Margin Buying

Margin Buying Buying some shares with cash, and paying for additional shares by borrowing from the stockbroker. For this a client has to open to a margin account. There are regulations on the limit up to which shares can be bought on the margin, and that limit may be changed form time to time. If the margin requirement is 585%, it means that the investor has to pay 55% of the value of purchase in cash, and can borrow only 45% of the total sum required

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