This Risk Disclosure Notice provides you with information about the risks associated with trading Contracts for Difference (CFDs) and other financial instruments with NIYAFAFX LTD ("the Company", "we", "us", "our"). It is important that you read this document in conjunction with the "Terms and Conditions of Business", the "Order Execution Policy", and any other relevant legal documentation or information available on our website.

CFDs are complex financial products that carry a high level of risk and may not be suitable for all investors. Before engaging in CFD trading or any other financial transactions with us, you should fully understand the nature of the products and the extent of your exposure to risk. If you are uncertain about any of the risks described below, we strongly recommend that you seek independent legal or financial advice before making any investment decisions.

a. Leverage Risk

Leverage is a key feature of CFDs, allowing you to open positions with a relatively small deposit compared to the total value of the transaction. However, while leverage can magnify profits, it can also amplify losses. A small market movement against your position can result in substantial losses, potentially exceeding your initial investment.

b. Gapping Risk

Financial markets can fluctuate rapidly, and CFD prices reflect this volatility. Gapping occurs when the price of a CFD jumps from one level to another without passing through the level in between, making it impossible to execute orders between those two price points. This can result in significant losses.

c. Stop Loss Orders

While Stop Loss Orders are designed to limit your losses by automatically closing your position when it reaches a certain price, they are not always effective. In volatile markets, the price may move too quickly, or the market may close, rendering the Stop Loss Order ineffective.

d. Margin Call and Liquidation Risk

To keep CFD positions open, you need to maintain sufficient funds in your account to cover margin requirements. If your account balance falls below the required margin level, you may be required to deposit additional funds or close positions. Failure to maintain the required margin may result in the automatic liquidation of your positions.

e. Risk of Loss of Invested Funds

Adverse market movements can result in the loss of your entire account balance, and in some cases, losses may exceed your account balance. However, your losses will be limited to your then current account balance, and the Company will bear any negative consequences beyond that.

f. No Guarantee of Profit

There are no guarantees of profit or of avoiding losses when trading CFDs. The Company and its representatives do not provide such guarantees, and you should be financially prepared to bear the risks and potential losses involved in CFD trading.

g. No Rights to the Underlying Assets

When trading CFDs, you do not own or have any rights to the underlying instruments or assets. For example, if you trade equity CFDs, you will not receive any voting rights or dividends associated with the underlying shares.

a. Market Risk

Market risk is the risk that the value of your investment portfolio will decrease due to changes in market factors such as stock prices, interest rates, exchange rates, and commodity prices. Negative fluctuations in prices can result in significant losses.

b. Systemic Risk

Systemic risk refers to the risk of collapse of an entire market or financial system due to the interdependencies within the system. The failure of a single entity can lead to a cascading effect, potentially bringing down the entire system or market.

c. Technical Risk

Technical risk arises from faults in electronic equipment used for trading and investment operations. These faults can lead to unexpected and unpredictable outcomes, resulting in losses. Additionally, risks associated with electronic trading systems include equipment and software failures.

d. Operational Risk

Operational risk is the risk of business operations failing due to human error. This risk varies across industries and can significantly impact investment decisions.

e. Country Risk

Country risk refers to the possibility that political changes or instability in a country could negatively affect investment returns. This risk can result from changes in government, legislation, or foreign policy, which could impact the overall profitability of your investments.

f. Interest Rate Risk

Interest rate risk is the risk that changes in interest rates will affect the value of your investments. This risk can arise from changes in the absolute level of interest rates, the spread between two rates, or any other interest rate relationship.

g. Foreign Exchange Risk

Foreign exchange risk is the risk that changes in exchange rates will affect the value of your investments.

h. Legal and Regulatory Risk

Changes in laws or regulations made by governments or regulatory bodies may increase the costs of operating a business, reduce the attractiveness of an investment, or alter the competitive landscape. This risk is unpredictable and may vary depending on the market for the underlying asset of a given CFD.

The following risks are beyond the control of NIYAFAFX LTD, and you, as the Client, are fully liable for them:

• Lack of knowledge of the trading terminal settings.

• Technical faults in your software.

• Disclosure of registration credentials to third parties.

• Unauthorized access by third parties to your personal email account.

• Delay in reading information sent to your email address.

• Any other force majeure circumstances on your part.