Risk disclosure statement
Please read carefully before investing in global markets through Jaypee GAP.
Investments in global financial markets are subject to various risks. The value of investments and the income from them can fall as well as rise, and you may lose some or all of the capital invested. Past performance is not a guide to future returns.
Principal risks
- Market risk — prices of securities and derivatives on foreign exchanges may move adversely due to economic, political or market-specific factors.
- Currency risk — investments are denominated in foreign currencies; movements in exchange rates against the Indian rupee affect the value of your investments and returns when converted.
- Interest rate and credit risk — bond prices fall when interest rates rise; issuers may default on interest or principal.
- Liquidity risk — some securities may be difficult to sell at a fair price, or at all, in stressed markets.
- Settlement and custody risk — trades are cleared and settled, and assets are held, under the rules and custody arrangements of the foreign jurisdiction.
- Derivatives risk — currency and commodity derivatives are leveraged instruments; losses can exceed the initial margin.
- Technology and cyber security risk — disruptions to trading platforms, connectivity or systems may prevent order placement or execution.
- Geopolitical, tax and regulatory risk — changes in laws, taxation or regulation in India, the IFSC or the foreign jurisdiction may affect your ability to invest or the returns you receive.
Investor protection
The rights of investors or investor protection, dispute resolution mechanism and investor grievance redressal mechanism of the recognised stock exchanges in the IFSC are not available to clients for global access. Any investor protection scheme or insurance coverage that applies through the foreign broker or foreign exchange is described in your onboarding disclosures.
Investors are advised to read all applicable risk disclosures, understand the products they intend to trade, and seek independent financial and tax advice before making any investment decision.