Placing or Offer Risk Warnings for our Service.
Before you accept the Terms and Conditions and engage our Service, it is important that you read these Risk Warnings.
Definitions used in these Risk Warnings are the same as those used in our Terms and Conditions, unless otherwise specified.
Risk Warnings for individual Placings or Offers will be available on each Posting on the Website. It is important that you read these before bidding for a Placing or Subscribing to an offer.
- Placings or Offers can involve risk. The value of your Investments and the income from them can go down as well as up and is not guaranteed at any time. You may not get back the full amount you invested. Information on past performance is not a reliable indicator for future performance. Information on risks involved for specific Investments can be found on the Website.
- The potential gains and losses that may arise from your Investments will depend on your appetite for risk and how you manage your approach to risk. Placing or Offer all your money into one type of investment can be a high risk strategy. The value of your investment could increase significantly, but it could drop significantly too; there is a risk that you may lose the entire principal amount invested. A managed approach to risk may be to diversify your Investments and Bids you make across different companies’ shares and different asset classes.
- Our Service is provided on an execution-only basis, which means we will not give you any form of investment advice or tax advice, or advise you about the merits of a particular transaction or otherwise. In providing our Service, we are not required to assess the suitability for you of the Investments or Service provided or offered and therefore you will not benefit from the protection of the FCA Rules on assessing suitability. An assessment of suitability takes into account an investor’s knowledge and experience, financial situation and investment objectives and applies only when a firm makes a personal recommendation.
- The Service offered by us and the Investments it provides access to may not be suitable for you. If you have any doubts as to the merits of a Placing or Offer, you should seek advice from an independent financial adviser who is authorised under the Financial Services and Markets Act 2000 to advise on such financial investments.
- Investments through Placings or Offers may not be or become readily realisable. They are shares in which there is a restricted market and it may therefore be difficult to sell these shares at a reasonable price and in some circumstances it may be difficult to sell them at any price or obtain reliable information about their value. You should not buy these shares unless you have carefully thought about whether you can afford them and whether they are right for you.
- Under certain conditions it may be difficult or impossible to liquidate a position. This may occur, for example, at times of rapid price movement if the price rises or falls in one trading session to such an extent that under the AIM Rules trading is suspended or restricted.
- There is an extra risk of losing money when purchasing Investments in some smaller companies, including penny shares and companies that operate in high risk sectors and/or sensitive jurisdictions and/or high levels of research and development, which requires significant capital expenditure and does not yet produce income. There may be a significant difference between the bid and offer price of these shares and they may not be readily realisable. If you have to sell those Investments immediately, you may get back less than you paid for them. The price may change quickly and may go down as well as up.
- Systemic risk is the risk of disruption to the financial system triggered by an event such as global or regional economic downturn or institutional failure that causes chain reactions resulting in price volatility, loss of investor confidence, significant losses and/or market failure. These can be unpredictable and difficult to mitigate against.