City FX Investment | High Return Investments with variable low risk exposure
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    Risk Associated with High Yield Investments

    City FX provides all of its investors, large and small, with clear and concise details on investment values, risks and returns.

    Whenever you are investing your money, whether it is in a bank, savings account, in property, small businesses or an investment fund, there will be an element of risk involved. You should be sure you are aware of the risks and the 'worst case scenario' of what you could potentially lose. Then you need to weigh this up against the potential returns and decide if this type of product is suitable for you.

    Global financial problems in recent years have made investors very wary. With the reality of huge banks and institutions failing and the real prospect of countries going bankrupt, it has made investors realise that there are no completely safe investments. Every investment carries with it a risk whether large or small. City FX plans for the worst case scenario. We believe being prepared now will ensure we do not get caught out in the future, or if the worst were to occur our investors are covered as much as possible.

    We have outlined each of our investment types below giving you a better idea of the risks involved with each one.

    Instant Saver and Super Saver Accounts

    Our Instant Saver Accounts and Super Saver Accounts are underwritten by City FX Investment. These funds are used to support our high yield investments in their larger asset purchases. Providing leverage for FX Trading, mortgages on properties, land and equipment.

    There is no risk to these supporting funds, any risk is covered by the higher risk investment. Any negative fluctuations in currencies, property or land prices will mean a loss for investors but not for the funds provided by the Instant Saver and Super Saver Accounts.

    City FX Investment has access to other funding sources from banks and other financial institutions when needed. Funds from Instant Saver and Super Saver Account will be utilised first when available but are always readily accessible for Saver Account holders to withdraw when needed.

    The only time there could be a risk to Saver Account funds is in the event of a complete company collapse. This is a low risk scenario but investors must be made aware that some or all of their money could be at risk if City FX Investment were to liquidate. However City FX Investment does not take any investment risk, we simply manage investors funds. City FX Investments benefits from small investment management fees, which we receive no matter how the high risk investments are performing. This ensures the management team can always operate smoothly no matter what is happening in the markets.

    Saver Accounts           

    Property Investment

    Our property investments carry a medium risk level. City FX Investment ensures investors funds cover a large percentage of all property values. Safeguarding loans and mortgages on properties by creating a large buffer zone to absorb any major price fluctuations over the life of the investment.

    Property values can rise and fall and rental income from properties cannot always be guaranteed. If income on the property is low over the term of your investment and the value of the property does not increase or even reduces, you may not receive your full investment back. This is estimated to be a maximum loss of 15%-20% and will only occur in the very worst case scenario.

    City FX Investment only purchases properties in prime central city locations, mostly under-valued at auction, to ensure the initial buying price is as low as possible. Property investment gives a sturdy tangible asset to investors and has been proven to provide a great investment return over many years.

    However, investors must be aware of the risks and assess whether this type of investment is right for them, and if so, how much should be invested.

    In addition, our floating charge option allows investors to have first claim on properties in the unlikely event of a collapse of property investments. This guarantees investors the ability to secure assets and extract their funds. Depending on the property market at the time, investors may see a loss on their investment if this situation were to occur, but this does ensure investors can claw back a large percentage of their initial investment.

    Property Investment  

    Clean Energy Investment

    Our Clean Energy Investment is a medium risk investment. As with all of our investments, investors money will be ring fenced from other City FX investment products. Investors funds will be managed and controlled by City FX Investment and will be used solely for land and equipment purchasing on CSP (concentrated solar power) plants across southern Spain.

    The ability and effective performance of the technology has been proven worldwide and the demand for energy and other products that CSP plants produce (distilled water, salt, hydrogen, oxygen) is continuously increasing. Government policies, tax and other external factors will determine how profitable clean energy is in the coming years. However, CSP plants have been proven to be profitable without government subsidies. Currently backing from governments, institutions and the general public is high, so clean energy projects still receive additional funding when needed.

    The risk with Clean Energy Investments is if certain concentrated solar power plants are not generating high enough profits. In the worst case scenario investors could see a loss of 20-30% of their initial investment, if a CSP plant were to be closed down and its assets sold.

    Our floating charge option allows investors to have first claim on land, equipment and infrastructure in the unlikely event of a liquidation of any solar farms. This guarantees investors the ability to secure assets and extract their investment. Depending on the value of land at the time investors may see a loss on their investment in this situation.

    The option to sell a loss making plant in whole to another energy company is however more likely which will limit loses.

    City FX Investment believes concentrated solar power is a sound long term investment that will generate steady profits. With the risks outlined above investors can make an informed decision as to whether this type of investment is right for them, and if so, how much they should invest.

    Clean Energy Investment

    Foreign Currency Investment (FX Investment)

    Investing in foreign currencies carries a high degree of risk. Any investment involving currencies is exposed to, among other things, changes in a country's political condition, economic climate, acts of nature - all of which may substantially affect the price or availability of a given currency.

    Speculative trading in the foreign currency market is a challenging prospect with above average risk. City FX Investment trades all currency investments at a low leverage to enable far greater control in currency fluctuations.

    City FX Investment has many years of proven trading in Foreign Currency investing, however previous performance is no guarantee of future returns. Foreign currency investment can yield a high return or could result in a substantial loss of your initial capital, potentially 40-60% of your investment could be lost if currency fluctuations go against trades. Investors must be aware of this risk and assess whether this type of investment is right for them, and if so, how much should be invested.

    FX Currency Investment

    Risk Conclusion

    All of our investments carry an element of risk, some higher than others and this is reflected in the higher yield returns offered on these investments.

    If you would like to ask any questions about our investments or their risk levels please feel free to contact us, or open a free online account where you will find more information and details of how to invest. Investors are also advised to seek independent advice before entering in to any investments to ensure they understand the risks involved.

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