Alpaca Use and Risk Disclosures
IT IS VERY IMPORTANT THAT YOU READ AND FULLY UNDERSTAND THE
FOLLOWING RISKS OF TRADING AND INVESTING IN YOUR SELF-DIRECTEDALPACA ACCOUNT.
All Customer Accounts are self-directed. Accordingly, Customers are solely responsible for any
and all orders placed in their Accounts and understand that all orders entered by them areunsolicited and based on their own investment decisions or the investment decisions of their duly
authorized representative or agent. Consequently, any Customer of Alpaca agrees that neither
Alpaca nor any of its employees, agents, principals or representatives:
1. provide investment advice in connection with a Customer Account;
2. recommend any security, transaction or order;
3. solicit orders;
4. act as a market maker in any security;
5. make discretionary trades; and6. produce or provide research. To the extent research materials or similar information isavailable through alpaca.markets or the websites of any of its affiliates, these materials
are intended for informational and educational purposes only and they do not constitute arecommendation to enter into any securities transactions or to engage in any investment
strategies.
After the market has closed for the day Customers of Alpaca have the ability to place in a queue,order requests to be executed the following day upon the opening of the market (“QueuedOrder”). These Queued Order requests are prioritized based on the order in which they arereceived and are sent out for execution the next day of trading shortly after the market opens.
Each Queued Order request is sent per customer and per security as Alpaca market orders, andthey are not aggregated.
GENERAL RISKS OF TRADING AND INVESTING
All securities trading, whether in stocks, exchange-traded funds (“ETFs”), options, or otherinvestment vehicles, is speculative in nature and involves substantial risk of loss. Alpaca
encourages its Customers to invest carefully and to use the information available at the websitesof the SEC at http://www.sec.gov and FINRA at http://FINRA.org. Customers can review publiccompanies’ filings at the SEC's EDGAR page. FINRA has published information on how toinvest carefully at its website. Alpaca may also make some of this information available on its
website. Alpaca believes it is very important that every Customer understands all of the risks ofany form of trading or investing prior to trading or investing real dollars. Past performance is notnecessarily indicative of future results. By investing their money in securities through Alpaca,Customers are taking full responsibility for all trading actions, and should make every effort tounderstand the risks involved.

1. You may lose money trading and investing. Trading and investing in securities isalways risky. For that reason, Customers should trade or invest only with money they canafford to lose. While this is an individual matter, typically an investor should risk nomore than 10 percent of his or her liquid net worth--and, in many cases, they should risk
less than that. For example, if 10 percent of your liquid net worth represents your entire
retirement savings, you should not use that amount to buy and sell securities. Trading
stocks, ETFs and stock options involves HIGH RISK, and YOU can LOSE a lot ofmoney. Margin trading involves interest charges and additional risks, including thepotential to lose more than deposited or the need to deposit additional collateral in a
falling market. Before using margin, customers must determine whether this type of
trading strategy is right for them given their specific investment objectives, experience,risk tolerance, and financial situation.
2. Past performance is not necessarily indicative of future results. All investments carryrisk, and all trading decisions of an individual remain the responsibility of that individual.
There is no guarantee that systems, indicators, or trading signals will result in profits orthat they will not result in losses. All Customers are advised to fully understand all risks
associated with any kind of trading or investing they choose to do.
3. Alpaca is an online brokerage website and affiliated with other non-brokerage
informational and other similar types of websites. Neither Alpaca nor its affiliates
provide any trading or investment advice. Our affiliate, AlpacaDB, Inc provides technicaland administrative services, and it does not offer trading or investment advice orrecommend the purchase or sale of any securities. Alpaca also does not recommend
securities or provide investment advice. Therefore, Customers need to depend on theirown mastery of the details of trading and investing in order to handle problematic
situations that may arise, including the consultation of their own advisors as they deem
appropriate.
4. Stop orders may reduce, but not eliminate, your trading risk. A stop market order isan order, placed with your broker, to buy or sell a particular stock at the market price if
and when the price reaches a specified level. Stop orders are often used by traders in aneffort to limit the amount they might lose. If and when the market reaches whatever priceyou specify, a stop order becomes an order to execute the desired trade at the best priceimmediately obtainable.
There can be no guarantee, however, that it will be possible under all market conditions
to execute the order at the price specified. In an active, volatile market, the market price
may be declining (or rising) so rapidly that there is no opportunity to liquidate yourposition at the stop price you have designated. Under these circumstances, the broker's
only obligation is to execute your order at the best price that is available. Therefore, stoporders may reduce, but not eliminate, your trading risk.
RISKS OF INVESTING IN STOCK AND ETFs
Investments always entail some degree of risk. Be aware that:●Some investments in stock cannot easily be sold or converted to cash. Check to see if
there is any penalty or charge if you must sell an investment quickly.

●Investments in stock issued by a company with little or no operating history or publishedinformation involves greater risk than investing in a public company with an operating
history and extensive public information.

●

Stock investments are not federally insured against a loss in market value.

●

Stock you own may be subject to tender offers, mergers, reorganizations, or third-party
actions that can affect the value of your ownership interest. Pay careful attention to publicannouncements and information sent to you about such transactions. They involve
complex investment decisions. Be sure you fully understand the terms of any offer toexchange or sell your shares before you act. In some cases, such as partial or two-tiertender offers, failure to act can have detrimental effects on your investment.

●The greatest risk in buying shares of stock is having the value of the stock fall to zero. On
the other hand, the risk of selling stock short can be substantial. "Short selling" means
selling stock that the seller does not own, or any sale that is completed by the delivery ofa security borrowed by the seller. Short selling is a legitimate trading strategy, but
assumes that the seller will be able to buy the stock at a more favorable price than theprice at which they sold short. If this is not the case, then the seller will be liable for theincrease in price of the shorted stock, which could be substantial.

●Investors should consider the investment objectives and unique risk profile of an ETF
carefully before investing. ETFs are subject to risks similar to those of other diversified
portfolios. Leveraged and Inverse ETFs may not be suitable for all investors and may
increase exposure to volatility through the use of leverage, short sales of securities,
derivatives and other complex investment strategies. Although ETFs are designed toprovide investment results that generally correspond to the performance of theirrespective underlying indices, they may not be able to exactly replicate the performanceof the indices because of expenses and other factors. A prospectus contains this and otherinformation about the ETF and should be read carefully before investing. Customers
should obtain prospectuses from issuers and/or their third party agents who distribute andmake prospectuses available for review. ETFs are required to distribute portfolio gains toshareholders at year end. These gains may be generated by portfolio rebalancing or theneed to meet diversification requirements. ETF trading will also generate tax
consequences.

EXTENDED HOURS TRADING RISK DISCLOSURE
You should consider the following points before engaging in extended hours trading. "Extended
hours trading" means trading outside of “regular trading hours.” “Regular trading hours”
generally means the time between 9:30 a.m. and 4:00 p.m. Eastern Standard Time.
●Risk of Lower Liquidity. Liquidity refers to the ability of market participants to buy andsell securities. Generally, the more orders that are available in a market, the greater theliquidity. Liquidity is important because with greater liquidity it is easier for investors tobuy or sell securities, and as a result, investors are more likely to pay or receive acompetitive price for securities purchased or sold. There may be lower liquidity inextended hours trading as compared to regular trading hours. As a result, your order may
only be partially executed, or not at all.
●Risk of Higher Volatility. Volatility refers to the changes in price that securities undergo
when trading. Generally, the higher the volatility of a security, the greater its priceswings. There may be greater volatility in extended hours trading than in regular trading
hours. As a result, your order may only be partially executed, or not at all, or you may
receive an inferior price when engaging in extended hours trading than you would during
regular trading hours.

●Risk of Changing Prices. The prices of securities traded in extended hours trading may
not reflect the prices either at the end of regular trading hours, or upon the opening thenext morning. As a result, you may receive an inferior price when engaging in extended
hours trading than you would during regular trading hours.

●Risk of Unlinked Markets. Depending on the extended hours trading system or the timeof day, the prices displayed on a particular extended hours trading system may not reflect
the prices in other concurrently operating extended hours trading systems dealing in thesame securities. Accordingly, you may receive an inferior price in one extended hours
trading system than you would in another extended hours trading system.

●

Risk of News Announcements. Normally, issuers make news announcements that may
affect the price of their securities after regular trading hours. Similarly, importantfinancial information is frequently announced outside of regular trading hours. In
extended hours trading, these announcements may occur during trading, and if combinedwith lower liquidity and higher volatility, may cause an exaggerated and unsustainableeffect on the price of a security.

●Risk of Wider Spreads. The spread refers to the difference in price between what you
can buy a security for and what you can sell it for. Lower liquidity and higher volatility inextended hours trading may result in wider than normal spreads for a particular security.

PAYMENT FOR ORDER FLOW
Alpaca Securities LLC (“Alpaca”) receives remuneration for directing orders in securities toparticular market centers for execution. The customer understands that this remuneration, known
as "payment for order flow," is considered compensation to Alpaca and the source and amount of
any compensation received by Alpaca in connection with a particular transaction will be
disclosed on the customer's written request.