Risk Warning
Prospective clients should study the following risk warnings very carefully. Please note that we do not explore or explain all the risks involved when dealing in Financial Instruments (including Contracts for Difference “the CFDs” and Equities). We outline the general nature of the risks of dealing in Financial Instruments on a fair and non-misleading basis.
In particular, Contracts for Difference are complex financial products and not suitable for all investors. CFDs are leveraged products that mature when you choose to close an existing open position. By investing in CFDs, you assume a high level of risk and can result in the loss of all your invested capital.
Unless a client knows and fully understands the risks involved in each Financial Instrument, they should not engage in any trading activity. You should not risk more than you are prepared to lose. Stambh Limited will not provide clients with any investment advice in relation to investments, possible transactions in investments, or Financial Instruments, neither will we make any investment recommendations. Clients should consider which Financial Instrument is suitable for them according to their financial status and goals before opening an account with Stambh Limited. If a client is unclear about the risks involved in trading in Financial Instruments, then they should consult an independent financial advisor. If the client still doesn't understand these risks after consulting an independent financial advisor, then they should refrain from trading at all. Purchasing and selling Financial Instruments comes with a significant risk of losses and damages, and each client must understand that the investment value can both increase and decrease. Clients are liable for all these losses and damages, which could result in more than the initial invested capital once they make the decision to trade.
Acknowledgment
Technical Risk
The Client shall be responsible for the risks of financial losses caused by the failure of information, communication, electronic, and other systems. The result of any system failure may be that their order is either not executed according to their instructions or not executed at all. The Company does not accept any liability in the case of such a failure.
While trading through the Client Terminal, the Client shall be responsible for the risks of financial losses caused by:
- - Client's or Company's hardware or software failure, malfunction, or misuse;
- - Poor internet connection either on the side of the Client or the Company or both, or interruptions, transmission blackouts, public electricity network failures, hacker attacks, or connection overload;
- - Incorrect settings in the Client Terminal;
- - Delayed Client Terminal updates;
- - The Client disregarding the applicable rules described in the Client Terminal user guide and on the Company's website.
Abnormal Market Conditions
The Client acknowledges that under Abnormal Market Conditions, the period during which the Instructions and Requests are executed may be extended.
Trading Platform
The Client acknowledges that only one Request or Instruction is allowed to be in the queue at one time. Once the Client has sent a Request or an Instruction, any further Requests or Instructions sent by the Client are ignored and the "Order is locked" message appears until the first Request or Instruction is executed.
The Client acknowledges that the only reliable source of Quotes Flow information is that of the real/live Server's Quotes Base. Quotes Base in the Client Terminal is not a reliable source of Quotes Flow information because the connection between the Client Terminal and the Server may be disrupted at some point, and some of the Quotes may not reach the Client Terminal.
The Client acknowledges that when the Client closes the order placing/modifying/deleting window or the position opening/closing window, the Instruction or Request sent to the Server shall not be canceled.
Communication
The Client shall accept the risk of any financial losses caused by delayed or undelivered notices from the Company. The Company is not liable for unauthorized third-party access to the Client’s information during communication.
Force Majeure Event
In case of a Force Majeure Event, the Client shall accept the risk of financial losses.
Risk Warning Notice for Foreign Exchange and Derivative Products
This notice cannot disclose all the risks and other significant aspects of foreign exchange and derivative products such as futures, options, and CFDs. You should not deal in these products unless you understand their nature and the extent of your exposure to risk. The effect of leverage and high volatility increases the potential for losses significantly.
Clients should:
- - Ensure they understand the risks associated with leveraged products.
- - Monitor their accounts actively to avoid adverse outcomes.
- - Be aware that trading under volatile market conditions may lead to order execution at less favorable prices than expected.
Third-Party Risk
Stambh Limited may pass Client money to third parties to effect transactions. In such cases:
- - Funds may be held in omnibus accounts, making them susceptible to the financial stability of third-party institutions.
- - In the event of insolvency, Clients may face significant risks, including limited recourse for claim recovery.