Risk Disclosure Statement
The information shown throughout the website is being communicated by JP Jenkins for information only purposes and does not constitute an invitation, offer or recommendation to buy, sell or otherwise deal in any investment. This refers to any investment in the United Kingdom or in any other jurisdiction in which such an invitation, offer or recommendation is not permitted or to any person to whom it would be unlawful to make such an invitation, offer or recommendation.
JP Jenkins is acting only for the companies which are referred to on the website and is not acting for visitors to the website or any other person. Those website visitors that are clients of stockbrokers or other FCA-authorised firms are likely to be afforded protections under the FCA rules in relation to that client relationship. The information on this website is obtained from sources which are believed to be reliable, but JP Jenkins does not warrant or guarantee the timeliness or accuracy of this information.
Any kind of investing involves a level of risk, and early-stage companies are no exception. A very high proportion of early-stage businesses fail. We ask you to take time to carefully familiarise yourself with each of the risks and to properly assess whether investing in such early-stage companies is appropriate in your particular circumstances. Generally, investments made through the Platform are not made in or accompanied by a prospectus that is lodged with or registered by a regulatory authority, and therefore statutory liability in relation to the content of prospectuses would not apply.
You should NOT invest in the securities offered unless you fully understand the risks and potential consequences, including the potential of losing all of your principal investment. You should carefully consider whether investment is suitable for you in light of your knowledge and experience in financial and business matters, investment objectives, financial means and the risks that you are prepared to take and the losses you are able to absorb. You should also only invest in these types of securities as part of a well-diversified portfolio and ensure that your investable capital is spread across a number of assets and businesses, and not too highly-concentrated.
We have listed below some of the risks that you should consider and be aware of before making any investment through the platform. However, this list is not intended to be an exhaustive or comprehensive description of all relevant risks.
Loss of investment – The biggest financial risk to an investor is losing the entire investment. Investments available through JP Jenkins may include securities of early-stage companies or companies without a proven track record.
Risk of dilution – Early-stage companies usually have more than one funding round, meaning they are likely to raise more capital in subsequent funding rounds. During those rounds, depending on the type of investment opportunity, new investors may be entitled to a share of the company’s equity. This may have a diluting effect on the percentage of ownership held by current investors because new shares are issued.
Risks related to foreign Issuers – If securities are offered by an Issuer in a foreign jurisdiction, or the security is structured through a foreign special-purpose-vehicle, or you purchase securities that are issued by foreign Issuers, your investment and continued holding of securities may be subject to the laws and regulations of that jurisdiction. The investment or you yourself may be subject to additional tax liabilities, transaction costs or capital controls under the foreign laws. Any claims or action may need to be raised before foreign courts or authorities. You should be aware that overseas markets may be subject to rules which may offer different or diminished investor protection as to the United Kingdom or any other jurisdiction in which you reside or are domiciled.
Different costs involved – Each purchase of securities issued by foreign Issuers, may be subject to additional tax liabilities, transaction costs, duties, charges or capital controls under the foreign laws. Before each purchase of securities issued by foreign Issuers, you should be clear on all fees and other charges for which you may be liable as such charges may affect your net profit (if any) or increase your loss on the investment made.
Currency risk – You should be aware that the securities may be denominated in currencies different than the currency of your home country. In all these cases, your investment return will be affected by exchange rate fluctuations and you will therefore be exposed to foreign currency risk. Currencies depreciate or appreciate value against each other and this may correspondingly reduce or increase the value of your investment in foreign currency terms. Your payment service provider may also charge fees for converting funds into foreign currency or for making payments in foreign currencies.
Low liquidity – Although certain investments can be traded on the Marketplace, there is no assurance that active trading will occur, form or be sustained, or that any market for the investments will develop. There may be difficulty in trading an investment caused by a number of factors, including, but not limited to, lack of demand or supply, and volatile and unpredictable price movements in investments on the Platform. In these circumstances, you may not be able to sell your investments in a timely manner or at the expected price level. Trading can be halted or suspended due to several reasons, including technical problems, regulatory intervention and unclear or delayed disclosure by Issuers. Hence, it may be difficult or even impossible for you to cash in on or exit such investments.
The investments and investment services referred to on this site may not be suitable for all investors and if in doubt individuals should seek independent financial advice, including advice on the legal and tax consequences in respect of any proposed course of action, before making any investment decision.