buying stock on marging

简明释义

限界购股

英英释义

Buying stock on margin refers to the practice of borrowing money from a broker to purchase shares, allowing an investor to buy more stock than they could with just their available cash.

买入保证金股票是指从经纪人那里借钱购买股票的做法,这使得投资者能够购买比他们仅用可用现金更多的股票。

例句

1.Many investors are interested in buying stock on margin because it allows them to leverage their investments.

许多投资者对买入保证金股票感兴趣,因为这使他们能够利用投资。

2.By buying stock on margin, you can increase your potential returns, but also your potential losses.

通过买入保证金股票,你可以增加潜在收益,但也会增加潜在损失。

3.She decided against buying stock on margin after reading about the risks involved.

在了解相关风险后,她决定不买入保证金股票

4.He was excited about buying stock on margin until he realized how quickly debts could accumulate.

他对买入保证金股票感到兴奋,直到意识到债务可能迅速累积。

5.The brokerage firm offered a low interest rate for buying stock on margin, making it an attractive option.

经纪公司为买入保证金股票提供了低利率,使其成为一个有吸引力的选择。

作文

Investing in the stock market can be an exciting yet risky endeavor. One strategy that investors often use is buying stock on margin. This method allows investors to borrow money from a brokerage to purchase more shares than they could with their own capital alone. Essentially, it amplifies both potential gains and potential losses. Understanding how buying stock on margin works is crucial for anyone looking to navigate the complexities of the stock market.When an investor decides to buy stock on margin, they typically need to open a margin account with a brokerage firm. This account differs from a standard trading account because it allows the investor to borrow funds against the value of their existing investments. The brokerage sets a minimum amount of equity that the investor must maintain in the account, known as the maintenance margin. If the value of the investor's stocks falls below this threshold, they may receive a margin call, requiring them to deposit more funds or sell off some of their assets to cover the losses.The appeal of buying stock on margin lies in the potential for increased returns. For example, if an investor has $10,000 and borrows an additional $10,000, they can invest a total of $20,000. If the stock appreciates by 20%, the investor’s total investment would grow to $24,000, yielding a profit of $4,000. However, if the stock declines by 20%, the investor could face significant losses. In this case, the value of the investment would drop to $16,000, but the investor still owes the original $10,000 borrowed, resulting in a net loss of $4,000. This illustrates how buying stock on margin can lead to greater volatility in an investor's portfolio.Moreover, interest rates on borrowed funds can also impact the profitability of buying stock on margin. Brokerages charge interest on the amount borrowed, which can eat into profits if the investments do not perform well enough to cover these costs. Therefore, investors must carefully consider the potential risks and rewards before engaging in this strategy.In conclusion, buying stock on margin can be a powerful tool for investors seeking to leverage their capital, but it requires a thorough understanding of the associated risks. While the potential for higher returns is enticing, the possibility of amplified losses is a serious consideration. Investors should conduct extensive research, establish clear risk management strategies, and ensure they are financially prepared to handle the ups and downs of margin trading. Ultimately, informed decision-making is key to successfully navigating the world of margin investing.

投资股市可以是一项令人兴奋但又充满风险的事业。投资者常用的一种策略是保证金买入股票。这种方法允许投资者向经纪公司借钱,以购买比他们自己资金更多的股票。实际上,它放大了潜在的收益和潜在的损失。理解保证金买入股票的运作方式对任何希望驾驭股市复杂性的人来说都是至关重要的。当投资者决定保证金买入股票时,他们通常需要在经纪公司开设一个保证金账户。这个账户与标准交易账户不同,因为它允许投资者以现有投资的价值为抵押借款。经纪公司设定了投资者必须在账户中保持的最低权益金额,称为维持保证金。如果投资者股票的价值跌破这个阈值,他们可能会收到保证金追缴通知,要求他们存入更多资金或出售一些资产以弥补损失。保证金买入股票的吸引力在于潜在的更高回报。例如,如果一个投资者有10,000美元并借入额外的10,000美元,他们可以总共投资20,000美元。如果股票上涨20%,投资者的总投资将增长到24,000美元,利润为4,000美元。然而,如果股票下跌20%,投资者可能面临重大损失。在这种情况下,投资的价值将下降到16,000美元,但投资者仍然欠原先借入的10,000美元,导致净损失为4,000美元。这说明了保证金买入股票如何导致投资者组合的更大波动性。此外,借款的利率也会影响保证金买入股票的盈利能力。经纪公司会对借款金额收取利息,如果投资表现不佳,这些成本可能会侵蚀利润。因此,投资者在进行这一策略之前必须仔细考虑潜在的风险和回报。总之,保证金买入股票可以成为寻求利用资本的投资者的强大工具,但这需要对相关风险有透彻的理解。虽然更高回报的潜力令人心动,但放大损失的可能性也是一个严重的考虑因素。投资者应该进行广泛的研究,建立明确的风险管理策略,并确保他们在财务上准备好应对保证金交易的起伏。最终,明智的决策是成功驾驭保证金投资世界的关键。

相关单词

buying

buying详解:怎么读、什么意思、用法