All investments are speculative and prices may change quickly and go down as well as up. There is an extra risk of losing money when shares are bought in some smaller companies including “penny shares”. There can be a big difference between the buying price and the selling price of these shares and if they have to be sold immediately, you may get back much less than you paid for them or in some circumstances, it may be difficult to sell at any price.
Trading in Contracts for Difference (CFDs) may not be suitable for all investors due to the high risk nature of the products. You may lose all of your initial stake through the use of leverage and may be required to make additional payments by way of margin on a frequent and sometimes daily basis. Failure to do so can result in the closure of part or all of your position.
The value of CFD may be affected by a variety of factors, including but not limited to, price volatility, market volume, foreign exchange rates and liquidity. CFDs are short term trading tools. Commissions on CFDs are charged on the leveraged amount (not the deposit) and therefore costs can build up when frequently traded. You should evaluate potential losses against affordability. Extended runs of losses as well as profits can occur.
Past performance is not necessarily a guide to future performance. If in any doubt, please seek further independent advice. Tax laws may be subject to change.