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bussinessman

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📉💥 What’s a Margin Call? Let’s Break It Down! 💥📉 So you’re trading stocks and using borrowed money (aka “buying on margin”) 💸📈 That means you’re using some of your own cash + some from your broker to invest. But uh-oh… the market dips 📉 and your investment loses value 😬 👉 Suddenly, your broker says: “Hey! You need to add more money or we’ll sell your stuff!” That’s a margin call 🚨 🧮 How It Works: 1. You buy $10,000 in stocks• $5,000 is yours 💰 • $5,000 is borrowed from your broker 🏦 2. Stock value drops to $6,000 😱• Your equity is now only $1,000 • Broker wants you to have at least $1,500 (maintenance margin) ⚖️ 3. You get a margin call 📞• Add $500 more 💵 • Or sell some stocks to cover the loss 🧾 #trading #bussinessman
📉💥 What’s a Margin Call? Let’s Break It Down! 💥📉

So you’re trading stocks and using borrowed money (aka “buying on margin”) 💸📈
That means you’re using some of your own cash + some from your broker to invest.

But uh-oh… the market dips 📉 and your investment loses value 😬

👉 Suddenly, your broker says:
“Hey! You need to add more money or we’ll sell your stuff!”
That’s a margin call 🚨

🧮 How It Works:

1. You buy $10,000 in stocks• $5,000 is yours 💰
• $5,000 is borrowed from your broker 🏦

2. Stock value drops to $6,000 😱• Your equity is now only $1,000
• Broker wants you to have at least $1,500 (maintenance margin) ⚖️

3. You get a margin call 📞• Add $500 more 💵
• Or sell some stocks to cover the loss 🧾

#trading #bussinessman
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