VF Securities Inc. – Use and Risk Disclosures

IT IS VERY IMPORTANT THAT YOU READ AND FULLY UNDERSTAND THE FOLLOWING RISKS OF TRADING AND INVESTING IN YOUR SELF-DIRECTED VF SECURITIES INC. ACCOUNT.

USE OF SELF-DIRECTED TRADING ACCOUNTS

All Customer Accounts are self-directed. Accordingly, Customers are solely responsible for any and all orders placed in their Accounts and understand that all orders entered by them are unsolicited and based on their own investment decisions or the investment decisions of their duly authorized representative or agent. Consequently, any Customer of VF Securities, Inc. agrees that neither VF Securities, Inc. nor any of its employees, agents, principals or representatives:

• Provide investment advice in connection with a Customer Account;
• Recommend any security, transaction or order;
• Solicit orders;
• Act as a market maker in any security;
• Make discretionary trades; and
• Produce or provide research. To the extent research materials, blog posts, or similar information is available through https://vestedfinance.com/in or the websites of any of its affiliates, these materials are intended for informational and educational purposes only and they do not constitute a recommendation to enter into any securities transactions or to engage in any investment strategies. You should not rely on this information as the primary basis of your investment, financial, or tax planning decisions. Certain sections of this commentary may contain forward-looking statements that are based on our reasonable expectations, estimates, projections and assumptions. Forward-looking statements are not guarantees of future performance and involve certain risks and uncertainties, which are difficult to predict.

In addition, after the market has closed for the day Customers of VF Securities, Inc. have the ability to place in a queue, order requests to be executed the following day upon the opening of the market (“Queued Order”). These Queued Order requests are prioritized based on the order in which they are received and are sent out for execution the next day of trading shortly after the market opens. Each Queued Order request is sent per customer and per security as VF Securities, Inc. market orders (described above), and they are not aggregated.

GENERAL RISKS OF TRADING AND INVESTING

All securities trading, whether in stocks, exchange-traded funds (“ETFs”), options, or other investment vehicles, is speculative in nature and involves substantial risk of loss. VF Securities, Inc. encourages its customers to invest carefully and to use the information available at the websites of the SEC at https://www.sec.gov and FINRA at https://FINRA.org. Customers can review Vested’s companies’ filings at the SEC’s EDGAR page. FINRA has published information on how to invest carefully at its website. VF Securities, Inc. may also make some of this information available on its website. VF Securities, Inc. believes it is very important that every customer understands all of the risks of any form of trading or investing prior to trading or investing real dollars. Past performance is not necessarily indicative of future results. By investing their money in securities through VF Securities, Inc., customers are taking full responsibility for all trading actions, and should make every effort to understand the risks involved.

• You may lose money trading and investing.
  Trading and investing in securities is always risky. For that reason, customers should trade or invest only with money they can afford to lose. While this is an individual matter, typically an investor should risk no more than 10 percent of his or her liquid net worth–and, in many cases, they should risk less than that. For example, if 10 percent of your liquid net worth represents your entire retirement savings, you should not use that amount to buy and sell securities. Trading stocks, ETFs and stock options involves higher risk, and there is a potential for you to lose most or all of your money.
• Past performance is not necessarily indicative of future results.
  All investments carry risk, and all trading decisions of an individual remain the responsibility of that individual. There is no guarantee that systems, indicators, or trading signals will result in profits or that they will not result in losses. All Customers are advised to fully understand all risks associated with any kind of trading or investing they choose to do.
• Investment Advice
  VF Securities, Inc. does not provide any trading or investment advice or recommend the purchase or sale of any securities. Therefore, Customers need to depend on their own understanding and knowledge of the details of trading and investing in order to handle situations that may arise, including the consultation of their own advisors as they deem appropriate.
• Stop orders may reduce, but not eliminate, your trading risk.
  A stop market order is an order, placed with your broker, to buy or sell a particular stock at the market price if and when the price reaches a specified level. Stop orders are often used by traders in an effort to limit the amount they might lose. If and when the market reaches whatever price you specify, a stop order becomes an order to execute the desired trade at the best price immediately obtainable. There can be no guarantee, however, that it will be possible under all market conditions to execute the order at the price specified. In an active, volatile market, the market price may be declining (or rising) so rapidly that there is no opportunity to liquidate your position at the stop price you have designated. Under these circumstances, the broker’s only obligation is to execute your order at the best price that is available. Therefore, stop orders may reduce, but not eliminate, your trading risk.
• Dollar Cost Averaging
  Dollar Cost Averaging can reduce the impact of short-term price fluctuations on your investment portfolio. It involves the investment of a fixed dollar sum at regular intervals over time, the result of which is an average price, based on the number of shares or units obtained at each of the prices prevailing on the dates of purchase. Dollar Cost Averaging will not guarantee a positive return in a declining market.

RISKS OF INVESTING IN STOCK AND ETFs

Investments always entail some degree of risk. Be aware that:

• Some investments in stock cannot easily be sold or converted to cash. Check to see if there is any penalty or charge if you must sell an investment quickly.
• Investments in stock issued by a company with little or no operating history or published information involves greater risk than investing in a public company with an operating history and extensive public information.
• Stock investments are not federally insured against a loss in market value.
• Stock you own may be subject to tender offers, mergers, reorganizations, or third-party actions that can affect the value of your ownership interest. Pay careful attention to public announcements and information sent to you about such transactions. They involve complex investment decisions. Be sure you fully understand the terms of any offer to exchange or sell your shares before you act. In some cases, such as partial or two-tier tender offers, failure to act can have detrimental effects on your investment.
• Investors should consider the investment objectives and unique risk profile of an ETF carefully before investing. ETFs are subject to risks similar to those of other diversified portfolios. Leveraged and Inverse ETFs may not be suitable for all investors and may increase exposure to volatility through the use of leverage, short sales of securities, derivatives and other complex investment strategies. Although ETFs are designed to provide investment results that generally correspond to the performance of their respective underlying indices, they may not be able to exactly replicate the performance of the indices because of expenses and other factors. A prospectus contains this and other information about the ETF and should be read carefully before investing. Customers should obtain prospectuses from issuers and/or their third party agents who distribute and make prospectuses available for review. ETFs are required to distribute portfolio gains to shareholders at year end. These gains may be generated by portfolio rebalancing or the need to meet diversification requirements. ETF trading will also generate tax consequences. Please review our detailed disclosure on leveraged/inverse ETFs here.