3 Strategies for Using Margin

Trading Leverage

Trading with leverage is one strategy you can use in attempt to increase your returns. Because trading with borrowed funds increases your market exposure, there is a potential for increased gains as well as increased losses.

Personal Loans

Because they're typically easier to access and can have lower interest rates, margin loans are becoming an increasingly popular part of individual financial strategies. After you've been approved for a margin account, you can borrow against your marginable assets without extra paperwork, credit checks or approvals and use the funds to meet your personal needs.

Risk Management

Margin can be used to manage risk either through employing hedging strategies or just generally increasing the overall diversification of your portfolio.