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Cirrus is back. Trading resumed on 5 October with static IP on every account. See what's new

Risk disclosure

Trading carries a real risk of losing money. This page explains the main risks of trading, and of automating orders across accounts, before you start.

Investments in the securities market are subject to market risks. Read all related documents carefully, including your broker's risk disclosure documents, before investing or trading.

1. What Cirrus is, and is not

Cirrus is a trading technology platform built by Quartgen Solutions Private Limited. It sends the orders you create, or the signals you configure, to broker accounts that you connect. We are an NSE & BSE empanelled algo vendor.

Cirrus is not a stock broker, depository participant, SEBI-registered investment adviser or research analyst. We do not hold your funds or securities, we do not recommend any security or strategy, and nothing on cirrus.trade, in the app, or in our blog is investment advice. Your trades are executed by your broker under your agreement with them.

2. Market risk

Prices of securities go up and down. You may lose some or all of the money you invest. Past performance of any security, strategy, signal or trader is not an indicator of future results. Liquidity can dry up quickly, so orders may fill at worse prices than expected, fill partly, or not fill at all. Exchanges may halt trading or change margin requirements without notice.

3. Futures and options

Futures and options are leveraged. A small price move can cause a loss larger than the margin you put up, and option buyers can lose the entire premium. Positions may be squared off by your broker if margin falls short.

SEBI requires the following disclosure for trading in the equity futures and options segment:

  • 9 out of 10 individual traders in the equity futures and options segment incurred net losses.
  • On average, loss makers registered a net trading loss close to ₹50,000.
  • Over and above the net trading losses incurred, loss makers spent an additional 28% of net trading losses as transaction costs.
  • Those making net trading profits incurred between 15% and 50% of such profits as transaction costs.

Source: SEBI study dated 25 January 2023 on the analysis of profit and loss of individual traders dealing in the equity F&O segment, based on FY 2021-22 data.

4. Automated and multi-account trading

Cirrus can place the same order in many accounts at once, scale quantities with a multiplier, and act on alerts without you clicking. This amplifies mistakes as much as good trades:

  • A wrong symbol, quantity, multiplier or price is repeated in every selected account.
  • Accounts can fill at different prices, fill partly, or be rejected (for example, for insufficient funds or a broker-side limit), so positions across accounts may not match.
  • Stop-losses and other protection you set in Cirrus reduce, but do not remove, the chance of loss. They act on the data available at that moment and cannot prevent gaps, slippage or broker-side events.
  • Under SEBI's framework for retail algorithmic trading, API orders must come from a static IP registered with your broker, and order rates above the exchange threshold need a registered strategy. Orders that do not meet your broker's requirements will be rejected.

5. Technology and connectivity

Orders travel over the internet through Cirrus, your broker's API and the exchange. Any of these can be slow, unavailable or return errors. Internet outages, broker API downtime, expired broker sessions, exchange issues, or faults in our own systems can delay, duplicate or prevent orders and cancellations. Always check positions and orders in your broker's own terminal, and keep a way to exit positions directly with your broker.

6. Third-party signals and strategies

Alerts from TradingView, Chartink, Kuberhunt or any other source are created by you or by third parties. Cirrus passes them on as orders according to the rules you configure; we do not review, verify or endorse any signal, strategy or research. Research analysts and other providers are responsible for their own registrations and advice.

7. Your responsibility

  • Only connect broker accounts that you own or are legally authorised to operate.
  • Trade only with money you can afford to lose, and understand a product before trading it.
  • Test new strategies and settings with small quantities first.
  • Review every order, fill and position. You are responsible for all trades in your accounts.

8. Contact

Questions about this disclosure? Email support@cirrus.trade.