RE:RE:RE:RE:1970CraigMargin rates at TD, last I checked on Oct 6'21 were:
CAD$ Margin accounts:
3.75% on 25K or under
3.5% on 25K to 100K
2.75% over 100K
US$ Margin Accounts:
4.5% on 25K or under
4.25% on 25K to 100K
3.75% over 100k
You can borrow money from your home equity line of credit, and put it into your margin account.
The interest you pay on your LOC is deductable. Based solely on the cash or the value of your stocks held in your margin account, the bank lends you more or less depending on the stock you buy. SU is good, 70%. XEG is good, 70%. Most others are 50% or less, but must be over $3.
Margin interest you pay is charged monthly, and paid from your margin accounts, which is also deductable as is your trade fees.
Since the oil crash, I have been on full margin, adding positions when I have margin available, and selling accordingly when it drops, forced to take profits on some positions to prevent margin calls. I started relatively small, but have slowly grown it over the last 11 months, exponentially. Now, I have borrowed about 3 million $CAD on margin, but I am also up about 2.3 million in profits in all accounts to date in 2021, now holding about 6 million in CDN oil positions all together at present, nothing else. The power of margin works well if you catch the market in the right direction. It also works very hard against you if it goes the wrong way, so you want to be very confident in your position, and accept the risk.
Cheers
1970Craig wrote: Just to be perfectly clear. I 100 percent agree with you and I also see your sense of humour witch I have made known .....as you know !! . Just my opinion but I think your humour is funny as &$@k. ! People need to lighten up and have a little fun. What makes the board good and not boring is a difference of opinion. !!
Anyway I have been thinking of getting my account set up for margin. I think my line Can be used as well and I can write that off the same way ? Correct ?
So here is the interesting part , I absolutely agree with having dry powder , it allows you to sleep better , and as you said it allows us to keep the ACB check . Gets the diivy higher too !!!
It would just take to long to type , but my senses , my brain , and my gut all say there is going to a nice correction in the rest of the market . It doesn't matter if it does or not I just think this market , it's new highs in a economy that's got Bottle necks , labour force isses, governments printing money , people getting paid to be at
home, and a word wide pandemic ???
So the markets are all new highs and I don't know how that is or why that is ?
I just think the piper is coming at some point ? That's what my dry powder is for , and sleep !!
Appreciate your posts
Craig