Risk Disclosure Derivatives

This Risk Disclosure Document (RDD) for derivatives is issued by Wealth Discovery Securities Pvt. Ltd. (EZ Wealth) in accordance with SEBI and exchange requirements. Please read it carefully before trading in futures, options, currency derivatives or commodity derivatives.

By accessing derivative products through EZ Wealth, you acknowledge that you understand the risks described herein and that derivatives trading may not be suitable for all investors.

Derivatives are financial contracts whose value is derived from an underlying asset such as equity indices, individual stocks, currencies or commodities. Unlike cash market transactions, derivative contracts involve obligations that may arise on future dates and are subject to margin requirements.

• Futures contracts obligate the buyer/seller to transact at a predetermined price on a future date.
• Options contracts provide the right, but not the obligation, to buy or sell at a specified price before expiry.
• Derivative prices can change rapidly due to market volatility, liquidity conditions and macroeconomic events.

• Investments in securities and derivative markets are subject to market risk. Read all related documents carefully before investing or trading.
• Past performance of any security, index, strategy or derivative contract is not indicative of future results.
• Derivative trading is speculative in nature and involves a substantial risk of loss. Only risk capital should be used.
• You may lose more than your initial margin or premium paid if market movements are adverse, especially in leveraged positions.
• Liquidity in certain contracts may be limited, making it difficult to enter or exit positions at desired prices.