Risk Warning is a statement provided by financial institutions, such as brokers, to inform clients about the risks involved in trading financial products like Forex, CFDs, or other derivatives. It typically includes the following points:
High Risk of Loss: Trading in financial products, especially leveraged instruments, carries a high risk of loss, which may exceed the initial investment.
Not Suitable for All Investors: These financial instruments may not be suitable for all investors, and it's important to fully understand the risks involved before trading.
No Guarantees: Past performance of financial instruments or strategies does not guarantee future results.
Responsibility of the Trader: It is the trader's responsibility to ensure they understand the risks and only trade with money they can afford to lose.
Leverage Risks: Leverage can magnify both gains and losses, potentially leading to significant losses.
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