3 ms·
Perhaps you're arguing that the leverage ratio I used as an example was extreme, but otherwise you are wrong that "no broker would force you to sell your own eq
by rabidonrails 4y ago
Perhaps you're arguing that the leverage ratio I used as an example was extreme, but otherwise you are wrong that "no broker would force you to sell your own equity."
If there's a margin call and you don't deposit additional cash, then a broker will force a sale of the stock. "Brokers may force a trader to sell assets, regardless of the market price, to meet the margin call if the trader doesn’t deposit funds."
[1] https://www.investopedia.com/terms/m/margincall.asp https://www.investopedia.com/terms/m/margincall.asp