3 ms·
The thing I don’t get is, what if these guys get margin called in the middle of a big crisis? Don’t they get liquidated like everyone else?
by rib3ye 2y ago
The thing I don’t get is, what if these guys get margin called in the middle of a big crisis? Don’t they get liquidated like everyone else?
- gen220 2y agoThey do get margin called. Usually they don’t do it for all of their assets, but only a portion needed to fund their lifestyles. In huge and persistent downturns there are always a few who get wiped out by this kind of risky behavior, though, if they aren’t well-diversified.