Risk Notice
Risks are inherent in any investment and we urge you to familiarise yourself with the risks of investing through ASMX Pro. Prices may fall as well as rise and liquidity is not guaranteed so you may not be able to sell your securities if you need to.
IMPORTANT NOTICE:
Investing through ASMX Pro (Seychelles) Limited involves significant risk. The following risk disclosures outline the types of risks associated with transactions on the platform. By engaging in any investment activities, you acknowledge that you have reviewed, understood, and accepted these risks and that you may lose all invested capital.
1. Market Risk
Markets can experience rapid price movements, which may affect the value of your assets. The nature of financial markets, especially digital and emerging markets, entails volatility that may lead to substantial financial losses. No assurance can be given that any asset traded will achieve any particular value or yield a positive return.
2. Liquidity Risk
Some assets available on ASMX Pro may have limited liquidity, which could hinder your ability to buy or sell assets without affecting their market price. This risk may be higher in certain markets or under specific economic conditions, which may delay or prevent timely transactions at desired prices.
3. Credit and Counterparty Risk
Transactions on ASMX Pro may involve counterparties such as other investors, financial institutions, or third-party exchanges. If these counterparties default, you may face losses. ASMX Pro does not assume responsibility for the financial stability or creditworthiness of any counterparties involved in your transactions.
4. Regulatory and Legal Risk
ASMX Pro operates within the Seychelles Financial Services Authority's (FSA) regulatory framework. However, changes in laws, policies, or regulations could impact the platform’s operations or your investment. Investing in international markets may expose you to regulatory risks beyond the control of ASMX Pro, which could restrict access to assets, limit returns, or create additional obligations.
5. Digital Asset Risks
Digital and tokenised assets can be more volatile than traditional assets and may carry unique risks such as susceptibility to hacking, cybersecurity breaches, and technical failures. Regulatory protections for digital assets may differ from those in traditional securities markets. Investors should be prepared for the potential of significant, rapid value fluctuations or, in extreme cases, complete loss of asset value.
6. Technology and Operational Risk
ASMX Pro relies on sophisticated technology to facilitate trading, custody, and settlement services. System disruptions due to cyber threats, network failures, and technological malfunctions may delay or prevent transactions. Such incidents could lead to financial losses or inability to access the platform temporarily or permanently.
7. Leverage and Margin Risk
Trading on leverage or margin amplifies both gains and losses, posing a risk of incurring debts greater than your initial investment. Leveraged trading may result in liquidation of your positions without prior notice, particularly during volatile market conditions. You may be required to provide additional collateral or face automatic liquidation of your assets.
8. Interest Rate and Currency Risk
Exchange rate fluctuations can affect the value of investments in foreign currencies. Interest rates, economic stability, and other global factors may impact the value of assets held or traded on ASMX Pro. The risk is higher in markets with volatile currency exchange rates, and investors may experience reduced value when converting gains back to their home currency.
9. Issuer and Asset-Specific Risks
Investments in specific assets or securities may carry risks linked to the issuer’s financial condition, creditworthiness, and operational performance. This is particularly relevant for newly issued securities, where limited financial history may complicate risk assessments. Default, bankruptcy, or reputational issues related to issuers can cause total or partial loss of investment.
10. Political and Economic Risk
Political instability, economic downturns, or unforeseen crises (such as natural disasters or pandemics) can impact financial markets worldwide. Political and economic risk may limit your ability to conduct transactions on ASMX Pro or negatively affect asset values, depending on the regions affected.
11. Taxation and Compliance Risk
Income, capital gains, and other returns on investments may be subject to local and international tax laws. ASMX Pro does not provide tax advice, and investors are solely responsible for understanding and complying with applicable tax obligations. Tax implications could affect the overall profitability of your investment and vary significantly by jurisdiction.
12. Operational Transparency and Disclosure Risk
Although ASMX Pro strives to provide clear and accurate information, some investment products may have limited disclosure. Investments in private or alternative assets may provide less frequent or less detailed reporting, which could obscure the full picture of risks associated with these assets.
13. Risk of Total Capital Loss
Given the speculative nature of some assets and the potential for high market volatility, investors should be prepared for the possibility of losing their entire investment. Such losses could exceed your initial capital, especially in leveraged transactions or in assets with extreme volatility profiles.
Disclaimer: This risk disclosure does not encompass all risks associated with investments on ASMX Pro. Investors should independently assess the suitability of specific transactions and seek financial advice if necessary. Trading on ASMX Pro implies acceptance of the risks outlined here.