I never use margin, which is borrowing money to invest for stocks.
While using margin can turbo charge or amplify gains, it can also quickly eliminate equity if the stock drops, resulting in a margin call which is a request for more funds to meet maintenance requirements or 100% liquidation of the stock or other position. That is just too much stress and anxiety for me. A stock falling 20% is enough anxiety for me; I don't need the additional stress of being required to deposit more funds or get liquidated.
I guess I'm never going to make billions, like Leopold Ashenbrenner. Then again, I won't get margin called and lose billions either, like what happened in July 2026.
This is not financial, stock investment, nor margin use advice. Please consult a professional advisor.
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