecting platform availability • Software errors that may cause incorrect pricing, order execution, or account balance display • Cybersecurity incidents that may affect the integrity of trading systems ForexPro is not liable for losses arising from events outside its reasonable control, including technology failures, natural disasters, regulatory actions, or extreme market dislocations.
9. Execution and Order Risk
Market conditions can affect order execution in various ways: • Market Orders: Executed at the best available price, which may differ from the displayed price at the time of placing the order, especially during fast markets • Limit Orders: May not be executed if the market does not reach the specified price • Stop Loss Orders: Not guaranteed to execute at the exact specified price; may fill at a worse price in gapping markets • Pending Orders: May be cancelled or invalidated if the market moves rapidly through the order price ForexPro does not guarantee re-quotes but reserves the right to reject orders that fall outside acceptable parameters, or during periods of system maintenance or extreme market volatility.
10. Demo Account Differences
The ForexPro demo account is provided for educational and practice purposes only. You should be aware of important differences between demo and live trading: • Demo accounts use virtual funds; profits and losses have no real monetary value • Demo execution may not accurately replicate live market conditions, including slippage, partial fills, or requotes • Emotional and psychological factors present in live trading (fear, greed, pressure) are absent in demo trading • Demo spreads and fees may differ from live account spreads and fees • Demo liquidity may be superior to live market liquidity • Strategies that perform well in a demo environment may not perform similarly in live markets Do not assume that demo account results predict live trading results. Demo trading is a starting point, not a guarantee of future success.
11. Regulatory and Jurisdictional Risk
Forex and CFD trading is regulated differently across jurisdictions. Some countries restrict or prohibit retail forex and CFD trading entirely. It is your sole responsibility to: • Confirm that using the ForexPro platform is lawful in your country of residence • Understand any restrictions on leveraged trading that apply in your jurisdiction • Comply with local financial regulations and reporting requirements • Be aware that regulatory protection available to you may differ from protections available in other jurisdictions ForexPro does not knowingly serve residents of jurisdictions where such services are prohibited. Users are required to provide accurate country of residence information during registration. ForexPro reserves the right to restrict access to the platform from jurisdictions where it cannot legally operate.
12. Tax Obligations
Profits from forex and CFD trading may be subject to capital gains tax, income tax, or other taxes in your country of residence. Tax treatment varies significantly by jurisdiction and personal circumstances. You are solely responsible for: • Understanding your tax obligations in relation to trading profits and losses • Keeping accurate records of all trades, gains, and losses • Reporting trading income to the relevant tax authority in your jurisdiction • Paying any applicable taxes on time ForexPro does not provide tax advice. You should consult a qualified tax advisor or accountant familiar with the laws of your jurisdiction.
13. No Investment Advice
Nothing on the ForexPro platform constitutes investment advice, financial advice, trading advice, or any other type of advice. All educational materials, market commentary, chart tools, and any other content are provided for informational and educational purposes only. ForexPro does not: • Recommend specific trades or positions • Predict or guarantee future market movements • Guarantee profitable outcomes from any trading strategy • Provide personalised financial planning services The automated strategy bots available on the platform are educational tools. They illustrate algorithmic trading concepts and do not constitute investment recommendations. Any signals generated are for educational purposes only and should not be relied upon for live trading decisions without independent analysis and risk assessment.
14. AML and Fraud Risk
ForexPro is committed to combating financial crime. As part of our obligations: • We may restrict or delay withdrawals pending additional identity verification • Accounts suspected of fraudulent activity, money laundering, or market manipulation will be suspended immediately and reported to relevant authorities • Funds associated with fraud or criminal activity may be frozen indefinitely pending investigation • We cooperate fully with law enforcement and regulatory investigations • Attempting to circumvent our AML/KYC procedures is a serious violation that may result in account termination and legal action You represent and warrant that all funds deposited on the ForexPro platform are from legitimate sources and are not derived from any illegal activity.
15. Acknowledgement of Risk
By creating an account and using the ForexPro platform, you acknowledge and agree that: ✓ You have read and understood this Risk Disclosure Statement in its entirety ✓ You understand that forex and CFD trading involves substantial risk of loss ✓ You are financially able to sustain losses that may be equal to or exceed your deposited funds ✓ You are trading on a voluntary basis, accepting all associated risks ✓ You are not relying on ForexPro for investment advice ✓ You have sought independent professional advice if you have any doubts about the suitability of trading for your personal circumstances ✓ You will not trade with borrowed money or funds required for essential living expenses ✓ ForexPro is not liable for your trading losses If you do not accept these risks, you must not use the ForexPro live trading platform.
Questions about this Risk Disclosure?
Contact us at support@fxprorise.org before placing any live trades. We recommend all new traders complete the full education program and practice extensively in the demo account before transitioning to a live account.