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with mostly borrowed money
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∙ 11y ago
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Buying stocks on credit is called?
margin
The purchase of stocks and bonds is?
buying on margin
The practice of buying stocks with an initial down payment of only 10 percent of the stock price was known as?
buying on margin
What does stocks on margin mean?
05/08/08 Buying on margin means that you are buying your stocks with borrowed money_______________________________________________________________It means that you've borrowed money to finance your stock purchase. This is very risky and may lead to a margin call if the share price declines.
What is buying stocks with loans from brokers called?
This is called Margin Loan or Margin Buying. Attention! Please don't just put smiley faces, it's annoying when someone needs the answer!
Buying stocks on credit is called?
margin
The purchase of stocks and bonds is?
buying on margin
Buying stocks on the chance of a quick profit without considering risks is known as?
buying on margin.
The practice of buying stocks with an initial down payment of only 10 of the stock price was known as?
buying on margin
The practice of buying stocks with an initial down payment of only 10 percent of the stock price was known as?
buying on margin
What does stocks on margin mean?
05/08/08 Buying on margin means that you are buying your stocks with borrowed money_______________________________________________________________It means that you've borrowed money to finance your stock purchase. This is very risky and may lead to a margin call if the share price declines.
What is buying stocks with loans from brokers called?
This is called Margin Loan or Margin Buying. Attention! Please don't just put smiley faces, it's annoying when someone needs the answer!
Explain why buing on margin can be a profitable system?
Buying on margin is profitable in a bull market especially when the stocks pay a high dividend.
Which of these describes the process in which investors can buy stocks worth much more than they have to pay for them?
buying on margin A+
What is wrong with buying stock on margin?
There is nothing wrong in buying stocks on margin. What the investor must recognize is that there is more risk involved. Aside from the purchased stocks going down, the added burden is having to pay interest on the borrowed funds or the "margin". The other danger is that an investor using margin can buy more stocks. Over speculation can either vastly be beneficial or be a personal income disaster.
When would an investigator not want to purchase stocks by buying on margin?
When he anticipate high volatility as it may lead to squaring of his stocks or positions due to decrease in minimal margin to support the position.
How did buying on margin allow more people to invest in market?
Buying on margin allow people to buy more stocks with only a fraction of the cash needed to buy those stocks. These allowed more people to invest in the stock market that would not afford to come up with the full cash to buy the stocks in question.
