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To: lifeisgood who wrote (99047)1/5/2008 12:02:47 AM
From: GSTRead Replies (3) | Respond to of 306849
 
Leveraging and borrowing amount to the same thing.



To: lifeisgood who wrote (99047)1/5/2008 7:19:15 AM
From: Dan3Respond to of 306849
 
Re: What's the difference between leveraging and borrowing?

If you borrow, your losses are limited to your investment plus costs and fees.

If you leverage, say by buying or selling futures, your losses can be a large multiple of your investment.

Borrowing is a method of leveraging. In both cases, you may also have gains. I woke up too early for a Saturday and had too much coffee. ...better kill off this stream of semi-consciousness before it's too late!

:-)


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