Trading for Women | |
Title: | Trading for Women |
URL: | https://www.dumbbitchtrades.com/ |
Description: | The risks of margin trading for new traders is high. But, high risk also has higher return. If yes, did it sound appealing to you? So just how do you minimise the risk and maximise the upside. This article is for those who are interested in knowing what margin trading is and the risks of investing in stocks on margin. Get comfy and beware of the waves. What is margin trading? Essentially, margin trading is borrowing an amount of money at a lower interest rate from the broker to buy stocks that might leverage your profit. To put in a few words, trading with borrowed money. This kind of trading is for those who want to bit more than they can chew. Margin traders can get really aggressive and buy more shares than their funds allow. This whole process is just like a contract with your broker – they borrow money at lower rates and lend this money to you at slightly higher rates. This money will work as extra funds so that you buy stocks that you wouldn’t be able to buy otherwise. |