Risk Disclosure

1. General Risk Warning

Foreign exchange (forex) and Contracts for Difference (CFDs) are leveraged financial instruments. Trading these instruments involves a high degree of risk and can result in losses that exceed your initial deposit. Before deciding to trade forex or CFDs, you should carefully consider your investment objectives, level of experience, and risk appetite.

The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with leveraged trading and seek independent advice from a qualified financial advisor if you have any doubts.

2. Leverage Risk

Forex and CFD trading typically involves the use of leverage, which allows you to control a large position with a relatively small amount of capital. While leverage can amplify profits, it equally amplifies losses. A small market movement against your position can result in substantial losses relative to your deposited funds. You may be required to deposit additional funds at short notice to maintain your positions (margin call), and if you fail to do so, your positions may be liquidated at a loss.

3. Market Risk

Financial markets are volatile and unpredictable. Prices of currencies, commodities, and other instruments can move rapidly due to a wide range of factors including: economic data releases and central bank decisions; geopolitical events, conflicts, and political instability; natural disasters and unforeseen global events; changes in market sentiment and liquidity conditions; and regulatory changes in any jurisdiction.

Past market conditions are not a reliable indicator of future market behavior. Markets may experience sudden gaps, extreme volatility, or periods of low liquidity where execution of orders may be delayed or filled at prices significantly different from expected.

4. Automated Trading Risks

PrismAlgo is an automated trading system (Expert Advisor). While automated trading offers advantages such as discipline and speed, it also carries specific risks:

5. Broker Risk

Your trading account is held with a third-party broker, not with PrismAlgo. We do not control or influence your broker's execution quality, spreads, swap rates, margin requirements, or server reliability. Broker-related risks include: order execution delays or rejections; spread widening during volatile market conditions; requotes and slippage; broker insolvency or regulatory action; and differences in pricing between brokers that may affect EA performance.

The performance of PrismAlgo may vary between brokers due to differences in execution, spreads, and trading conditions. Results shown on our website are specific to the broker and account conditions used at the time and may not be replicable on all broker platforms.

6. Past Performance Disclaimer

Any performance data, charts, statistics, or results displayed on the PrismAlgo website — including verified results from third-party services such as Myfxbook — represent historical performance achieved under specific market conditions, broker environments, and account configurations. These results should not be interpreted as a guarantee, promise, or prediction of future returns.

Simulated or hypothetical performance results have inherent limitations. They are prepared with the benefit of hindsight, do not involve actual financial risk, and cannot fully account for the impact of financial risk in real trading. Factors such as the ability to withstand losses or adhere to a particular trading program despite losses are material considerations that can adversely affect actual trading results.

7. No Guarantee of Profit

PrismAlgo does not guarantee any level of profit or protection from loss. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown on our website. There are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particular trading program.

Testimonials and reviews appearing on our website may not be representative of the experience of all users and are not a guarantee of future performance or success.

Demo accounts and the Free Trial: The Free Trial runs on demo accounts, which use virtual money and simulated execution. Results on a demo account can differ from results on a live account, for example in spreads, slippage, requotes and fills. A 14-day trial covers a short period and may include only part of a trading cycle, so its results are not a prediction of results on a live account. When a trial ends, any of its positions still open after the wind-down, or straight away if we end a trial early, are closed at the market price, which can turn an open loss into a realized loss.

8. Prop Firm & Funded Account Risk

If you use PrismAlgo on a proprietary trading (prop firm) or funded account, you acknowledge that: prop firms have their own rules regarding drawdown limits, trading restrictions, and account management; failure to comply with these rules may result in loss of your funded account; PrismAlgo is not specifically designed for or guaranteed to comply with all prop firm rules; and you are solely responsible for configuring the EA to operate within your prop firm's parameters.

9. Cryptocurrency Payment Risk

If you pay for your PrismAlgo license using cryptocurrency, you acknowledge that cryptocurrency transactions are irreversible and the value of cryptocurrency is volatile and may fluctuate significantly.

10. Regulatory Considerations

Forex and CFD trading regulations vary by jurisdiction. Some countries may restrict or prohibit the use of automated trading systems, leveraged trading, or forex trading entirely. It is your sole responsibility to ensure that your trading activities comply with all applicable laws and regulations in your country of residence.

PrismAlgo does not provide services in jurisdictions where such services would be contrary to local laws or regulations.

11. Independent Advice

The information provided by PrismAlgo does not constitute financial advice. We strongly recommend that you seek independent advice from a qualified and regulated financial advisor before making any decision to trade forex, CFDs, or use automated trading systems. Consider your financial situation, risk tolerance, and investment objectives carefully before proceeding.

12. Your Acknowledgement

By downloading or using PrismAlgo, including the Free Trial, or by purchasing a PrismAlgo license, you acknowledge that you have read, understood, and accept the risks described in this disclosure. You confirm that you understand that trading forex and CFDs may result in the loss of your invested capital, that past performance does not guarantee future results, and that you are solely responsible for your own trading decisions.

13. Contact

If you have any questions about this Risk Disclosure, please contact us at:

Email: service@prismalgo.com
Website: prismalgo.com/contact