Risk Disclosures Regarding the Use of 1000FTAD AG Software

1. Target Audience

The content, software offerings, and other services provided by 1000FTAD AG are intended exclusively for professional clients and institutional market participants as defined by the applicable legal system. They are not intended for private or retail investors.

Accessing this website, providing personal information, or identifying oneself as a professional client does not, in and of itself, constitute a corresponding regulatory client classification. 

1000FTAD AG may request appropriate documentation regarding the customer's status and may refuse to enter into a business relationship if the requirements are not sufficiently documented.

Individuals who are not permitted to access the content or services due to their nationality, place of residence, place of business, or other legal restrictions may not use the corresponding offerings.

2. Role of 1000FTAD AG

1000FTAD AG develops and licenses software and technical systems for rule-based and automated trading.

1000FTAD AG is not a broker, a bank, a custodian, or a counterparty to transactions executed through the software. It does not accept or hold client funds or financial instruments.

In particular, 1000FTAD AG does not provide:

• personalized investment advice,
• Investment brokerage, 
• Portfolio Management, 
• Brokerage or custody services,
• Legal or tax advice.
  
  

Depending on its configuration, the software can technically implement rule-based trading decisions and transmit trading orders to a trading platform or broker interface set up by the user. However, 1000FTAD AG does not provide any recommendations tailored to the user’s personal circumstances, financial capabilities, or individual investment goals.

Account opening, account management, pricing, order execution, custody, and settlement are handled by the respective broker or another independent third-party provider based on a separate contractual relationship between , that provider, and the customer.

3. General Risks Associated with Trading Foreign Exchange and CFDs

CFDs and similar leveraged financial instruments are complex instruments. Because they involve the use of margin, even a relatively small market movement can result in significant gains or losses.

Leverage applies to both positive and negative market movements. Losses can occur very quickly and result in the complete loss of the capital invested in the trading account.

Unless the respective broker, account type, or applicable jurisdiction provides for effective negative balance protection, losses may exceed the account balance and the capital originally invested. In this case, additional payment obligations or margin calls may arise .

If margin is insufficient, the broker may close some or all positions without the client's prior consent. Such a forced liquidation may result in significant realized losses.

The user may therefore only invest capital that he or she can financially afford to lose in its entirety and, if necessary, cover any resulting liabilities.

4. Market, Liquidity, and Execution Risks

Financial markets are subject to significant and sudden fluctuations. Political events, monetary policy decisions, economic data, crises, trading disruptions, low liquidity, and other events can lead to unusual market movements.

In particular, the following risks exist:

• Price gaps and sharp market movements,
• lack of or limited market liquidity,
• a significant widening of spreads,
• Slippage between the expected and actual execution price,
• delayed, partial, or rejected order executions,
• Discrepancies between different data sources or brokers,
• Changes to margin, leverage, or stop-out requirements,
• Trading interruptions and market closures.
  
  

Stop-loss, take-profit, or other limit orders do not guarantee execution at the specified price. In the event of rapid market movements or price gaps, the actual execution price may differ significantly from the intended price.

5. Broker and Counterparty Risk

CFD transactions are executed through the respective broker or its counterparties. The customer therefore bears the credit, insolvency, settlement, and counterparty risks associated with the respective broker and, where applicable, other companies affiliated with .

Pricing, spread width, financing costs, margin requirements, execution rules, stop-out levels, and the extent of any negative balance protection are determined solely by the terms and conditions of the respective broker.

1000FTAD AG makes no warranty regarding:

• a broker's solvency or financial strength,
• the availability of customer funds,
• the quality or speed of order execution,
• pricing or liquidity,
• the disbursement of customer funds,
• the regulatory treatment of the customer account.

Users must independently review the terms and conditions, risk disclosures, and regulatory information provided by the respective broker.

6. Risks of Automated and Algorithmic Systems

Automated trading systems can execute transactions at high speed without the need for manual confirmation. Incorrect data, inappropriate settings, or technical glitches can therefore quickly lead to a large number of transactions and significant losses.

Potential technical risks include, in particular:

• Outages of servers, VPS systems, or trading platforms,
• Interruptions in the Internet or network connection,
• Disruptions to broker, API, or copy-trading interfaces,
• incorrect or delayed price data,
• Delays in the transmission of orders,
• duplicate, delayed, or untransmitted orders,
• incorrect symbol, contract, or lot size mappings,
• Software, configuration, or update errors,
• Cyberattacks and unauthorized access,
• Power and hardware failures.
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No software can guarantee completely error-free or uninterrupted operation. It is still necessary to monitor your account, open positions, margin, and system connections.

7. Strategy, Position, and Concentration Risks

The rules or strategies used may open multiple positions simultaneously. This may also involve positions in the same financial instrument, in opposite directions, or in correlated currency pairs.

Certain strategies may open additional positions in the event of a market move in the opposite direction. This can cause market exposure, margin utilization, and the risk of loss to increase disproportionately.

Offsetting positions or hedging mechanisms do not eliminate the risk of loss. They can result in additional spreads, financing costs, and margin requirements, and may lose their intended effect if correlations change.

Trading multiple currency pairs simultaneously can lead to concentration risks if different positions are economically dependent on the same currency, the same interest rate decision, or the same market event.

A negative difference between the account balance and equity represents an unrealized loss. This difference is not merely a technical indicator and may continue to grow if market conditions deteriorate.

8. Account Changes and Manual Interventions

Risk and trading results may change significantly due to:

• Deposits or withdrawals, 
• Changes in the account balance,
• a change in broker or account type,
• Changes to the leverage, 
• non-standard contract or lot sizes,
• positions opened or closed manually,
• Changes to the risk parameters,
• Pausing or restarting the software,
• Enabling or disabling individual trading instruments.
  
  

In particular, withdrawals from existing open positions can reduce available margin and increase the risk of a forced liquidation.

A specified or recommended minimum account size does not constitute either a loss limit or a capital guarantee.

9. Historical Results and Performance Data

Past results are not a reliable indicator of future results. This applies regardless of whether the results come from live accounts, demo accounts, forward tests, model calculations, or simulations.

Live results show only the performance of the specific account under the specific conditions that apply to it. They do not constitute a guarantee or a forecast for other accounts, brokers, time periods, or market conditions.

Demo and simulation results may differ significantly from actual results. 

In particular, the following factors may not be taken into account, or only to a limited extent:

• actual slippage, 
• limited liquidity, 
• Order rejections and partial fulfillments,
• Delays in execution, 
• Individual broker terms and conditions,
• changes in margin requirements,
• technical failures, 
• tax implications. 
  
  

The fact that an account is labeled a “live account” does not automatically mean that the data displayed has been verified or certified by an independent body.

Costs, fees, spreads, commissions, swaps, and other charges are taken into account only to the extent expressly stated in the respective presentation.

10. Cost, Financing, and Currency Risks

Trading income can be reduced, in particular, by the following costs:

• Spreads, 
• Broker commissions, 
• Financing costs and swaps,
• Rollover costs, 
• Software and license fees,
• Data, server, and platform costs,
• Exchange rate and conversion costs,
• Taxes and other levies.
  
  

Costs and brokerage terms may change during the term of the contract. For positions held over the long term, ongoing financing costs can have a significant impact on the result.

For accounts held in a currency other than the customer's reference currency, there is also an exchange rate risk.

11. No Guarantee and No Personal Recommendation

1000FTAD AG does not guarantee any specific profit or return. In particular, it does not guarantee:

• that profits are generated,
• that there are no losses, 
• that a certain drawdown is not exceeded,
• that open positions can be closed at any time,
• that historical results are repeated,
• that the software will be available at all times or free of errors.
  
  

Information provided on the website, in presentations, fact sheets, reports, videos, webinars, or other materials is intended solely to provide a general description of the software and its technical functionality.

They do not constitute a personal recommendation, investment advice, or a solicitation to buy or sell any financial instrument.

12. Information and Statements from Third Parties

Statements made by sales partners, referrers, brokers, consultants, or other third parties shall be attributed to 1000FTAD AG only if they have been expressly confirmed by 1000FTAD AG in writing.

Links and references to external providers do not constitute a guarantee, recommendation, or endorsement of that provider’s creditworthiness, performance, or regulatory compliance.

The terms of the respective software or license agreement apply to the use of the software. The trading account and the executed transactions are governed exclusively by the terms and conditions and risk disclosures of the respective broker.

13. Independent Review

Before using the software, each professional client must independently assess whether trading in foreign exchange and CFDs is appropriate, taking into account their financial circumstances, knowledge, experience, risk tolerance, and regulatory situation.

Where necessary, independent legal, tax, regulatory, and financial advice should be sought before entering into a contract.