What is the Margin amount and how it is useful in trading?
Investors must put up a certain amount of money or securities with their broker as "margin" to cover some of the financial risk that comes with their trades. It lets buyers borrow money from the broker to buy greater quantities and get a better return on their investments. Margin trading is a legitimate risk and rewards investing proposition. Margin (Leverage) offers flexibility to traders, who use the strategy to take advantage of market opportunities by borrowing money from their brokerage firms to buy stocks that they may otherwise not be able to afford.
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