Investment Risk Disclosures

Investing involves risk, including possible loss of principal. Past performance does not guarantee future
results. Margin investing involves significant risk and could also lead to loss of principal.

Limited Product Shelf

We offer brokerage services to retail and institutional investors and focus on Precious and Rare Earth
Metals, Mining, Energy and Infrastructure sectors. As a result, we may recommend a limited range of
product products based on these sectors, including stocks, limited partnerships, and placements.
Because our product shelf is limited, your investment choices with us may also be limited which means
we may not recommend the lowestcost or broadest set of investment options available in the
marketplace.

Metals & Mining Sector – Risk Disclosure

General Industry Risk

Investments in metals and mining companies can involve a high degree of risk. The sector is cyclical and
highly sensitive to global economic conditions, industrial demand, and commodity price fluctuations.

Commodity Price Volatility

The financial performance of metals and mining companies is tied to the market prices of underlying
commodities (e.g., gold, copper, lithium, iron ore). These prices can be highly volatile due to factors such
as:

• Global supply and demand
• Inflation and interest rate changes
• Currency fluctuations
• Geopolitical events

Declines in commodity prices may affect revenues, profitability, and asset valuations.

Liquidity and Market Risk

Securities of metals and mining companies—particularly small- and mid-cap issuers—may:

• Trade with limited liquidity
• Exhibit high price volatility

This may impair an investor’s ability to buy or sell securities at desired prices.

Regulatory and Environmental Risks

The sector is heavily regulated in multiple jurisdictions. Companies must comply with:

• Environmental protection laws
• Land use and permitting requirements
• Indigenous and community engagement obligations

Changes in laws or failure to obtain/maintain permits may result in fines, project delays, or asset
impairment.

Geopolitical Risk

Many mining operations can be located in emerging or politically unstable regions. Risks include:

• Expropriation or nationalization of assets
• Changes in tax or royalty regimes
• Political unrest or conflict

These factors may negatively impact operations and investment returns.

Capital Intensity and Financing Risk

Mining projects generally require significant upfront capital expenditures and ongoing investments.
Companies may:

• Require external financing (debt or equity dilution)
• Face increased borrowing costs in rising interest rate environments

Inability to secure financing may delay or cancel projects.

Exploration and Development Risk

Early-stage mining companies may have:

• No revenue or cash flow
• Unproven reserves
• High dependence on successful exploration outcomes

There is no assurance that exploration efforts will result in commercially viable deposits.

Operational and Production Risks

Mining operations are subject to numerous risks, including:

• Exploration uncertainty and reserve estimation errors
• Equipment failures and operational disruptions
• Labor disputes and shortages
• Accidents, environmental incidents, and safety hazards

These risks may lead to increased costs, delays, or shutdowns.