What are the risks of online trading?
Unusual market conditions, technical and system faults and general maintenance may cause delays and even unavailability of online trading services. It is therefore important that you have access to our Investment Services Centre. During trading hours, your online orders are sent directly or straight through to the Exchanges. Erroneous input may result in unwanted trades. We urge you to check your orders carefully before submitting them.
There is risk of loss associated with investing in securities regardless of the method used. New investors need to understand the principles of investing, their own risk tolerance, and their investment goals before venturing into the market. In addition, online investors may want to consider these other risks. High Internet traffic may affect online investors’ ability to access their account or transmit their orders. Online investors should be skeptical of stock advice and tips provided in chat rooms or bulletin boards. Investors should do their own research before acting on these tips. Also, for some online investors, there is a temptation to “overtrade” by trading too frequently or impulsively without considering their investment goals or risk tolerance. Overtrading can effect investment performance, raise trading costs, and complicate your tax situation.
