Risk Disclaimer

Last updated: 2026-07-18

READ THIS DISCLAIMER CAREFULLY BEFORE USING MARKETCFD.COM OR TRADING ANY FINANCIAL INSTRUMENT.

1. Critical Warning

Trading Contracts for Difference (CFDs), foreign exchange (forex), and other leveraged financial instruments carries a HIGH LEVEL OF RISK and is NOT SUITABLE FOR ALL INVESTORS.

Before engaging in CFD or forex trading, you must be fully aware of the risks involved, including but not limited to:

  • You may lose all of your invested capital.
  • You may lose MORE than your initial deposit due to leverage and margin calls.
  • Past performance is NOT indicative of future results.
  • Trading may create dependencies and lead to financial, psychological, and social harm.
  • Complex financial products require knowledge and experience.

If you are unsure whether trading is appropriate for your circumstances, seek independent professional advice from a qualified financial advisor, tax advisor, and legal advisor in your jurisdiction.

2. No Investment Advice

The content provided on MarketCFD.com — including but not limited to broker reviews, market analysis, educational articles, trading tools, and glossary entries — is provided for general informational and educational purposes only.

MarketCFD is NOT:

  • A registered investment advisor.
  • A broker-dealer.
  • A financial planner.
  • A tax advisor.
  • A licensed financial professional in any jurisdiction.

Nothing on this Site constitutes personalized investment, financial, legal, or tax advice. You should not rely on our content as a substitute for professional advice tailored to your specific circumstances.

Any decision you make based on information from this Site is made at your own risk.

3. Independent Review Nature

MarketCFD is an independent review platform. We:

  • Are NOT affiliated with most brokers we review, unless explicitly disclosed.
  • Do NOT receive undisclosed compensation from brokers for favorable reviews.
  • Apply consistent evaluation criteria across all reviewed brokers. See our Editorial Policy.
  • Strive to provide accurate, up-to-date information, but cannot guarantee completeness or accuracy.

Broker information (regulatory status, fees, platform features) changes frequently. Always verify current details directly with the broker and the relevant regulator before opening an account.

4. Specific Risks of CFD Trading

4.1 Leverage Risk

CFDs are leveraged products. Leverage amplifies both profits and losses. A small market movement can lead to losses that exceed your initial deposit. You may be required to deposit additional funds to maintain your positions (margin call). Failure to meet a margin call may result in your positions being closed at a loss.

4.2 Margin Risk

Margin requirements may change without notice. Your broker may increase margin requirements during periods of high volatility, potentially forcing you to deposit additional funds or close positions at unfavorable prices.

4.3 Counterparty Risk

When you trade CFDs, you do not own the underlying asset. Your counterparty is the broker. If the broker becomes insolvent, you may lose all funds held with that broker. Always verify that your broker holds client funds in segregated accounts with reputable banking institutions.

4.4 Liquidity Risk

Some markets or instruments may become illiquid, making it difficult or impossible to close positions at desired prices. This is particularly common during major news events, market openings/closings, and periods of extreme volatility.

4.5 Market Risk

Financial markets are affected by economic, political, regulatory, and other factors beyond your control. News events, central bank decisions, geopolitical developments, and natural disasters can cause rapid and unpredictable price movements.

4.6 Technology Risk

Trading platforms, internet connections, and electronic systems can fail. System outages, connectivity issues, software bugs, and cyber-attacks may prevent you from executing trades or managing open positions.

4.7 Foreign Exchange Risk

CFDs on forex pairs are subject to additional currency exchange risk. Even if the underlying trade is profitable, currency fluctuations may erode or amplify your returns.

4.8 Overnight Financing Costs

Holding leveraged positions overnight incurs financing charges (swap fees). These costs accumulate over time and can significantly reduce profits or increase losses, especially for long-term positions.

5. Asset-Class-Specific Risks

5.1 Forex (Foreign Exchange)

Extreme volatility, 24-hour markets, and high leverage create significant risk. Currency markets can move hundreds of pips in seconds during major economic releases.

5.2 Cryptocurrencies

Cryptocurrency markets are highly volatile and largely unregulated. Prices can fluctuate by 50% or more in a single day. Exchanges and counterparties are vulnerable to hacking, fraud, and operational failures. Cryptocurrency CFDs carry the same risks plus the underlying cryptocurrency’s risks.

5.3 Equities and Indices

Stock and index prices are affected by company-specific events, economic data, central bank policy, and market sentiment. Single-stock positions carry idiosyncratic risk.

5.4 Commodities (Oil, Gold, Silver, Natural Gas)

Commodity prices are highly volatile and influenced by supply-demand dynamics, geopolitical events, weather, OPEC decisions, and currency fluctuations. Leverage amplifies these effects.

5.5 Stock CFDs

Stock CFDs carry company-specific risk plus the risks described in Section 4. Corporate actions (dividends, splits, mergers) may affect stock CFD pricing in ways that differ from direct stock ownership.

5.6 Energy Products (Oil, Natural Gas)

Energy markets are among the most volatile. Prices can gap significantly overnight and on weekends. Storage reports, weather, OPEC decisions, and geopolitical events can cause extreme price swings.

6.1 Jurisdictional Restrictions

CFD trading is restricted or prohibited in several jurisdictions, including but not limited to:

  • United States: Most retail CFD and forex trading is not available to US residents.
  • Belgium: Retail CFD trading is banned.
  • Other jurisdictions may impose restrictions or require specific licensing.

It is your responsibility to verify whether CFD trading is legal in your jurisdiction before engaging in it.

6.2 Regulatory Status of Brokers

Regulatory licenses do NOT eliminate the risk of broker insolvency or misconduct. Even regulated brokers can fail. Verify the current status of any broker’s license directly with the relevant regulator.

6.3 Tax Implications

Trading CFDs and forex may have significant tax consequences in your jurisdiction. Profits may be subject to capital gains tax, income tax, or other levies. Consult a qualified tax advisor in your jurisdiction.

7. Suitability and Self-Assessment

Before trading CFDs or forex, consider whether you:

  • Have sufficient knowledge and experience in financial markets.
  • Understand the risks and mechanics of leveraged trading.
  • Can afford to lose the money you invest.
  • Have sufficient time to monitor your positions.
  • Are not experiencing financial hardship or emotional distress.
  • Are not influenced by alcohol, medications, or other substances.
  • Have access to emergency funds beyond your trading capital.

Many regulators require brokers to assess client suitability. Do not misrepresent your financial situation, knowledge, or experience to pass suitability assessments.

8. Information Accuracy

We strive to provide accurate and up-to-date information on MarketCFD.com. However:

  • Broker terms, fees, and regulations change frequently.
  • Market data may be delayed or inaccurate.
  • Editorial content may contain errors or omissions.
  • Translation between our 12 supported languages may introduce discrepancies.

Always verify critical information directly with the broker and the relevant regulator before acting on it.

9. No Guarantee of Returns

There is no strategy, system, or method that guarantees profits in trading. Claims of guaranteed returns, “risk-free” trading, or “get rich quick” schemes are universally false. Anyone making such claims is likely engaged in fraud.

10. Mental Health and Addiction Awareness

Trading can be addictive. If you experience any of the following, seek help immediately:

  • Compulsive urge to trade to recover losses (“chasing losses”).
  • Lying to family or friends about trading activity.
  • Borrowing money to fund trading.
  • Neglecting work, relationships, or responsibilities.
  • Anxiety, depression, or suicidal thoughts related to trading.

Resources for help:

  • Gamblers Anonymous: ga.org
  • National Council on Problem Gambling: ncpgambling.org
  • International: Search for “gambling addiction help” in your country.

11. Acknowledgment

By using MarketCFD.com, you acknowledge that:

  1. You have read and understood this Risk Disclaimer.
  2. You are aware of the substantial risks associated with CFD and forex trading.
  3. You accept full responsibility for any trading decisions you make.
  4. MarketCFD is not liable for any losses you incur from trading activities.

12. Contact

For questions about this Risk Disclaimer:

REMEMBER: 80%+ of retail traders lose money. Only invest what you can afford to lose. If in doubt, do not trade.