Point3 Online

There is risk in farming

Risk Policy

At Point3 Online®, we place great importance on transparency and the need for informed decision-making, especially when it comes to investments. With this in mind, we have taken the initiative to outline below some of the potential risks that may arise when investing in our crops and farms. By familiarizing yourself with these risks, you will be able to make a well-informed choice that aligns with your financial goals and risk tolerance.

It is important to note that the risks mentioned below are not an exhaustive list, but rather a comprehensive overview of the potential challenges associated with investing in our crops and farms. We strongly urge you to carefully review each risk and assess whether investing in our crops and farms is suitable for your individual circumstances.

Most of the crops currently seeking funds through our Platform are either in the early stages of cultivation or already in the process. Investing in a crop comes with inherent risks, as there is no guarantee that the crop you choose to support will yield a return on your investment, or any return at all. In fact, crop failure is a common occurrence due to various factors that vary across different farms. Moreover, crops are susceptible to a range of weather risks. However, we take proactive measures to mitigate these risks by obtaining crop insurance.

It is crucial to recognize that investing in these crops involves significant challenges and risks. The likelihood of these crops ultimately succeeding and generating value for investors is relatively low. Additionally, the liquidity of investments in these crops is generally limited.

We fully understand the importance of maintaining a professional and engaging tone. Therefore, our aim is to provide a clear understanding of the potential risks and challenges associated with investing in crops on our Platform.

General Risks

Loss of Principal

One of the most significant financial risks that investors face is the potential loss of their entire investment. Our Platform offers investment opportunities in crops that may not have a proven track record or any track record at all. This introduces a high risk of crop failure. It is important to note that a considerable number of cultivated farms are susceptible to failure due to various factors throughout the farming cycle of your investment. However, we provide Crop Insurance coverage to mitigate these risks, giving investors strong confidence in our Platform.

Furthermore, even if the crops do not become profitable, we guarantee that your initial investment principal will be returned without the profit share. The returns on investments are highly variable and can fluctuate significantly. It is crucial to understand that any potential returns you may receive after losses may not align with the figures stated on your investment receipts. Additionally, these returns may also vary in terms of amount and frequency.

Approaching these investments with a clear understanding of the risks involved is essential. While there is potential for financial gain, it is equally important to acknowledge the possibility of financial loss. Therefore, we advise you to carefully consider your investment and assess your risk tolerance before proceeding with any investment opportunities.

The loss of investment can be attributed to various factors, including both general agricultural risks and business-related risks. General risks encompass a wide range of possibilities, such as climate risks, political risks, legislative risks, and economic risks. On the other hand, business risks arise from fluctuations in market demand for the crops, commodities, products, or services offered by the Broker. Additionally, industry risks, competition risks, growth risks, employee risks, fraud risks, and revenue risks are all part of the business landscape.

Industry risks refer to the inherent risks associated with the specific business area in which the company operates. Competition risks, for instance, involve the possibility that a competitor not only operates in the same area but also possesses superior capabilities to serve customers or suppliers. Growth risks arise when a company expands too rapidly without considering the actual demand for its products or services, or when it fails to achieve the necessary growth level for success. Employee risks involve the challenge of recruiting and retaining key personnel essential for the business. Fraud risks and revenue risks, which vary from company to company, can hinder revenue realization. For example, the costs associated with new product launches or research and development expenses may be difficult to accurately budget.

It is important to note that the most significant financial risk faced by an investor is the complete loss of sponsorship. However, it is crucial to understand that this outcome is not a certainty, but rather a probability that should not be taken into account.

In the event of an unfortunate circumstance, we assure you that your principal will be promptly reimbursed within a maximum period of 90 days, without including the profit share. Our commitment to your satisfaction remains unwavering.

Risk of Dilution

Crops typically undergo multiple investment rounds, which means they are likely to secure additional capital in subsequent rounds. In these subsequent rounds, the return on investment (ROI) for new investors may be lower compared to previous investors, depending on the nature of the investment opportunity. Consequently, this can dilute the overall percentage of ROI.

Moreover, new investors participating in the latest crop investment round may enjoy certain advantages, such as preferential selling or trading prices. However, this can prove disadvantageous for investors from earlier investment rounds who may have invested in the earlier crops under less favorable terms.

It is important to note that the dilution of ROI and preferential advantages for new investors are common occurrences in the agricultural investment landscape. These dynamics can impact the overall profitability and attractiveness of investing in subsequent crop rounds.

Investors should carefully consider the potential implications of participating in later investment rounds, as they may face reduced ROI and potential disadvantages compared to earlier investors. Understanding the terms and conditions of each investment round is crucial for making informed decisions and maximizing returns.

By staying informed and conducting thorough due diligence, investors can navigate the complexities of crop investment rounds and make strategic choices that align with their financial goals.

Rarity of Return of Investment

Crops may not yield a return on investment once the farming cycle concludes, as they do not bear fruits repeatedly. However, if the chosen crop does regenerate fruits, the profits are usually reinvested into the crop or farm to foster growth and enhance return on investment. Consequently, it is improbable to expect consistent returns on your investment beyond the specified timeframe.

Risks related to Investments in Crop(s)

Excessive Rain Risk

Crops cultivated in various regions are subjected to varying levels of rainfall during the farming season. Given the unpredictability of this factor and the potential risks it poses to farms, we have implemented measures to safeguard agricultural operations through comprehensive crop insurance coverage.

In order to mitigate the adverse effects of excessive rainfall, we have developed a robust system that provides protection and support to farmers. Our crop insurance program is designed to address the uncertainties associated with unpredictable weather patterns, ensuring that farms are shielded from potential losses caused by excessive rain.

By offering this vital insurance coverage, we aim to provide farmers with peace of mind and financial security. Our comprehensive policies not only safeguard against the risks posed by excessive rainfall but also provide assistance in the event of crop damage or yield reduction due to these adverse weather conditions.

Through our proactive approach, we strive to empower farmers to continue their vital work without the constant worry of unpredictable weather patterns. Our team of experts closely monitors regional rainfall trends, enabling us to tailor our insurance solutions to the specific needs of each farming operation.

With our crop insurance program, farmers can focus on their cultivation efforts, knowing that they have a reliable safety net in place. By partnering with us, they gain access to a professional and dependable support system that understands the unique challenges they face.

In conclusion, our commitment to protecting farms from the risks associated with excessive rainfall is unwavering. Through our comprehensive crop insurance coverage, we provide farmers with the necessary tools to navigate the uncertainties of the farming season, ensuring their continued success and resilience in the face of unpredictable weather conditions.

Mitigating Drought Risks in Crop Cultivation

The cultivation of crops across diverse regions is not without its challenges, particularly when it comes to the unpredictable threat of drought. This climatic phenomenon poses a significant risk to crop growth, potentially subjecting them to perilously low levels of water. In extreme cases, the consequences can be devastating, resulting in substantial crop losses.

However, at our organization, we prioritize the protection of our farms against such adversities. We have taken proactive steps to ensure the resilience of our crops through the implementation of comprehensive crop insurance coverage. This strategic measure not only safeguards our agricultural endeavors but also provides peace of mind to our farmers.

By offering this vital protection, we aim to mitigate the potential impact of drought on our crops, allowing them to thrive even in the face of challenging environmental conditions. Our commitment to the well-being of our farms and the sustainability of our agricultural practices remains unwavering.

Together, we forge ahead, fortified by the knowledge that our crops are shielded from the uncertainties of drought, enabling us to continue providing high-quality produce to meet the demands of our valued customers.

Fire Risk

Fire outbreaks can occur at any time during the planting, maturation, flowering, or harvesting phases of a crop cycle. These incidents can be caused by various factors and have the potential to result in either partial or complete crop loss.

Wind Risk

Wind speeds fluctuate depending on the location and time of the season. In certain instances, high wind speeds, such as whirlwinds and tornadoes, can result in substantial crop damage on the field.

Enhanced wind monitoring and risk assessment are crucial for mitigating potential losses caused by these natural phenomena. By accurately gauging wind patterns and intensities, farmers and agricultural stakeholders can make informed decisions to safeguard their crops and minimize financial setbacks.

Implementing advanced technologies, such as wind sensors and predictive models, can provide valuable insights into wind behavior, enabling proactive measures to be taken. These measures may include reinforcing crop structures, adjusting planting schedules, or implementing windbreaks to shield vulnerable crops from excessive wind exposure.

Moreover, collaborating with meteorological experts and leveraging historical wind data can further enhance risk management strategies. By analyzing past wind patterns and their impact on crop yields, farmers can better anticipate potential wind-related challenges and adopt appropriate preventive measures.

Recognizing the significance of wind risk in agriculture, it is imperative for farmers to stay informed about local weather forecasts and warnings. This knowledge empowers them to take timely action, such as harvesting crops before an impending storm or securing loose objects that could become hazardous projectiles in high winds.

In conclusion, understanding and addressing wind risk is vital for maintaining a resilient and profitable agricultural sector. By embracing innovative technologies, collaborating with experts, and staying vigilant, farmers can effectively mitigate the potential crop losses caused by high wind speeds, safeguarding their livelihoods and contributing to a sustainable food supply.

Mitigating Disease and Pest Risks

The cultivation of crops on our platform is not without its challenges, as we face a multitude of potential pests and diseases. However, we remain steadfast in our commitment to effectively manage these risks through a comprehensive range of strategies. To ensure the well-being of our crops, we rely on the invaluable guidance of local agronomists who possess deep knowledge of the region’s agricultural landscape. These experts provide farmers with tailored advice on the optimal selection and application of pesticides and chemicals, enabling them to combat pests and diseases with utmost precision and efficacy. By leveraging their expertise, we strive to safeguard the health and productivity of our crops, ensuring a sustainable and thriving agricultural ecosystem.

Different costs involved

Before investing in crops, it is crucial to comprehend all the fees and charges that you might be accountable for. Additional tax obligations, transaction costs, duties, charges, or capital controls under foreign laws could apply to each crop purchase. These charges have the potential to affect your return on investment (ROI), if applicable, or potentially amplify your losses on the investment.

Currency Risk

It is important to be aware that the crops you invest in may be denominated in currencies different from your home country’s currency. Additionally, while the investments available on our Platform are displayed in currencies supported by our service, there may be instances where we can accept investments in different currencies than what you are familiar with.

As a result, the investment you make and the returns you receive for a crop may be denominated in various currencies. This requires conversion, which often leads to changes in the investment amount due to rounding and conversion costs.

In all of these cases, your investment returns will be influenced by fluctuations in exchange rates, exposing you to foreign currency risk. Currencies can either depreciate or appreciate in value against each other, potentially reducing or increasing the value of your investment in foreign currency terms. Furthermore, currencies may be devalued or revalued, and countries may impose restrictions on capital movement. Any of these events or restrictions can have a negative impact on the value of your investment or your ability to invest in crops in foreign currencies.

It is also worth noting that your payment service provider may charge fees for converting funds into foreign currency or for making payments in foreign currencies.

We understand the importance of providing you with a clear understanding of the potential risks associated with currency fluctuations. By being aware of these risks, you can make informed investment decisions and take appropriate measures to mitigate any potential adverse effects.

Please feel free to reach out to our customer support team if you have any further questions or concerns regarding currency risk. We are here to assist you in navigating the complexities of international investments.

Risks Associated with Farming and Trading

At our company, we allocate your funds to verified farmers who work on your behalf, cultivating and trading crops after harvest. We offer these services as Brokers of the Ghana Commodity Exchange, operating within the framework of laws and regulations. While Brokerage arrangements and services are well-established and commonly utilized under the Ghana Commodity Exchange and Ghana Law, it is important to note that other jurisdictions may not always recognize Broker investor relationships.

Consequently, the act of farming and trading collectively for investors may have adverse effects on our ability to exercise rights associated with the relevant crops or respective investors. We may also become subject to rules that restrict the types of crops we can farm and trade on behalf of our investors. While we take all necessary precautions to safeguard against crop loss, there is still a risk of human error or encountering a rogue farmer or fraudulent activity, which could potentially result in a loss of investments.

We understand the significance of these risks and are committed to mitigating them to the best of our abilities. Our team diligently monitors and manages the farming and trading processes, ensuring compliance with all applicable laws and regulations. We continuously strive to maintain the highest standards of professionalism and transparency in our operations.

By investing with us, you can be confident that your funds are being managed by experienced professionals who are well-versed in the intricacies of the farming and trading industry. We prioritize the security and success of your investments, and our track record speaks for itself.

Risks related to Trading

Low Liquidity

Although certain crops can be traded on the Open Market or the Commodity Exchange, there is no guarantee of active trading, formation, or sustainability. Trading a harvested crop may present difficulties, including but not limited to, lack of demand or supply, and volatile and unpredictable price movements in investments on the Platform. Consequently, you may encounter challenges in selling your investments promptly or at the expected price level. All Trades concluded under the matching of investors’ orders on the Marketplace will be governed by USA Law on the open market and Ghana law on the Ghana Commodity Exchange.

In our pursuit to operate the Platform globally and provide liquidity to investors worldwide, investors from outside Ghana may access and utilize the Platform services directly or indirectly through the relevant Point3 Online® entity, of which they are clients. While we have endeavored to regulate the trading process through the Marketplace Rules to ensure fair and orderly trade-making, it is important to note that we cannot anticipate all situations that may arise during trading. Some of these situations may not be covered by the Marketplace Rules and may be subject to provisions of Ghana law.

If you are unfamiliar with Ghana law in general, and specifically as it applies to and governs the Ghana Commodity Exchange, it is crucial to acknowledge that there may be unforeseen legal consequences.

Counterparty Risk

At Point3 Online®, we take pride in trading on your behalf. However, it is important to note that there is no guarantee fund or other arrangements in place to cover any potential financial losses that Point3 Online® may incur on the Open Market or the Ghana Commodity Exchange.

To ensure a secure and orderly trading experience while minimizing counterparty risk for our investors, we have implemented a meticulous process. Before engaging in farming, harvesting, and trade, we diligently secure off-takers and sign contracts. This approach not only safeguards the interests of all parties involved but also promotes a smooth and efficient trading environment.

It is worth mentioning that Point3 Online® reserves the right to purchase your harvest once your farming cycle concludes. Rest assured, we are committed to promptly paying you your principal and returns.

By prioritizing risk management and establishing transparent procedures, Point3 Online® strives to provide a reliable and trustworthy trading platform for our valued clients.

High volatility

As Point3 Online® plays a significant role in determining the overall market for commodity trading, it is crucial to recognize that the price agreed upon in any trade on the Open Market or the Ghana Commodity Exchange Marketplace may not necessarily reflect the fair value of the commodity. This is due to the potential for significant price fluctuations.

However, it remains imperative to ensure that trading is conducted fairly and that prices are determined accurately. Point3 Online® has implemented robust systems and controls to identify and prevent trades that could result in losses for investors after the harvest. It is important to note, however, that these measures do not completely eliminate the risk of incurring losses.

It is essential for you to be aware that while these systems and controls aim to mitigate the risks associated with trading volatility, they cannot entirely eliminate them.

Asset Specific Risks

Syndicated Investments

Most of the investment opportunities available through our Platform are facilitated by group farmers who receive essential resources such as ploughing equipment, seeds, fertilizer, weedicides, pesticides, and extension services. These provisions enable them to farm with reduced stress and increased chances of success. While the farms are owned by the farmers themselves, any surplus crops produced are owned by the Point3 Online® entity on behalf of the investor. It is important to note that unless explicitly stated, investing in these opportunities does not grant you direct ownership or shareholder status in a farm.

On our platform, investments in a single issuer are structured and organized accordingly. Syndicated investments are treated as a single investor rather than a group of investors. To participate in an investment in a crop or farm, each investor must create an account. In the event of a dispute, Point3 Online® will only recognize the individual details provided on the platform, disregarding any multiple investors who may have collaborated to create a single account.

To ensure a comprehensive understanding of the risks involved, we strongly advise you to carefully review all the materials available on the specific campaign page. By doing so, you can make an informed assessment of the potential risks associated with your investment.


Different types of collective investment schemes carry varying levels of risk depending on the geographical region, industry sector, and stage of crops in which they invest. Therefore, it is crucial to thoroughly understand the nature, risks, and investment policy of the specific campaign before investing in a crop or farm. Additionally, it is important to assess whether the duration of the crop, start date, end date, and payment window align with your preferences.

Funds paid prior to the commencement of the selected crop campaign contribute to the overall pool of funds for farming and the buying and selling of the same crops listed on Point3 Online®. These activities are continuously ongoing, both before and after the stated dates of the crop campaign. Consequently, the funds paid before the farm campaign begins do not remain idle in the pool. Instead, they are exposed to all the aforementioned risks and are safeguarded by the mitigation policies implemented by Point3 Online® to protect all funds.

If any of the risks associated with this investment make you uncomfortable, it is advisable to refrain from investing in crops on Point3 Online®.


Investments are considered as funds and are made available for a crop/farm requiring the funds. Investments enable farmers to have the needed capital to expand or grow more crops. At harvest, Point3 Online® collects a fixed number of bags of the commodity which are at a lower market price. They are then sold on the open market or the Ghana Commodity Exchange to pay back investors. They are generally considered to be the most stable option as compared to loans etc. They may still involve significant risks as listed above and clear mitigation lines. If you are uncomfortable with any of the risks involved and mitigation measures, you should not invest in a farm.

We have taken measures to mitigate the risks that may arise from the use of the Platform. However, we cannot make any assurances that the risks described and detailed or any other risks will not materialize. You should seek independent professional advice if you do not fully understand the risks of investing through the Platform.

Additional Disclosures For Investors In Ghana and Other Countries who Invest in crops on Point3 Online®

To ensure compliance with regulations, GFM offers a range of services through its Platform. These services are made accessible to you, taking into account the exemptions provided under sections 2.1, 3.14, and 4 of the Ghana Commodity Exchange Rules. For detailed information on these rules, please refer to the link provided:


As defined by the Securities and Exchange Commission (SEC) found here:



SEC which derives it powers from:


Please be aware that the regulatory requirements from which we are exempted when dealing with you as an individual investor or institutional investor may be subject to amendments and updates due to regulatory changes or other factors. Any such changes will be duly reflected on our platform.