The following Risk Disclosure is intended to give you an overview of the risks of investing and trading. This Risk Disclosure is not intended to be a guide to all of the risks involved in investing and in trading. However, it is extremely important that you carefully read and fully understand the Risk Disclosure.

Trade Sites, LLC is not a registered investment advisor. By providing this Risk Disclosure, Trade Sites is not advising you to invest in any security, soliciting your investment in any security, or offering any security for your purchase.

THIS DOCUMENT IS NOT INTENDED AS AND DOES NOT CONSTITUTE AN OFFER TO SELL ANY SECURITIES OR A SOLICITATION OF ANY OFFER TO PURCHASE ANY SECURITIES. THE TRADING STRATEGIES DEPICTED HEREIN HAVE NOT BEEN APPROVED BY THE UNITED STATES SECURITIES AND EXCHANGE COMMISSION (THE “COMMISSION”), THE COMMODITY FUTURES TRADING COMMISSION (“CFTC”), THE NATIONAL FUTURES ASSOCIATION (“NFA”), OR THE SECURITIES REGULATORY AUTHORITY OF ANY STATE, NOR HAS THE COMMISSION, THE CFTC, THE NFA OR ANY SUCH AUTHORITY PASSED UPON THE ACCURACY OR ADEQUACY OF THIS DOCUMENT. ANY REPRESENTATION TO THE CONTRARY IS UNLAWFUL.

GENERAL RISKS OF SECURITIES TRADING

Trading securities is always speculative and involves substantial risk that you will lose money. Trade Sites strongly encourages you to utilize the information available at the websites of the Financial Industry Regulatory Authority (“FINRA”) at http://www.finra.org/index.htm and the Securities and Exchange Commission at http://www.sec.gov prior to making any investment. FINRA provides information about careful investing while the SEC provides information about publicly traded companies. Trade Sites also encourages you to seek advice from your professional investment advisor and to thoroughly investigate each trade before acting on any information published by Trade Sites. While Trade Sites believes the sources of the information published by it are reliable, Trade Sites does not and cannot guarantee the information it publishes is complete or accurate. Any action that you take in reliance on information published by Trade Sites is at your own risk; Trade Sites does not guarantee or warrant the success of any such action.

1. Trading and Investing May Result in You Losing Money.

Risk is always involved in trading and investing in securities. Because of this risk, you should only trade or invest money that you can afford to lose. The amount that you can afford to lose is a personal matter to which you should give substantial consideration. If you are unsure of how much you can afford to invest, you should seek the advice from your personal investment advisor. When trading stock and stock options, there is always a high risk of loss; you can lose any and all money that you invest in securities.

2. Past Performance Does Not Guarantee Future Success.

Past performance is not necessarily indicative of future results. All investments carry risk of loss. You retain the sole responsibility for any and all trading decisions you make. No investment systems, trading signals, or indicators can guarantee that they will result in profits or that they will avoid losses. You should ensure that you fully understand all risks associated with any kind of trading or investing you choose to do.

3. Trade Sites is Solely a Publisher and Does Not Provide Personalized Trading or Investment Advice.

Trade Sites is a publisher of information. The information published by Trade Sites should not be construed as a recommendation that you should buy, sell, or hold, any security. Trade Sites cannot legally provide personalized investment and/or trading advice to you or any other subscriber. Do not contact Trade Sites seeking personalized investment and/or trading advice as Trade Sites cannot and will not provide such advice. Trade Sites also cannot discuss winning positions or personal trading or investing ideas with you. Trade Sites also cannot advise you on what to do if you make a bad investment or trade. If you choose to make investments and/or trades that you do not fully understand, Trade Sites cannot help you. In making any investment and/or trading decisions or in dealing with problems that might arise as a result of your decisions, you must rely solely upon your own knowledge and that of any professional investment advisor retained by you. No information published by Trade Sites should be viewed by you as advice that you engage in any particular course of action or that any particular course of action is advisable for you.

4. You Can Lose Your Profits.

In the event that you receive profits on your investments, you can lose those profits if you do not take them at the right time. The question of when you should take any profit is personal to your situation. While the information published by Trade Sites may contain suggested profit targets, you should take profits at whatever point you personally deem optimal. As with all other information provided by Trade Sites, you are free to either follow or ignore any profit targets published by Trade Sites. If you do not take the profit, there is always a risk that you will lose the profit. Regardless of any information provided by Trade Sites, you retain the sole discretion to determine when to take any profits. If you have questions regarding when it is most beneficial for you to take a profit, you should speak with your personal professional investment advisor.

RISKS OF INVESTING IN STOCK

All investments entail some degree of risk; investing in stock is no exception. Some of the general risks of investing in stock include:

1. The investment in stock may not be easily or quickly sold or converted to cash. There may also be penalties or fees charged to you for selling a stock.
2. If you invest in a publicly traded company, there is a risk that the company will not be successful. The risk is typically greater with companies that have little or no operating history but the risk is still present even with companies that have an operating history and extensive public information.
3. Stock investments, including mutual funds, are not federally insured against a loss in market value.
4. Stock investments may be subject to actions by the company and/or third-parties that can affect the value of your ownership interest, such as tender offers, mergers, and reorganizations. When these actions occur, your action or failure to act can have detrimental effects on your investment. You should pay careful attention to public announcements and information sent to you about such transactions and be sure you fully understand the transactions before you act.
5. The value of stock investments can drop to zero. If this happens, you will lose your entire investment. You could also lose more than your entire investment if you engage in certain trading strategies such as what is known as “short selling” stock.

Conclusion

Trade Sites, LLC stresses the importance of understanding all of the risks of any form of trading or investing that you choose to do. This Risk Disclosure should not be construed as a complete statement of all the risks that you may face when trading or investing. You should speak with your professional investment advisor and conduct independent research regarding the risks of any particular transaction prior to trading or investing. You should fully understand the worst-case scenario prior to conducting and trading or investing activities. Past performance is not necessarily indicative of future results. You take full responsibility for all trading actions, and should make every effort to understand the risks involved.