Financial Risk Disclosure Statement
Risk Disclosures
Essential information regarding the financial risks associated with trading forex, CFDs, and financial derivatives.
Risk Awareness
Understand Your Trading Risk
Please ensure you fully comprehend the risks involved before depositing funds or opening live positions on the market.
1. High Risk of Leveraged Derivatives
- Trading Contracts for Difference (CFDs), Spot Foreign Exchange (Forex), and Commodities carries a high level of risk to your capital.
- Leverage amplifies both potential profits and potential losses. A relatively small market movement can lead to substantial financial losses equal to or exceeding your invested margin.
2. Volatility & Rapid Price Fluctuations
- Financial markets can experience rapid, unpredictable price shifts triggered by economic news events, central bank announcements, or geopolitical crises.
- Prices can gapping past order levels (slippage), meaning stop-loss orders may not always execute at the exact requested price during volatile market conditions.
3. Margin Requirements & Margin Calls
- Traders must maintain sufficient free margin in their trading account at all times to keep open positions active.
- If market movements reduce account equity below required margin thresholds, positions may be automatically liquidated (stop-out) to prevent negative account balances.
4. Operational & Technical Risks
- Trading through electronic platforms involves internet connectivity risk, hardware software delays, or latency discrepancies.
- Clients should maintain secondary communication channels and understand emergency position closure procedures.
5. Non-Mainstream & Exotic Assets
- Trading exotic currency pairs, speculative commodities, or crypto CFDs involves reduced market liquidity and wider bid-ask spreads during off-peak market hours.
6. Recommendation for Independent Advice
- Starbull Limited provides execution-only broker services and does not offer financial management or personal investment advice.
- You are strongly advised to seek independent legal, financial, and tax advice to ensure leveraged trading aligns with your risk profile and financial objectives.
Important Financial Warning
Never trade with money you cannot afford to lose
If you are uncertain about the mechanics or suitability of margin trading, try our risk-free demo account before executing real trades.