Trading & Risk Disclaimers
Last updated: August 4, 2025
Critical Risk Warning
Trading financial instruments involves substantial risk of loss and is not suitable for all investors.
You could lose all or more than your initial investment. Only invest funds you can afford to lose completely. Never trade with money needed for essential expenses like housing, food, or healthcare.
Before engaging in any trading activity, carefully consider your financial situation, trading experience, and risk tolerance. Seek advice from qualified financial advisors if needed.
BacktestBase Service Disclaimer
What We Are
BacktestBase is a strategic analysis platform that provides tools for organizing, analyzing, and comparing trading strategies. We are a technology company providing software services.
What We Are NOT
- Financial Advisor: We do not provide investment advice or recommendations
- Broker: We do not execute trades or handle client funds
- Investment Firm: We are not registered as an investment advisor
- Financial Institution: We do not provide banking or financial services
- Trading Signal Provider: We do not generate buy/sell signals
- Portfolio Manager: We do not manage investments on behalf of clients
Backtest Results & Performance Disclaimers
⚠️ Past Performance Warning
Past performance does not guarantee future results. This is a fundamental principle of trading and investing.
Hypothetical Nature
Backtest results are hypothetical and do not represent actual trading. They are based on historical data and may not reflect the impact of material economic and market factors.
Limitations of Backtesting
- Survivorship Bias: Historical data may not include all relevant market conditions
- Execution Assumptions: Backtests assume perfect execution at historical prices
- Transaction Costs: Real trading involves spreads, commissions, and slippage
- Market Impact: Large positions may affect market prices in ways not reflected in backtests
- Liquidity Assumptions: Historical data may not reflect actual market liquidity
- Overfitting Risk: Strategies may be optimized to historical data and fail in live markets
Real Trading Differences
Actual trading results will likely differ significantly from backtest results due to factors including but not limited to: market conditions, execution delays, emotional decision-making, position sizing errors, and changes in market structure.
Monte Carlo Simulation Disclaimers
Statistical Modeling Limitations
Our Monte Carlo simulations are statistical models based on historical performance data. These models:
- Make assumptions about future market behavior based on past data
- Cannot predict actual future performance
- May not account for all possible market scenarios
- Assume strategy performance characteristics remain constant
- Do not guarantee any specific outcomes or probability ranges
Interpretation Caution
Monte Carlo results should be interpreted as theoretical scenarios for risk assessment purposes only. They are not predictions, guarantees, or recommendations for position sizing or investment decisions.
Educational Purpose Only
Information vs. Advice
All content, analysis, and tools provided by BacktestBase are for educational and informational purposes only. This includes but is not limited to:
- Strategy performance analysis
- Portfolio optimization suggestions
- Risk assessment tools
- Statistical analysis and reports
- Platform documentation and tutorials
No Personal Recommendations
Nothing on BacktestBase should be construed as personalized investment advice, tax advice, or recommendations tailored to your specific financial situation. Always consult with qualified professionals before making financial decisions.
Market Risk Factors
Inherent Market Risks
Financial markets are subject to numerous risk factors that can result in substantial losses:
- Market Risk: Overall market movements affecting all securities
- Volatility Risk: Rapid and unpredictable price movements
- Liquidity Risk: Inability to buy or sell at desired prices
- Currency Risk: Exchange rate fluctuations affecting international positions
- Interest Rate Risk: Changes in interest rates affecting asset values
- Credit Risk: Default risk of counterparties and issuers
- Regulatory Risk: Changes in laws and regulations affecting markets
- Operational Risk: System failures, errors, and technical problems
Leverage and Margin Risks
Leveraged trading can amplify both gains and losses. Margin trading allows you to lose more than your initial investment. Understand leverage requirements and margin calls before trading leveraged products.
Regulatory Disclaimers
No Registration
BacktestBase and its operators are not registered as:
- Investment advisors with the SEC or any state authority
- Broker-dealers or securities intermediaries
- Commodity trading advisors (CTAs)
- Financial planners or certified financial planners
- Banks or other depository institutions
Jurisdictional Compliance
Users are responsible for ensuring their use of BacktestBase complies with applicable laws and regulations in their jurisdiction. We do not provide legal advice regarding compliance requirements.
Professional Advice Recommendation
Seek Qualified Professionals
Before making any trading or investment decisions, consider consulting with:
- Financial Advisors: For personalized investment guidance
- Tax Professionals: For tax implications of trading activities
- Legal Counsel: For regulatory compliance questions
- Accountants: For financial planning and record-keeping
Due Diligence
Conduct your own research and due diligence before implementing any trading strategy. Verify all information independently and understand the risks involved in your specific trading approach.
Technology and Data Disclaimers
Data Accuracy
While we strive for accuracy, BacktestBase cannot guarantee the accuracy, completeness, or timeliness of:
- Data processing and analysis results
- Uploaded file parsing and interpretation
- Statistical calculations and metrics
- Platform functionality and availability
System Limitations
Technology systems can fail, produce errors, or experience downtime. Users should not rely solely on BacktestBase for critical trading decisions and should maintain independent analysis capabilities.
Your Responsibilities
Independent Decision Making
You are solely responsible for all trading and investment decisions. This includes:
- Verifying all analysis and calculations independently
- Understanding the risks of your chosen trading strategies
- Implementing appropriate risk management practices
- Complying with applicable laws and regulations
- Maintaining adequate insurance and emergency funds
Risk Management
Implement proper risk management techniques including position sizing, stop-losses, diversification, and regular portfolio review. Never risk more than you can afford to lose.
Questions About These Disclaimers
If you have questions about these disclaimers or need clarification about our service limitations:
BacktestBase Support
Email: support@backtestbase.com
Platform: Contact Support Form
Note: We cannot provide financial, legal, or tax advice. For such matters, please consult qualified professionals.
Acknowledgment Required
By using BacktestBase, you acknowledge and agree that:
- You have read, understood, and accept all disclaimers and risk warnings
- You understand that trading involves substantial risk of loss
- You acknowledge that BacktestBase is not a financial advisor or broker
- You will not hold BacktestBase liable for any trading losses
- You are using the platform for educational and analysis purposes only
- You will seek professional advice before making significant financial decisions
- You understand the limitations of backtesting and statistical modeling