Risk Disclosure

Please read this Risk Disclosure carefully before using GenZTrade. By using the GenZTrade platform, you acknowledge that you have read, understood, and accepted the risks described below. This Risk Disclosure supplements — and does not replace — the GenZTrade Terms of Service.

1. Trading involves risk of loss

Trading in securities, options, futures, cryptocurrencies, and other financial instruments involves substantial risk. You may lose some or all of the money you invest. Never trade with funds you cannot afford to lose.

The value of financial instruments can go up or down. Past performance is not indicative of future results. Historical algorithmic performance shown on GenZTrade reflects backtested or archived outputs and does not represent actual user outcomes, which will vary based on execution timing, position sizing, fees, taxes, and individual circumstances.

2. GenZTrade is not investment advice

GenZTrade is a research and technology tool. GenZTrade LLC is not a registered investment adviser, broker-dealer, or financial planner and does not provide personalized investment advice. Signals, alerts, price targets, confidence scores, win rates, and analyses displayed on the platform are algorithmically generated and are not tailored to your individual financial situation, risk tolerance, or investment objectives.

You are solely responsible for evaluating the suitability of any trade for your circumstances. You should consult a licensed financial advisor before making significant investment decisions.

3. Algorithmic and technology risks

• Signals may be wrong. GenZTrade's algorithms generate signals based on historical patterns and technical indicators. These signals may be inaccurate, delayed, or unsuitable for current market conditions. The confidence scores, win rates, and hit rates displayed on GenZTrade are historical algorithmic outputs and do not predict individual trade outcomes.
• Data may be delayed or incorrect. Market data is provided by third parties and may be delayed, inaccurate, or incomplete. Signal generation depends on this data.
• Service interruptions. The platform may experience downtime, slowdowns, or failures. Signals may fail to fire, be delayed, or be missed entirely.
• Alerts are not orders. GenZTrade does not place trades on your behalf (except in the case of the Autotrade Bot, which requires separate explicit authorization). You are responsible for executing trades through your own broker.

4. Options trading risks

Options are complex, leveraged instruments and involve substantial risk. Before trading options, you should:

• Read the OCC (Options Clearing Corporation) publication "Characteristics and Risks of Standardized Options"
• Ensure your broker has approved you for the appropriate options trading level
• Understand that you can lose the entire premium paid on long options positions
• Understand that certain multi-leg strategies can result in losses larger than the initial premium
• Be aware of the impact of time decay, implied volatility, and interest rates on options pricing

5. Leveraged and inverse ETF risks

Leveraged ETFs (2×, 3×) and inverse ETFs are designed to achieve their stated objective on a daily basis only. Held for periods longer than one day, these funds can produce results significantly different from — and often worse than — the underlying index due to compounding, volatility drag, and rebalancing costs.

6. Day trading risks

Day trading is highly speculative and can result in rapid, substantial losses. Additional risks:

• Pattern Day Trader (PDT) rule. FINRA requires accounts that execute more than 3 day trades in 5 rolling business days to maintain a minimum of $25,000 in equity in a margin account.
• Emotional pressure. Day trading requires quick decisions under time pressure. Losses can be amplified by emotional reactions.
• Slippage and commissions. Frequent trading incurs commissions and can suffer from bid-ask spread costs and execution slippage.

7. Autotrade Bot risks (Alpha tier only)

The GenZTrade Autotrade Bot connects to your Interactive Brokers account and executes trades automatically. The bot carries all the risks of manual trading plus:

• Speed of execution. The bot can place trades faster than you can stop it. Losses can accumulate quickly.
• No human judgment. The bot executes signals mechanically and does not account for news, halts, corporate actions, or real-time information not captured in the signal.
• Connectivity failures. Network outages or GenZTrade service interruptions can cause missed exits, unclosed positions, or duplicate orders.

Before enabling the Autotrade Bot, you must separately acknowledge these risks and set explicit daily loss limits, position size limits, and maximum concurrent positions.

8. Recommended risk-management practices

• Never risk more than 1-2% of your total account capital on a single trade.
• Always use a stop-loss order. The stop levels shown on GenZTrade are suggestions; set orders in your broker.
• Diversify. Do not concentrate positions in a single ticker, sector, or strategy.
• Paper trade first. Practice with a simulated account before committing real capital.
• Keep a trading journal.
• Set daily loss limits.
• Do not chase alerts you missed.

9. Regulatory and tax considerations

Trading securities has tax consequences. Short-term capital gains (assets held one year or less) are typically taxed at your ordinary income rate. Wash-sale rules, mark-to-market accounting for pattern day traders, and other regulations may apply. GenZTrade does not provide tax, legal, or accounting advice. Consult a qualified professional.

10. Your acknowledgment

By using GenZTrade, you acknowledge that:

• You have read and understood this Risk Disclosure
• You are financially able to bear the risks of trading, including the potential loss of all invested capital
• You are solely responsible for your trading decisions and their consequences
• You will consult a licensed financial advisor before making significant investment decisions
• GenZTrade LLC and its members, officers, employees, and agents are not liable for any losses arising from your use of the Service