Risk Disclosure Statement

Effective Date: 01-04-2026

Risk Disclosure Statement

1. Introduction

This Risk Disclosure Statement (“Disclosure”) outlines the potential risks associated with trading financial instruments through VelmoraTrade (“Company”, “we”, “us”, or “our”).

Trading on margin carries a high level of risk and may not be suitable for all investors. By opening an account, you acknowledge that you have read, understood, and accepted the risks described herein.

2. General Risk Warning

Trading financial instruments such as:

  • Forex (Foreign Exchange)
  • Contracts for Difference (CFDs)
  • Commodities
  • Indices
  • Cryptocurrencies

involves significant risk, including the possible loss of your entire invested capital.

You should not trade with funds you cannot afford to lose.

3. Leverage Risk

Trading with leverage allows you to control larger positions with a smaller amount of capital.

  • Leverage amplifies both profits and losses
  • Small market movements can result in significant losses
  • You may lose your entire account balance rapidly

4. Market Volatility

Financial markets are highly volatile and influenced by:

  • Economic news and events
  • Political developments
  • Market sentiment
  • Liquidity conditions

Prices may change rapidly, and gaps can occur, especially during:

  • Market openings
  • Major news announcements

5. Liquidity Risk

Certain market conditions may reduce liquidity, making it difficult to:

  • Execute trades at desired prices
  • Close positions

This may result in slippage or delayed execution.

6. Execution Risk

Orders placed on the Platform are subject to:

  • Delays due to technical or network issues
  • Slippage between requested and executed price
  • Partial fills or rejection in extreme conditions

VelmoraTrade does not guarantee execution at exact requested prices.

7. Counterparty Risk

By trading on VelmoraTrade, you are exposed to counterparty risk.

  • The Company acts as the counterparty or intermediary to your trades
  • Financial stability and operational continuity of the Company may affect services

8. Margin and Stop-Out Risk

  • You are required to maintain sufficient margin to keep positions open
  • If your account equity falls below required levels, positions may be automatically closed (stop-out)
  • Stop-outs can occur rapidly during volatile markets

9. Technology and System Risk

Trading platforms rely on technology, which may be subject to:

  • System failures
  • Connectivity issues
  • Hardware or software malfunctions

VelmoraTrade is not responsible for losses caused by technological disruptions beyond its control.

10. Pricing Risk

Prices displayed on the Platform may:

  • Differ from other market sources
  • Be affected by internal pricing models or liquidity providers
  • Temporary discrepancies or delays may occur

11. Cryptocurrency Risk

Trading cryptocurrencies involves additional risks:

  • Extreme volatility
  • Regulatory uncertainty
  • Market manipulation
  • Technology risks (blockchain, wallets, network congestion)

Cryptocurrency markets operate 24/7, increasing exposure to continuous risk.

12. No Investment Advice

VelmoraTrade does not provide:

  • Investment advice
  • Trading recommendations
  • Portfolio management

Any information provided is for informational purposes only and should not be considered financial advice.

13. Past Performance

  • Past performance of any financial instrument does not guarantee future results
  • Should not be relied upon as an indicator of performance

14. Client Responsibility

  • You are solely responsible for your trading decisions
  • You understand how financial instruments work
  • You have sufficient knowledge and experience to trade

15. Negative Balance Protection Limitation

  • While VelmoraTrade may offer negative balance protection, it may not apply in all circumstances
  • Exceptional market conditions may temporarily result in negative balances before adjustment

16. Regulatory and Legal Risk

  • Changes in laws or regulations may impact your ability to trade
  • Affect available instruments or services

VelmoraTrade is not responsible for regulatory changes affecting your trading activity.

17. Force Majeure Events

VelmoraTrade shall not be liable for losses caused by events beyond its control, including:

  • Natural disasters
  • War or civil unrest
  • Government actions
  • System-wide market disruptions

18. Acknowledgment

  • You have read and understood this Risk Disclosure
  • You accept all risks associated with trading
  • You are aware that losses may exceed expectations