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RISK
STATEMENT
BEFOR START - YOU NEED TO KNOW
- Effects of Leveraged
Trading
When we speak of potential profit, there is always risk.
Spot FOREX transactions carry a high degree of risk.
Prices can often be volatile and unpredictable. In addition
the ability to utilize a high degree of leverage can
enhance that risk. The initial margin requirement per
contract is small relative to the absolute value of
the Spot FOREX Contract. A margin deposit of $2,000
for example, can control one contract with a market
value of approximately $100,000. A relatively small
market movement or fluctuation against one's position
will have a proportionately larger impact on the funds
deposited. This may work against you or may work in
your favor depending on which the way the market moves.
You may sustain a total loss of your initial margin
deposit and any additional funds deposited to maintain
your position. Given the possibility of incurring substantial
losses, you should only speculative with risk capital
or funds that you as an individual or an institution
can afford to lose.
- Off-Exchange Transactions
Spot FOREX transactions are not conducted on organized
exchanges. The firm that carries your account is Solid
Gold Financial Services, is the counter-party to your
transaction. For unforeseen reasons or fundamental factors
that are "random" in nature, it may be difficult
or impossible to liquidate an open position, to assess
the value, to determine a fair price or to assess risk
exposure. For these reasons, these transactions may
involve increased risks.
- Market Opinions Expressed
by Representative
Any opinions expressed by account executives of Globallink
as to the future direction of specific currency prices
do not necessarily represent those of Globallink, and
are not guaranteed in any way. In no event shall Globallink
have any liability for any losses incurred in connection
with any decision made, action or inaction taken by
any party as a result of the information provided on
this web site, or because of any delays, inaccurate
information, errors or omissions of information.
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