All Questions
4
questions
2
votes
0
answers
42
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Can you withdraw capital gains from a stock sale and still deduct interest on the original cost basis?
Say you borrow 50k and buy 100k of shares.
Then the stock rises to 100k
You sell half and cancel out the loan, but also have 50k of capital gains.
If you withdraw the 50k gain to maintain the original ...
- 21
0
votes
2
answers
1k
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Do I earn interest when shorting stocks?
Suppose I short 100 shares of a $5 stock. My cash balance will be +$500 due to the short position. Does this $500 earn any interest?
I have heard two opposing answers:
The $500 earns interest, and I ...
- 17.1k
1
vote
1
answer
821
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When is margin interest charged?
Let's say that I have a margin account at a major broker like TD Ameritrade or Interactive Brokers. I am trying to calculate what my cost would be to use margin and I would also like to know when it ...
- 205
0
votes
4
answers
2k
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Is 6% too high to trade stocks on margin?
Lets assume I understand the risk of trading on margin and that I can lose the money.
My question is if 6% is too high? I do have dividend paying stocks that could almost cover the monthly interest ...
- 436