Risk warning
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To help you understand the risks of investing in equities, we invite you to read the risk summary below. Be sure to be cautious and diversify your investments.

The need to diversify investments
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Diversification means spreading your money over different types of investments with different risks, in order to reduce your overall risk. However, it does not reduce all types of risk. Diversification is an essential part of investing. Investors should invest only part of their available capital through THE QUEST Hippodrome and balance it with safer, more liquid investments.

Risks associated with investing in equities or funds
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Investing in shares on THE QUEST Hippodrome does not imply a regular return on your investment. Please bear in mind the following risks specific to equity investments.

Loss of investment or tax breaks
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The majority of start-ups fail or don't develop as planned, so investing in such companies can involve significant risk. You may lose all or part of your investment. You should only invest an amount you are prepared to lose. In addition, you should build a diversified portfolio to spread risk and increase the chances of an overall return on your investment. If a company in which you invest goes bankrupt, neither the company - nor THE QUEST Hippodrome - will reimburse you for your investment. You may also lose out on tax benefits due to your personal situation or the company's activities.

Lack of liquidity
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Liquidity is the ease with which you can sell your shares after buying them. Shares in companies launched through THE QUEST Hippodrome are not readily saleable and are unlikely to be listed on a secondary market, such as AIM, Plus or the London Stock Exchange. Even successful companies rarely trade their shares on such a market.

Dividends rarity
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Dividends are payments made by a company to its shareholders from the company's profits. Most of the companies raising funds on THE QUEST Hippodrome are start-ups or young companies, and these companies rarely pay dividends to their investors. This means you're unlikely to see a return on your investment until you can sell your shares. Profits are generally reinvested in the business to fuel growth and create shareholder value. Companies are under no obligation to pay dividends to shareholders.

Dilution
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Any investment in shares made through THE QUEST Hippodrome may be subject to dilution in the future. Dilution occurs when a company issues more shares. Dilution affects each existing shareholder who does not purchase any of the new shares issued. As a result, an existing shareholder's proportional interest in the company is reduced, or "diluted" - affecting a number of things, including voting, dividends and value.