Risk Disclosure & Legal Disclaimers
⚠️ Mandatory SEBI Regulatory Risk Disclosure on Derivatives (F&O)
As per the Securities and Exchange Board of India (SEBI) study on individual traders in equity Derivatives (F&O):
- 9 out of 10 individual traders in the equity F&O segment incurred net losses.
- On average, loss-makers incurred net trading losses close to ₹50,000 to ₹1,25,000.
- Over and above net trading losses, loss-makers expended an additional ~28% of net losses as transaction and brokerage costs.
- Even among profitable traders, transaction costs consumed 15% to 50% of gross trading profits.
1. Software-as-a-Service (SaaS) Non-Advisory Declaration
BullsAndBears (`bullsandbears.app`) is strictly an algorithmic automation technology platform and software-as-a-service (SaaS) infrastructure provider.
BullsAndBears is NOT a SEBI-registered Investment Adviser (RIA), Research Analyst (RA), or Portfolio Management Service (PMS). The platform does not provide investment recommendations, stock tips, trading calls, or portfolio management services.
2. Educational & Automated Execution Scope
All features, indicators, confluence scoring, and algorithmic setups provided on the platform are intended for educational and automated execution purposes only. Users maintain 100% discretion and control over:
- Their personal broker API credentials and access tokens.
- The decision to activate, pause, or terminate the automated trading engine.
- The allocation of capital, maximum daily loss parameters, and lot size selection.
3. Technology, Network & Broker Downtime Risks
Algorithmic trading depends upon multiple third-party systems including institutional cloud infrastructure, Internet Service Providers (ISPs), broker API endpoints (Upstox), and exchange matching engines (NSE/BSE).
- Latency & Slippage: Market volatility, rapid bid-ask fluctuations, and network latency may result in execution slippage.
- Broker API Outages: Network drops or API rate limiting on broker servers may prevent order placement or cancellation.
- Exchange Halts: Regulatory circuit breakers, market halts, or token expiration may impact position handling.
BullsAndBears implements exchange-side GTT orders and automated hard stop-loss safeguards to mitigate risk, but cannot guarantee protection against adverse market gaps or systemic broker downtimes.
4. Capital Risk & No Guarantee of Returns
Trading in options and futures carries a high degree of financial risk and may result in partial or total depletion of invested capital. Past performance of algorithms, historical backtest audits, or simulation results are strictly hypothetical and do not guarantee future returns.