The purpose of this notice is to warn of potential losses

The purpose of this notice is to warn of potential losses associated with carrying out transactions on the financial markets.

On the financial market there are systemic risks that reflect the socio-political and economic conditions of the country's development and are not related to any specific financial-market instrument. The main systemic risks include: political risk, the risk of unfavorable (from the standpoint of business conditions) changes in legislation, and macroeconomic risks (a sharp devaluation of the national currency, a crisis in the government debt market, a banking crisis, a currency crisis, and others). Systemic risks also include the risks arising from force majeure circumstances.

There are also financial risks, which represent the risks of actual damage and lost profit arising in the course of financial transactions due to the possible adverse effect on them of a number of market factors. The probability of financial risks occurring is usually higher than that of systemic risks. The following types of financial risks are distinguished:

Currency risk. If the currency in which the main expenses are incurred and the currency of investment do not coincide, purchasing power will change depending on movements in exchange rates.
Interest-rate risk. A change in the refinancing rate may have an adverse effect on the market value of fixed-income bonds and, indirectly, on share prices as well.
Liquidity risk — the risk of financial losses when selling financial instruments, associated with the difficulty of realizing them at an acceptable price, for example, upon a rapid withdrawal of funds from the financial market (liquidation of a portfolio).
Price risk — the risk of an unexpected change in the prices of financial instruments, which may lead to a decline in the value of the portfolio and, consequently, to a reduction in profitability or even to direct losses. The execution of an order to carry out a transaction on the financial market is not always possible on the terms specified in it, owing to the dynamic change in the parameters of such transactions in trading systems, primarily in connection with price volatility.
Issuer bankruptcy risk — the risk associated with the possible insolvency of the issuer of a security, which would lead to a sharp fall in the price (up to a complete loss of liquidity) of such a security (in the case of shares) or to the impossibility of redeeming it (in the case of debt securities).
Risk of unlawful acts with respect to the investor's property and the investor's legally protected rights on the part of third parties, including the issuer, the registrar, and other parties that make up the infrastructure of the financial market.
Technical risk — the risk associated with the possibility of losses arising as a result of poor-quality or unfair performance of obligations by financial-market participants that carry out settlements. D1 Capital LLC takes all measures to protect the Client from this risk. Nevertheless, the Client independently bears all possible adverse consequences of a transaction, which may manifest themselves in delays in the re-registration of rights to securities, delays in payment, a counterparty's refusal to fulfill the terms of the transaction without a reason permitted by the terms of the contract, as well as for other reasons.

In transactions with financial instruments, it may become necessary to change the structure of the portfolio by selling some assets and acquiring others, which requires realizing existing assets and freeing up funds. In the interval between the moment funds are freed up and the moment new assets are acquired, the Client may incur certain losses of profit or even direct losses due to an unfavorable change in the price of a financial instrument, the refinancing rate, the exchange rate, and so on.

In view of the foregoing, the Client should carefully consider whether transactions on the financial market and potential losses are acceptable for the Client in light of the Client's financial capabilities.

None of the foregoing is intended to compel the Client to refrain from transactions on the financial market; it is intended only to help the Client understand the risks associated with carrying out such transactions, determine their acceptability, assess the Client's financial goals and capabilities, and take a responsible approach to deciding on the choice of an appropriate investment strategy, as well as the software for carrying out transactions on the financial market.

There is a risk of a conflict of interest arising in the activities of a professional participant in the securities market, a conflict of interest between a professional participant in the securities market and its client, and a conflict of interest between different clients. D1 Capital LLC has developed and applies in its activities procedures and measures aimed at identifying conflicts of interest, as well as at preventing their consequences.