What is Margin? | What is a Margin Account? | What is Margin Trading?



What is Margin is a question many retail investors ask along with what is a margin account and what is margin trading. Today I am going to tell you what margin is along with what is a margin account and what is margin trading. A brokerage account is very different from what is margin account and on the financial education channel we know this. Margin trading can be scary so be prepared and you must have a margin account to do that.

Comments

  1. Cash account is the safest if you want to insure yourself against owing financial institutions borrowed money. That you don't have to worry about margin calls at any point.
  2. Good, i'm glad you explain it straightforward without trying to impress people with a bunch of lingo. 100 to 100, easy to pick up. thanks. (don't know if i'll start a margin though, I won't even allow overdraft in my bank account, lol)
  3. Most Brokerages don't give 100% margin... It is more commonly 10%!
  4. Great explanation. Subscribed.
  5. Great explanation. Thank you Jeremy. Are you planning to make a video regarding Robinhood app? I would love to hear your opinion on that. take care!
  6. I dig it. I like the way you explain things.
  7. thank you , you have answer my question ...
  8. Subbed. You're one of a few YouTubers who can actually explain shit without rambling. This channel will be huge.
  9. If i have a margin account, do i have to use the borrowed funds? Or can i use only my money in the account? And if i do not use the borrowed funds, then do i still need to pay interest for not using it?
  10. Great video! So this is pertaining to stock trading and NOT options trading when you have a margin account? My intention is only to trade options-no stocks. However, in order to get full use of options trading using Think or Swim platform, they say I need a margin account. What gives?
  11. I do not need a margin account. Not good. I see this in Asian countries all the time. Not a good account to be in.
  12. is buying an ETF on margin a bad idea if you want to go long with that ETF?.
  13. Thank you So much !
  14. If I have $1,000 cash in my margin account. I buy stocks with it all. Then I sell all the stocks and make say $50. My $1050 isn't available for me to use for 3 days.
    So the next day I see a stock for a good price and I decide that I will borrow (margin) money and invest $1,000 from my margin account. 2 days later my original $1,000 is available (or I sold the second batch of stock at a profit); anyway 2 days later I pay my loan.
    What would be the interest amount if the interest rate is say 4%?
  15. So can u only use put and call options on a margin account?
  16. Really it is a brilliant teaching/lecturing style!.
  17. Very good. U seemed to me like an retired accountant
  18. so you would say margin long term at least be able to cover the 8 to 9 % a year, you said month, isnt it year? and if not the use it to make quick deals.
  19. that was very helpful, thank you


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