What is Margin Trading?
To acquire more buying power from borrowing money from Longbridge for more profit, but also, at the same time, will take more risks.
Increased purchasing capacity beyond your available cash
Competitive financing ratio
Unlock additional purchasing capacity with your existing stocks as collateral
Risks you need to know about margin trading
- · Involves taking on higher risks for higher returns
- · Accumulation of financing charges has the potential to diminish your profits and escalate the overall cost involved
- · Potential liquidation risk during times of volatile market fluctuations