As with all types of investments, risks do exists in the forex market. There is no guarantee that you’ll earn from the investments you make. But if you research thoroughly about saving and investing and follow through with an intelligent plan, you should be able to gain financial security and enjoy the benefits of managing your money.
Read through this list carefully to understand the risks involved in Forex and CFDs trading.
This is the risk that investment markets move against you.
This is the risk that the CFD provider or another counterparty to a trade fails to fulfil their obligations to you.
Client money risk:
This is the risk of losing some or all of your money held by the CFD provider.
Liquidity, gapping and execution risks:
Market conditions and the mechanics of trading might mean you cannot make trades when you would like to, or that your trades are not filled at the price you expect.
Remember: Anything you put your money into should meet your investment goals and suit your circumstances. No one can guarantee the performance of any financial product.