1. Purpose of this disclosure
At Super-Xe, we strive to inform our clients fully about the risks of trading in the financial markets. This Risk Disclosure explains the main risks of trading the products we offer, which you should understand and acknowledge before engaging in any trading activity. It does not describe every possible risk. Before opening an account you should read it carefully, together with our Terms and Conditions, and consider whether trading is appropriate for you in light of your experience, objectives and financial resources.
2. Nature of CFDs
A contract for difference (CFD) is an agreement to exchange the difference in the price of an underlying asset between the time a position is opened and the time it is closed. When you trade a CFD you do not own the underlying asset and have no rights to it, such as voting rights or physical delivery. Your profit or loss depends entirely on price movements of the underlying market.
3. Leverage and margin
CFDs are traded on margin, which means you deposit only a fraction of the full value of a position. Leverage magnifies both profits and losses: a small market movement can have a proportionally much larger effect on your account. While leverage can increase potential gains, it also increases risk and can lead to significant losses that may exceed your initial investment. If the market moves against you, you may be asked to deposit additional funds at short notice to maintain your positions.
If your margin level falls below the required threshold, some or all of your positions may be closed automatically at the prevailing market price, and you may lose all the funds in your account.
4. Market volatility and gaps
Financial markets are inherently volatile. Prices of financial instruments can change rapidly and unpredictably due to economic data, political events, central bank decisions, natural disasters and changes in market sentiment, potentially resulting in losses. Prices may "gap", jumping from one level to another without trading in between, for example over weekends or after major announcements. When this happens, stop-loss orders may be executed at a worse price than the level you set.
5. Political and economic risk
Political events, economic data releases, geopolitical tensions and other external factors can have a significant impact on financial markets and cause sudden and unpredictable price movements.
6. Cryptocurrency risks
Cryptocurrency CFDs carry additional risks. Crypto markets are highly volatile, operate around the clock and can be affected by limited regulation, technological failures, cyber attacks, forks and changes in legal status. Liquidity can be thin, spreads can widen sharply and prices can fall substantially in a short time.
7. Liquidity and execution
Under certain market conditions, reduced liquidity may make it difficult or impossible to open or close a position at the price you expect. Low liquidity, high volatility or trading halts on underlying markets may result in price discrepancies or gaps, slippage, delayed execution or orders not being executed at all.
8. Currency risk
If you trade instruments denominated in a currency different from your account base currency, exchange rate movements will affect the value of your profits and losses when converted.
9. Costs and charges
Trading involves costs, including spreads, commissions where applicable, and overnight financing (swap) charges for positions held past the daily cut-off. These costs reduce any profits and increase any losses. Details of the charges for your account are available in the client area and should be reviewed before you trade.
10. Technology and platform risk
Although we use cutting-edge technology, trading online relies on hardware, software and internet connections that can fail. Technical errors such as system failures, connection interruptions, cyber incidents or data inaccuracies may affect trading activity and prevent you from accessing your account, placing orders or managing positions. You are responsible for maintaining secure devices and a reliable connection.
11. Regulatory and legal risk
Changes in the regulatory, political or legal frameworks of different countries may affect trading conditions, margin requirements and the availability of certain financial instruments.
12. Counterparty and insolvency risk
When you trade CFDs with us, we are the counterparty to your trades. Trading with counterparties, including brokers and financial institutions, involves risks related to their financial stability, solvency or operational capacity. You are therefore exposed to the risk that we, or a third party such as a bank or liquidity provider we rely on, may be unable to meet obligations. Client money arrangements and any investor compensation protections depend on your jurisdiction and client classification.
13. No investment advice
Unless expressly agreed in writing, Super-Xe provides execution services only. Market commentary, analysis, webinars, trade ideas and educational material are general information and not personal recommendations. Any decision to trade is your own responsibility.
14. Risk awareness and independent advice
It is crucial that you research thoroughly, use risk-management strategies and stay aware of these risks before you trade. Potential profits may be attractive, but you should be prepared for the possibility of significant losses. We strongly recommend that you seek independent financial advice and fully understand the risks of trading before making any investment decision.
15. Past performance and forecasts
Past performance, simulated results and forecasts are not reliable indicators of future results. Statements about potential returns are illustrative only, and there is no guarantee of profit on any trade or strategy.
16. Tax
Tax treatment depends on your personal circumstances and may change. You are responsible for any taxes due on your trading activity and should seek independent tax advice where necessary.
17. Limitation of liability
Use of the Super-Xe website and its services is the sole responsibility of the user. The company will not be liable for any damages or losses of any nature arising from changes, additions, closures, suspensions or the discontinuation of the Super-Xe website or any of the services offered on it.
18. Your acknowledgement
By opening an account or using our services, you confirm that you have read and understood this Risk Disclosure, that you accept the risks of trading in the financial markets described here, and that you will trade only with funds you can afford to lose. You agree that Super-Xe cannot be held responsible for any losses incurred during your trading activity.