Buying on margin

Buying on margin,

Definition of Buying on margin:

  1. The buying power an investor has in their brokerage account reflects the total dollar amount of purchases they can make with any margin capacity. Short sellers of stock use margin to trade shares.

  2. Purchasing an asset by making a down payment (called the margin) and financing the balance amount through a loan by using the asset as the collateral (such as in a mortgage loan). In securities trading, only a down payment is required because the value of the securities themselves (which remain in the possession of the broker or seller) fully collateralizes the unpaid amount.

  3. Buying on margin occurs when an investor buys an asset by borrowing the balance from a bank or broker. Buying on margin refers to the initial payment made to the broker for the asset—for example, 10% down and 90% financed. The investor uses the marginable securities in their broker account as collateral.

How to use Buying on margin in a sentence?

  1. If your account falls below the maintenance margin, your broker can sell some or all of your portfolio to get your account back in balance.
  2. Buying on margin means you are investing with borrowed money.
  3. Buying on margin amplifies both gains and losses.

Meaning of Buying on margin & Buying on margin Definition

Buying On Margin,

Definition of Buying On Margin:

Buying On Margin means, Minor purchases are when an investor buys an asset with a balance from a bank or broker. Minor purchase refers to the initial payment of an asset to a broker, for example. B. 10% deposit and 90% financing. The investor uses the margin in his brokerage account as a collateral.

  • When you buy with a margin, you invest with borrowed money.
  • Buying at a margin increases the profit and loss.
  • If your account is being maintained, your broker may sell all or part of your portfolio to recover your balance.

Literal Meanings of Buying On Margin


Meanings of Buying:
  1. Receive in return for payment.

  2. Accept the truth about

  3. shopping.

Sentences of Buying
  1. Buy six premium stamps

  2. Alcohol can rarely be purchased at duty free stores.

Synonyms of Buying

purchase, make a purchase of, make the purchase of, acquire, obtain, get, pick up, snap up, accept, agree to, consent to, assent to, acquiesce in, concur in, accede to, give one's blessing to, bless, give one's seal of approval to, give one's stamp of approval to, rubber-stamp, say yes to, deal, bargain, investment, acquisition, addition, gain, asset


Meanings of On:
  1. Physically touched and assisted (surface)

  2. Forms a stretched or marked part of (the surface of an object)

  3. Make (mentioned) your article.

  4. As a member (of a committee, jury or other body)

  5. Keep it as your goal, objective or goal.

  6. It is a means of transferring or storing information (above).

  7. During the trip)

  8. Find out the day or part of the day on which an event occurs.

  9. To participate in

  10. Drink regularly (medicine or medicine)

  11. By payment

  12. Add to

  13. Physically in contact and through the surface.

  14. Indicates the continuity of a movement or action.

  15. (Entertainment or other program) Progress or presentation.

Sentences of On
  1. There is a jug of water on the table

  2. Itching on the arm

  3. Career book

  4. You can serve on a committee

  5. Five airstrikes in the city

  6. Write down your thoughts on paper

  7. He is going to visit his mother

  8. Reported September 26

  9. Her partner was shopping

  10. Take morphine to relieve pain

  11. Drinks are available to you

Synonyms of On

regarding, concerning, with reference to, referring to, with regard to, with respect to, respecting, relating to, on, touching on, dealing with, relevant to, with relevance to, connected with, in connection with, on the subject of, in the matter of, apropos, re, interminably, at length, for a long time, continuously


Meanings of Margin:
  1. The edge or edge of something.

  2. The amount by which something wins or loses.

  3. Specify a limit or margin.

  4. Deposit money to the broker as a suicide attack for (account or transaction).

Sentences of Margin
  1. East coast of the Indian Ocean

  2. Convinced win by 17-point advantage

  3. The leaves have a yellow color

  4. The new agreement is different from the result of the previous agreement

Synonyms of Margin

edge, side, bank, verge, border, perimeter, brink, brim, rim, fringe, boundary, limits, periphery, bound, extremity, gap, majority, amount, difference, degree of difference, measure of difference