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They 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 downturn
by gen220 2y ago
They 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.