Backpack Trader

Risk

Backpack Trader LLC

Risk Disclosure & Disclaimer Agreement

Last Updated: July 3, 2026

1. High-Risk Warning

Trading futures, options on futures, foreign exchange (forex), equities, and related financial instruments carries a substantial risk of loss and is not suitable for every investor. An investor could potentially lose all or more than their initial investment.

Leverage is a double-edged sword: while it can magnify gains, it can equally magnify losses. You must be aware of the risks and be willing to accept them in order to invest or trade in these markets.

Important Capital Notice: Only risk capital should be used for trading. Risk capital is strictly defined as money that can be lost without jeopardizing your financial security, credit rating, or lifestyle. Do not trade with money you cannot afford to lose.

2. Educational and Informational Purposes Only

Backpack Trader LLC is an educational publisher and trading technology provider. Backpack Trader LLC, its authors, instructors, and representatives (including Troy Noonan) are not registered investment advisers, commodity trading advisors (CTAs), or broker-dealers with the U.S. Securities and Exchange Commission (SEC), the Commodity Futures Trading Commission (CFTC), or any state regulatory authority.

  • No Personalized Advice: None of the content, tools, strategies, algorithms, signals, or indicators provided by Backpack Trader LLC constitutes a recommendation to buy, sell, or hold any security or financial instrument.
  • Self-Directed Trading: All trade plans, live trading room commentary, or example setups are intended strictly to illustrate educational methodologies. Any trades you place are entirely at your own risk and discretion.

3. CFTC Rule 4.41 – Hypothetical and Simulated Performance

Historical performance results, whether presented on this website, in marketing materials, or within training modules, have certain inherent limitations.

CFTC RULE 4.41: HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER- OR OVER-COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.

Past performance—whether real, simulated, or hypothetical—is not necessarily indicative of future results.

4. Technical, System, and Liquidity Risks

When using trading software, automated strategies, or custom indicators, you agree to accept the technical risks associated with electronic trading systems:

  • System Failure: Hardware failure, internet disconnections, software glitches, or API latency can cause delays in order execution or unexpected entries/exits. Backpack Trader LLC is not liable for financial losses caused by technical malfunctions.
  • Market Liquidity & Slippage: Under certain volatile market conditions, it may become difficult or impossible to liquidate a position at your desired price. Stop-loss orders do not guarantee execution at the exact specified price due to market gaps or slippage.

5. Day Trading & Strategy Implementation Risks

If you apply any educational concepts from Backpack Trader LLC to intraday trading, you must acknowledge the heightened risks of high-frequency execution:

  1. Aggressive Capital Demands: Day trading typically requires an extensive depth of knowledge, consistent market monitoring, and rapid decision-making.
  2. Transaction Costs: High volume or frequent trading generates substantial commissions and platform fees, which can severely impact or eradicate potential net profits.

6. Testimonials and Earnings Disclaimer

Testimonials appearing on Backpack Trader LLC web properties reflect the individual experiences of specific students or users. They are individual, non-verified results, and Backpack Trader LLC does not claim or imply that they represent typical or average student outcomes. Trading is a skill that requires practice, emotional discipline, and strict risk management. Most retail traders lose money.

7. Indemnification and Liability Agreement

By accessing the tools, courses, websites, and data services offered by Backpack Trader LLC, you acknowledge that you remain the sole executive officer (“CEO”) of your own trading choices. You expressly release Backpack Trader LLC, its managers, members, and affiliates from any liability, financial claims, or losses arising from your execution of any strategy taught within our educational framework.