Risk Disclosure
CFDs, leverage, and the simulation environment
Traderwise CFD simulation environment risk disclosure. CFDs are complex leveraged instruments. Understand the limits of simulation, the risks of moving to live trading, and the FCA's standard warnings.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74% and 89% of retail investor accounts lose money when trading CFDs with regulated providers. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Traderwise itself does not offer live CFD trading — see below.
What Traderwise is
Traderwise is an educational simulation environment. Every trade you place on Traderwise uses live market prices but no real money. The simulation runs on:
- Live tick data from regulated market data providers
- Simulated execution — no orders are routed to any broker, exchange, or counterparty
- Synthetic balance — your account balance is a number in our database, not a custodied financial asset
This means:
- You cannot deposit real money into Traderwise
- You cannot withdraw real money from Traderwise
- No profits made on Traderwise are real
- No losses made on Traderwise are real
What the simulation cannot teach
The simulation is faithful to live prices but does not reproduce every aspect of real trading. The following are absent or simplified:
- Slippage — real orders sometimes fill at worse prices than displayed, especially around news. The simulation fills at the quoted mid.
- Liquidity gaps — in real markets, your size can move the price. The simulation assumes infinite liquidity.
- Overnight financing — real CFDs accrue financing charges based on position direction and instrument. The simulation applies a simplified daily charge.
- Broker risk — real money is held by a broker. The simulation has no broker.
- Emotional risk — losing simulated money does not feel the same as losing rent money. This is the largest gap, and we cannot close it for you.
Moving from simulation to live trading
Traderwise is not a broker. We do not offer live CFD accounts, we do not route orders, and we do not take custody of client funds. If you choose to trade with real money, you will do so through a separate, regulated broker of your choice. Traderwise has no commercial relationship with any specific broker.
Before moving any of what you've learned on Traderwise to a real account, take the following seriously:
- Choose an FCA-regulated broker if you are in the UK. Check the FCA Register before depositing.
- Start with capital you can afford to lose entirely. Not "lose for now" — lose entirely.
- Size positions smaller than you did in the simulation for at least the first 100 live trades. The emotional load is different.
- Keep journaling. Bring the Traderwise journal habit with you to real trading.
No financial advice
Nothing on Traderwise — including signals, the Quantum AI Coach, strategy explanations, or this help centre — constitutes financial advice. We are an educational platform. For personalised financial advice, consult an FCA-authorised independent financial adviser.
Reporting concerns
If you believe Traderwise has misrepresented its simulation environment or made misleading claims about returns, email admin@traderwise.io with details. We take compliance seriously and respond to all reports within five working days.