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Alekssandra [29.7K]
3 years ago
7

What does buying a stock on margin mean

History
1 answer:
harkovskaia [24]3 years ago
4 0

Answer:

You're in luck because surprisingly I know a thing or two about it.

So, basically buying a stock on margin means to borrow money from a broker to purchase stock. Think of it as a loan from your brokerage. Margin trading actually allows you to buy more stock than you normally would be able to. To trade on margin, though, you need a margin account, and a minimum of at least $2,000 is required to open one.

Hope I helped :)

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