GFX RISK DISCLOSURE

High Risk Warning

Foreign Exchange carries a high level of risk, and may not be suitable for all investors. Before deciding to trade with GFX, clients are advised to carefully consider their investment objectives, financial status, level of experience, and risk tolerance. The possibility exists that clients could sustain a loss partial or all of your invested funds and therefore clients are advised not to invest capital that they cannot afford to lose.

GFX strongly advises clients to seek advice from an independent financial advisor if there are any doubts concerning the risks associated with foreign exchange

Trading on Margin and Leverage

GFX provide leverage for clients to trade on margin, up to a maximum leverage of 1:200 unless special arrangements approved by the company. For example, a trading contract on leverage of 1:200 will only require 0.5% of the contract value as margin. Small price movements in the underlying instruments will result in large potential gains/losses on the client’s trade.
Trading on margin enables our clients to both receive high potential rewards and high potential losses. Trading on margin carries very high risks and GFX strongly advise clients to evaluate their risk appetite before engaging in any trading activities using the leverage provide by the company.

Market Commentary

Any opinions, news, research, analyses, prices or other information contained on this website or linked to from this website are provided as general market commentary and do not constitute investment advice. GFX is not liable for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.

Internet Trading Risks

GFX uses an Internet-based trade execution system, employing high-end network services such as Logicworks to facilitate and host our database. Clients are advised that there are risks associated with utilising such a trading system including, but not limited to, the failure of hardware, software, and Internet connection. In the occurrence of such an unfortunate event, The Company reserves the right to void affected orders.
GFX cannot be held responsible for communication failures, distortions, and/or delays when clients trade via the Internet. GFX employs backup systems and contingency plans to minimise the possibility of system failure.

Clients are warned that an order is received by GFX once its request reaches the Trading Server of The Company. The Company shall not be held liable for any delays in the transfer of information between the client devise and its Trading Servers.

Use of Third Party Software

Clients are specifically warned that GFX shall not be held liable for the performance of its Trading Platform in the cases when the client has attached and/or is using any third party software with the said Trading Platform. Such third-party software includes, but not limited to: Custom Indicators, Scripts, Expert Advisers developed with the MetaQuotes Language 4 (MQL4).

GFX does not give any warranty of the performance of such third-party software or the effects it might have on the operations of its systems. Furthermore, all clients are explicitly warned that improper exploitation of the Trading Platform of GFX might cause poor performance and/or the failure of some or all of the said Platform’s features, including but not limited to: Re-quote System, Login System, Execution System, Negative Balance Protection System, Price Feed System and others. Such failures and or mis-performance might cause among other things:

  • Re-quote Failure: The Trading Server of The Company fails to provide a re-quote and to wrongfully accept / execute an order at an invalid price or a delayed price, which is no longer offered (latency arbitrage, off market quotes, etc). In all cases when such an order is detected GFXreserves the right to consider it and its results invalid. Such orders will be voided by The Company on its discretion. The Company keeps records on its Servers of valid prices and the period in which the said prices were offered down to milliseconds. In the case of a dispute over one or more orders that have been wrongfully executed on a delayed price or off-market price, the only source of price information which shall be considered valid and final is the said price record maintained by The Company on its Trading Servers.
  • Connection Failure: The Client’s Trading Platform to lose connection with The Company’s Trading Server.
  • Price Feed Failure: The temporary freezing of price movements on the client’s Trading Platform.
  • Execution Failure: Inability to process client orders and/or significant delay in the processing.
  • Negative Balance Protection Failure (Non Slippage): Inability to protect the balance of the Trading Account of the client from becoming negative i.e. Client has lost more than he has deposited. Clients are warned that GFXwill not remove Negative Balances on its expense in all cases when it deems the Trading Style of the Customer relies on forcing one or more of his Trading Accounts into Negative Balance or if its occurrence becomes systematic. Please note, this policy will apply to manual and software trading alike.

GFX monitors constantly the performance of its Trading Infrastructure and will take all possible steps in order to warn its clients if improper exploitation of the Trading Platform is observed on their behalf before it affects any orders. The Company, however, reserves the right to void / cancel some or all orders including pending orders, working orders (open positions) and closed orders that have benefited from a system failure or mis-performance caused by improper exploitation of its systems.

GFX specifically warns all clients that in the cases when automated systems fail, The Company will rely on manual human detection of the problem, assessment and intervention. Therefore, in the events described herein, any action on behalf of the employees of GFX will normally require time and cannot be compared to the speed with which computer systems work. The Company will at all times strive to react immediately or within 24 hours of the occurrence of the event. GFX does, however, reserve the right to react post factum in all cases when mis-performance or system failure is detected on a later stage without any time-constraint.

Client’s who have caused such mis-performance through their direct, indirect, deliberate or non-deliberate actions will not be reimbursed for incurred loses including losing positions / orders, missed profits and / or incurred negative balance. Clients are advised to consult the Order Execution Policy of GFX for more information on trading patterns and or logic work that GFX considers to be abusive of its Trading Platform.

All clients are advised to read carefully all information documents, terms and risk disclosure documents provided by the manufacturers of the Trading Platforms offered by GFX and made available at the time of installation of the said Trading Platforms.

The following patterns of operation of Third-Party Software (such as MQL4 Expert Advisers for example) are considered inappropriate and abusive in nature by GFX . All clients are advised that GFX will deem Third-Party Software that engages in the said activities to have been the cause of system mis-performance in all cases when an affected order has been detected in the same Trading Account. Clients are advised not to use Third-Party Software that performs or relies on the following activities:

  • Log-ins and simultaneous operations from multiple locations (more than one IP addresses).
  • Systematic sending of more than one requests including, but not limited to: Pending Order Requests, Order Modification Requests, Order Cancellation Requests, to the Trading Server within intervals of less than 30 seconds.
  • Generating large number of error messages within Trading Server and/or Client Trading Platform.
  • Sending more than one Execution Request of the same type, for example Buy or Sell and on the same Trading Instrument within a one second interval.