Company and Licence Information
This Risk Disclosure is issued by N S Capital (Global) Limited. N S Capital (Global) Limited, incorporated on 22 April 2015 (Company No. C 74156), is based in Malta with its registered address at Level 4, W Business Centre, Triq Dun Karm, Birkirkara BKR9033, Malta, and is regulated by the Malta Financial Services Authority under the Investments Services Act to provide investment services (view licence: #).
This website is intended for Retail Clients, Professional Clients and Eligible Counterparties. The services described on this website are not directed at residents of jurisdictions where their distribution or use would be contrary to local law or regulation, including but not limited to the United States, Canada, Japan, Belgium, Iran, North Korea, Syria, Cuba, and any jurisdiction subject to applicable international sanctions.
The scope of regulatory protection, including any investor compensation arrangements, leverage limits, negative balance protection and complaints procedures, depends on your client categorisation, country of residence, product type and applicable law. You should read this document together with the client agreement and other disclosures issued to you before opening a live account. Questions about this document may be sent to compliance@northstonecapital.net.
Risks of Trading CFDs
N S Capital (Global) Limited offers contracts for difference (CFDs) on forex, indices, commodities, shares and cryptocurrencies. CFDs are complex, leveraged derivative instruments: you do not own the underlying asset, you take a position on the change in its price. The category is high risk and can produce rapid losses.
Leverage means that a small movement in the underlying market can have a large effect on your account. You may lose all money in your account. Where negative balance protection applies, it does not prevent loss of your deposited funds and does not make CFDs suitable for all clients.
Before trading CFDs, consider your objectives, financial situation, experience and risk tolerance. Do not trade with money you cannot afford to lose.
General Risk Warning
Trading CFDs involves a significant risk of loss and is not suitable for everyone. 72% of retail investor accounts experience capital loss when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Never commit funds you cannot afford to lose in full. You should not fund a trading account with money needed for living costs, with borrowed money or with retirement savings. Because losses on leveraged positions accrue at the speed of the underlying market, an account can lose a substantial portion of its value within minutes during fast market conditions.
Before placing your first trade, make sure you understand the contract specification of each instrument you intend to trade — contract size, margin requirement, trading hours and applicable costs — and consider practising on a demo account, which North Stone Capital provides free of charge. Demo performance is not a reliable indicator of live performance: demo execution carries no emotional pressure and, in some conditions, does not replicate live fill quality.
Leverage Risk
CFDs are traded on margin. Leverage allows you to open a position whose notional value is many times the funds you commit, and it amplifies losses exactly as it amplifies gains. With leverage of 30:1, a margin of 1,000 currency units controls a position of 30,000 units, and an adverse price move of roughly 3.3% is enough to lose the entire margin allocated to that position. Even small market movements can therefore have a disproportionately large impact on your account.
Each open position requires maintenance margin. If the equity in your account falls below the required margin level, you will receive a margin call — a notification that you must deposit additional funds or reduce your exposure. In fast markets a margin call may arrive with little or no warning, and North Stone Capital is not obliged to give you time to respond before further action is taken.
If your equity continues to fall and reaches the stop-out level applicable to your account, the trading platform will begin closing your open positions automatically, normally starting with the position showing the largest loss, until margin requirements are met again. Stop-out is a last-resort risk control, not a guarantee: in gapping or illiquid markets, positions may be closed at prices materially worse than the stop-out trigger, and losses may exceed the margin allocated to a position. Where your contracting entity provides negative balance protection, your loss is limited to the funds in your account; whether this protection applies depends on your contracting entity and your client classification, as stated in your client agreement.
Market Risk
Prices of the instruments underlying our CFDs can move sharply and without warning in response to economic data releases, central bank decisions, political events, natural disasters and shifts in market sentiment. Volatility can widen spreads, slow execution and increase slippage — the difference between the price you request and the price at which your order is actually filled.
Markets can also gap: a price can jump from one level to another without trading at the levels in between. Gapping commonly occurs at market open, around scheduled news releases and after unexpected announcements. If the market gaps through your stop-loss order, the order is executed at the next available price, not at the level you set. A standard stop-loss therefore limits your loss but does not cap it.
Positions held over a weekend or market holiday carry additional risk. Most CFD markets are closed from Friday evening to Sunday evening (platform time), but the events that move prices do not stop. The reopening price can differ substantially from the previous close, and stop orders attached to positions held over the weekend will be filled at the reopening price. Cryptocurrency CFDs, where offered for trading outside standard market hours, can experience extreme volatility at any time.
Liquidity Risk
Liquidity is the ability to open or close a position quickly at a price close to the displayed quote. Under stressed conditions — major news events, market opens, thin holiday sessions or disruptions affecting an underlying market — liquidity can deteriorate sharply. Spreads may widen well beyond their typical levels, execution may be delayed or rejected, and larger orders may be filled in parts at progressively worse prices.
In extreme cases it may become temporarily difficult or impossible to close a position at all, for example where trading in an underlying instrument is suspended, an exchange imposes a daily price fluctuation limit, or a pricing venue stops publishing quotes. While the position remains open you stay exposed to further price movement and to continuing margin requirements. CFDs on less liquid underlyings, including some shares and cryptocurrencies, are more prone to these conditions, and liquidity outside main trading sessions is generally thinner.
Costs and Charges
Trading costs reduce your net profit and increase your net loss, and they apply whether or not a trade is successful. Before trading you should understand every cost applicable to your account and to each instrument: the spread (the difference between the buy and sell price), any commission charged per trade, overnight funding (swap) charges or credits applied to positions held past the daily rollover time, currency conversion costs where an instrument is denominated in a currency other than your account currency, and any inactivity or administrative fees set out in your client agreement.
Overnight funding deserves particular attention. CFD positions held for days or weeks accrue funding charges that can be substantial relative to the price movement you expect to capture, and a triple charge typically applies on one day each week to cover the weekend. A position that is profitable on price alone can still produce a net loss after costs.
Current spreads, commissions and swap rates for each instrument are published on northstonecapital.net and in the trading platform. The figures applicable to your account are those of your contracting entity and account type.
Suitability
CFD trading is not suitable for everyone. It is generally appropriate only for clients who understand leveraged derivatives, are able to monitor open positions actively, have a high tolerance for risk and can bear the loss of the entire amount they deposit without any change to their standard of living.
As part of account opening, your contracting entity will ask about your trading experience, knowledge and financial situation in order to assess whether CFD trading is appropriate for you. Answer those questions accurately — an assessment based on inaccurate answers protects no one. If the assessment indicates that CFD trading may not be appropriate for you, you will be warned; proceeding after such a warning is your own decision, made at your own risk.
If you are uncertain whether CFD trading fits your circumstances, consider practising on a demo account first and consult an independent licensed financial adviser before committing real funds.
Past Performance
Past performance is not a reliable indicator of future results. Historical price movements, backtested results, hypothetical scenarios and previous trading outcomes — whether your own, those of other clients or those shown in market commentary — do not predict what will happen next.
Any references on our platform to historical price levels, chart patterns or prior market behaviour are provided as factual or analytical information only. They do not represent that any account will, or is likely to, achieve profits or losses similar to those shown. Market conditions change, and strategies that performed well in one environment can fail completely in another.
Simulated and demo results have inherent limitations: they are achieved without real capital at risk and may not reflect the impact of slippage, liquidity and funding costs on live trading.
No Investment Advice
N S Capital (Global) Limited does not provide investment advice. All content made available on northstonecapital.net and in our trading platforms — including market commentary, analysis, news, educational material, webinars, calculators and any signals or indicators — is generic information only. It does not take account of your personal circumstances, objectives, financial situation or needs.
No communication from us should be treated as a recommendation to buy, sell, hold or trade any instrument, or as a representation that any product is suitable for you. You are responsible for your own trading decisions and should seek independent advice where appropriate.
If we assess appropriateness or suitability during onboarding, that assessment is limited to the regulatory purpose for which it is collected and does not convert our services into advisory or portfolio-management services unless expressly agreed in writing.
Conflicts of Interest
N S Capital (Global) Limited and its affiliates may have interests that conflict, or appear to conflict, with the interests of clients. For example, we may act as counterparty to trades, may earn revenue from spreads and other trading costs, may hedge or not hedge client exposure, may receive or pay fees to service providers, and may have commercial relationships with liquidity, platform, technology or marketing partners.
We maintain policies and controls designed to identify, manage and, where required, disclose conflicts of interest. These may include segregation of duties, approval controls, remuneration controls, monitoring, disclosure and escalation to compliance.
A conflict cannot always be eliminated. Where a conflict cannot be adequately managed, we may decline to provide a service or may disclose the conflict so you can make an informed decision.
Complaints Procedure
If you are dissatisfied with any aspect of our service, contact support@northstonecapital.net in the first instance. Many issues are resolved at this stage. If your concern is not resolved to your satisfaction, you may submit a formal complaint to the compliance team at compliance@northstonecapital.net.
A formal complaint should include your name, account identifier, contact details, a clear description of the issue, relevant dates, transaction references and the outcome you are seeking. We may ask for further information where needed to investigate fairly.
Complaints are reviewed in accordance with our complaints procedure and applicable regulatory requirements. Where you remain dissatisfied after our final response, you may have external escalation rights depending on your client categorisation, country of residence and applicable law.