Risk – Disclosure

Trading Involves Risk of Loss

The high level of risk that is involved with trading foreign exchange on margin may not always be found suitable by investors. AGM encourages you to attentively consider your objectives, financial status, and level of knowledge before trading. Our website is not necessarily aimed to provide a personal advice. The risk of loss of some or all of your deposited funds and even an overloss does exist and is possible; therefore, you should only speculate with capital that you can afford to lose. AGM encourages you to seek advice from an independent financial advisor when appropriate.

AGM Video Education

Any information found on this website such as videos, webinars, news updates, and research are presented as general market annotation, and does not serve as an investment advice. AGM does not take responsibility for any loss, as well as any potential loss of profit, which may derive directly or indirectly from reliance of such information.

Internet Trading Risks

When you use an internet-based deal-execution trading system, you must be aware of the risks associated with such an exercise. This includes, but is not limited to, the failure of hardware, software, and internet signal. Since AGM does not control internet connectivity, quality of client hardware or reliability of its connection, AGM is not responsible for communication (signal) issues, delays or distortions when trading. AGM minimizes the possibility of system failure by implementing back-up systems and contingency plans.

Mobile Trading Risks

Mobile connectivity when trading is inherently more susceptible to latency and order duplication issues. AGM is not liable for any delays in execution. Mobile signal quality will vary from time to time and depending on location, which must be factored in by clients when trading via a mobile device.

AGM Execution

AGM provides execution of Forex trades through a straight through processing (STP), or no dealing desk execution model (NDD). By using this model, AGM offers its clients the best prices that are provided by one of AGM’s liquidity providers with a fixed mark-up for each currency pair. Furthermore, in this model, AGM does not operate as a market marker in any currency pairs. While seeking to fill all orders at the requested rate, AGM will provide you the best execution possible (available). As a result of an increase in volume or volatility at times, it is possible that orders will experience slippage when executed.

Rollover Costs

Roll over occurs when there is both closing and opening of a position at a certain point during the day to avoid the settlement and delivery of the purchased currency. This rollover occurs each trading day at 5pm EST. At this time interest is either credited or debited to the client’s trading account depending on direction the client is taking in the trade. Trade Rollover (TRO) is the time when positions are closed and reopened and the interest charge is debited or credited. It is important to understand that rollover accruals will be lower than rollover charges.

Trading Hours

The quoted hours for the Trading Desk are from Sunday 5:15 p.m. ET to Friday 4:55 p.m. ET. Remember that order that were placed before, may be filled until 5:00 p.m. ET and that a trader that places an order between 4:55 p.m. and 5:00 p.m. ET, may be unable to cancel trades pending execution. Due to dependence on the prices offered by liquidity providers to AGM, the open or close times may vary.

Traders concerned of the potential risk of price gapping over the weekend and do not find it appropriate for their trading style can close out orders and positions ahead of the weekend. It is important that traders who hold open positions over the weekend acknowledge the potential for a significant news reporting or economic events that can effect the value of the trader’s underlying position.

Margin Calls

Please remember that AGM does not provide margin call warning to traders before liquidating open positions. Margin calls occur once your usable margin reaches zero. This happens when your loss decreases your equity account to a level of equal or under your margin requirement. Consequently any margin call follows liquidation unless specified differently. When a margin call occurs, individual positions will be liquidated until the remaining equity is sufficient to support existing positions. In deciding what positions will be individually liquidated the largest losing position will be closed first during liquidation.