Search results “Buying leveraged etfs on margin”
Death by Leveraged ETFs - Warning About Exchange Traded Funds!
Exchange traded funds (ETFs) are just like stocks, but there is a major problem with them. Subscribe: https://www.youtube.com/user/PeterLeedsPennyStock Do not buy or sell any ETF until you watch this warning. Subscribe to our channel, to learn more about investing, penny stocks, and profits from high-quality, low-priced shares: https://www.youtube.com/user/PeterLeedsPennyStock ETFs are a lot like a mutual fund, in that they hold a group of investments (stocks + bonds). The beauty is that they trade just like stocks, and have lower commissions, and you can trade any time. Each ETF is designed to mimic a specific investment or group of investments. So, for example, GLD attempts to copy the movements of gold prices. If you think gold will go higher, you can buy GLD. If you believe the economy of Africa will grow, you could buy AFK, if you want more exposure to Germany, you could purchase EWG, and so on. Warning number 1, and this isn't what I need to tell you about in this video, sometimes trading can be thin, so use limit orders rather than market orders if you are going to trade them, especially true in the very early or very last trading minutes each day. Anyway, here is the problem with ETFs which can cost you a huge amount of money. ETFs are actively managed, being continually rebalanced so that their holdings reflect the intention of the ETF. For example, INDA is meant to mirror the action of a wide range of companies in India. It involves 85% of the Indian stock market, and needs to be adjusted on a daily basis to make sure it is staying true to its purpose. With these adjustments comes a small management fee. Typically this expense will be very small, usually a fraction of a percent, and is typically less than a common mutual fund. - straight-up ETFs are pretty good, but leveraged ETFs will destroy your investment. - if tracking oil prices, USO will move very similarly to oil. If oil goes up 10%, the ETF may only rise 9.8%. This slight loss is barely noticeable, and it is called slippage. Not a huge deal, but this happens every day. When you get into leveraged ETFs, this becomes a major problem. For example, UWTI is designed to provide 3 times the return of WTI oil. If WTI goes up 1%, UWTI tries to rise 3%. Likewise, if WTI falls 1%, UWTI would fall about 3 times that much. The problem is slippage. In reality if WTI rises 2%, UWTI is designed to climb three times that much, so 6%. However, in reality it may only gain 5.95%, for example. Then, if WTI falls 2%, it is back to where it originally started, but UWTI is designed to fall 3 times that amount, or 6%. In reality, it will likely fall a tiny bit more than 6. These slight shortfalls get applied every day, so if you lose a fraction of your investment, again and again and again, you are suffering a slow bleed. You probably wouldn't even notice it on any single day, but that is why the long term charts of any leverage ETF are always in a slow, steady downtrend. ETFs, especially the leveraged ones, are great for making a very short term call, but should never be used for long term investing. For example, if you expect oil prices to spike, you could play it by buying UWTI, but do it only as a short term trade. If you hold for weeks or months, you will almost certainly lose . Protect yourself when trading ETFs. Consider avoiding buying or selling in the first few or final few minutes. And do not hold ETFs for extended lengths of time, especially the leveraged ones. . Get More From Peter Leeds: YouTube: https://www.youtube.com/user/PeterLeedsPennyStock HOME = https://www.peterleeds.com/ .... Facebook = http://bit.ly/1t4Tifo Twitter = https://twitter.com/peter_leeds Penny Stocks for Dummies = http://amzn.to/1WyGaLo ... E-Mail: [email protected] Phone: 1.866.695.3337 .
Views: 34193 Peter Leeds
How to Use Leveraged ETFs
A set of defined reactions is the best way to use the high volatility of leveraged ETFs for greater profit. Contrary to media warnings, leveraged ETFs beat the market over many time periods even with a simple buy-and-hold approach. A look at my performance tables proves it. We can improve upon their performance by running 2x and 3x leveraged ETFs through defined reactions that extract profit from their higher highs and add capital to their lower lows. ___________________________ Want more information like this? Please subscribe to this channel! To review the long-term performance of buying and holding leveraged funds, please visit my Strategies page: http://jasonkelly.com/resources/strategies/ Thank you for watching!
Views: 11645 The Kelly Letter
Leverage ETFs Explained:Why don't Leveraged 2x and 3x ETFs match the index results?
Ever wonder why leveraged etfs don't have the same percentage return? How do 3X ETF, 2X ETF, and Bear Market etfs move compared to an underlying index. See why in this video tutorial which in simple terms shows investors leveraged etfs work, how they are priced, and why they may or may not do what you thought.
Views: 7367 TheTradesurfer
3 Rules for Investing in Leveraged ETFs
Looking to buy ETFs that offer magnified exposure to stocks, bonds, or gold? Before diving in head-first, Ron DeLegge, Chief Portfolio Strategist @ ETFguide explains how leveraged ETFs work. Ron also gives you three important rules for using these high octane funds. Take Ron’s Portfolio Report Card challenge and if you score an “A” you win $100! Go to http://www.etfguide.com/portfolio-report-card
Views: 11050 ETFguide
4 Mistakes to Avoid When Trading Leveraged ETFs
https://goo.gl/QPCkqk - Start earning with binary options like millions of traders do Leveraged ETFs are generally easy to trade, and they provide investors with the opportunity to multiply their gains on the long and short side of a wide variety of market sectors. However, these funds can also be extremely complex and volatile, resulting in four common investing mistakes. Ignoring how Rebalancing Affects ETFs Most leveraged funds are rebalanced on a daily basis, which may sound like a lot of bookkeeping, but the process can have a major impact on performance if prices are choppy or are moving against an ETF. For example, an ETF that is leveraged 3x and loses 2% on its index in one day would have an effective loss of 6%. Rebalancing compounds the loss because the fund’s holdings must be adjusted lower to reflect 3x leverage on the closing price of the shares for that day. In this example, if 100 ETF shares were purchased at $10, the leveraged exposure would be $3,000 (3x the cost of the shares). After a 6% loss, the shares of the ETF would be priced at $9.40. The shares would then be rebalanced to reflect 3x exposure for $9.40, which would reduce the total exposure of the shares to $2,820. Starting the next day, or several days, with lower exposure as a result of downward rebalancing (also referred to as negative compounding) requires a larger percentage to move higher to break even. The impact on performance due to downward rebalancing is the primary reason why leveraged ETFs tend to work better as short-term trading vehicles, rather than as buy-and-hold investments. Buying on Margin Buying leveraged ETFs in margin accounts adds leverage to fund shares that are already structured to provide volatility. For example, if an investor buys $10,000 of a 2x leveraged ETF at a 50% margin, $5,000 would be required to cover the position. Being on margin at 50% effectively doubles the existing leverage on the investor’s $5,000, meaning that price changes on the ETF’s index would be multiplied by 4x. In this example, a 2% loss on the index would result in an 8% loss (4 x 2%) of the shareholder’s equity. If the losses were to continue, the shareholder’s initial equity in the position would likely be erased after an approximate loss of 25% against the fund’s index. To make matters worse, any losses exceeding 25% could put the position at a negative value, which would have to be covered using other assets in the account or be paid out of pocket. Allowing Leverage To Overweight Sector Exposure Asset allocation within a portfolio is typically measured by the dollar value of each sector in the account. However, when sectors include leveraged ETFs, the exposure can be far greater than the value of the positions within the category. For example, say an investor decides to allocate $20,000 to each of five sectors within a $100,000 portfolio. With the money allocated to commodities, the investor buys a 3x leveraged gold ETF and a 3x leveraged oil ETF. Due to the leverage in the ETFs, this sector of the portfolio would be significa
Views: 88 ETFs
Margin Buying Basics | by Wall Street Survivor
What is buying on margin? Learn more at: https://www.wallstreetsurvivor.com Opening a margin account allows you to trade on borrowed money. You have to open up a margin account when shorting stocks because you’re borrowing the stock rather than purchasing it. In order to maintain a margin account, you must have collateral to assure the broker that he’ll get his money back. Collateral is something (in this case money) that the borrower gives the lender as protection in case he fails to pay back what he owes. Initial margin: You must keep a minimum amount of your own money in the margin account when you sell the borrowed stock. The usual requirement is 150% of the value of the short sale. Maintenance margin: This is where the risk comes in. You must also maintain a minimum amount of money in the account depending on the current value of the stock you shorted As the price goes up, the maintenance margin requirement goes up, and you’ll need to add more and more money to your account. This is known as a margin call. Learn more about trading on margin with Wall Street Survivor's course Understanding Advanced Techniques: http://courses.wallstreetsurvivor.com/is/16-understanding-advanced-techniques/
Views: 118136 Wall Street Survivor
Borrow and Buy: The Case for Margin Trading
Most investors have heard of margin trading, but exactly what is it and why would an investor want to use it? To get more trading insights go to http://www.schwab.com/public/schwab/active_trader/trading_tools 1015-8N2W
Views: 157029 Charles Schwab
Using Index Short ETFs In Your Trading & Investing
The benefits of incorporating the use of inverse or "short" ETFs that track the major US stock indexes into your trading & investing. The pros & cons of using leveraged vs. non-leveraged ETFs are also covered along with the most liquid inverse ETFs commonly used as either a pure-play short on the stock market or as a hedge to an existing portfolio of long positions.
Leveraged ETFs: How to Triple Your Returns
Use Leveraged ETFs to double or triple your returns! Try them out in our Fall Trading Contest! https://www.wallstreetsurvivor.com/register?utm_source=Youtube&utm_medium=VideoLink&utm_campaign=FallContest Read more about Leveraged ETFs here: http://blog.wallstreetsurvivor.com/2018/09/16/leveraged-etfs/
How Leverage Can Get You In Trouble
Mullooly Asset Show: Ep. 77 - Leveraged Investment Products In this episode, Tom talks about leveraged investment products, margin accounts, debt, & how they can KILL your investment portfolios, AND the economy. Time Stamps: 0:51 - "My friend's been telling me about this leveraged ETF that he owns. Do you know anything about leveraged investment products?" Mullooly Asset Management is a fee-only investment advisory firm located in Monmouth County, NJ. We work to educate our clients regarding managing the risk in their investments. Tom Mullooly is an investment industry veteran of over 30 years. Prior to launching the "Mullooly Asset Show," Tom (along with his sons) recorded close to 200 podcasts and nearly 200 videos, which can be found on the site http://www.mullooly.net. The "Mullooly Asset Show" is a new chapter in furthering the education of investors young and old. We answer questions and cover topics that YOU bring up. Our topics and questions range from those brought up by clients to those sent in by our viewers. Get in touch with us here: Website: http://www.mullooly.net Facebook: www.facebook.com/MulloolyAsset Twitter: http://twitter.com/mulloolyasset LinkedIn: https://www.linkedin.com/in/mullooly Email: [email protected]y.net None of the content on our videos, podcasts, website or social media should ever be considered to be investment advice, financial planning advice or a recommendation to buy or sell investments. Nor should our content be considered research. Please our website for complete details. This video is not a recommendation to buy or sell any of the investments mentioned. None of the securities mentioned in this video represent past specific recommendations of Mullooly Asset Management. We rely on fundamental and technical analysis. Neither fundamental or technical analysis can predict the future, both methods have flaws. Past performance is no guarantee of future outcomes. Our Point & Figure charts are provided by our good friends at Dorsey Wright & Associates.
What is leverage?
Trade with zero comissions, no transaction fees and the tightest spreads: https://capitalcom.onelink.me/700515151/youtube Leverage is a form of trading that allows small deposits to bring big returns. Traders provide a small part of the capital needed to open a position. This cash amount is magnified – or leveraged – so that the outcome (profit or loss) is based on the total value of the position. This means the return or loss can be significantly larger than your initial input. Key points to consider: • Leverage magnifies both profits and losses • Overnight fees can be incurred As an example, you buy $10,000 of shares using CFDs – contracts for difference – a leveraged product. Your broker offers you 10x leverage position or 1:10. This means you hold a position worth $10,000 using only $1000. Effectively, a small amount of money controlling a much larger position. Note that an adverse move could result in losses greater than your balance. At Capi-tal.com you can rely on Negative Balance Protection. This means any losses will be limited to your current balance. *** Follow David Jones and Capital.com insights on: Facebook: https://www.facebook.com/capitalcom/ Twitter: https://twitter.com/capitalcom Linkedin: https://www.linkedin.com/company/capi... Google+: https://plus.google.com/1097114418773... Crunchbase: https://www.crunchbase.com/organizati... *** Explore trading and start investing with Capital.com. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 77% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Views: 2310 Capital.com
Dangerous ETF Investment Strategy for 25X Gains! (Leverage)
Buying stocks or ETF's that produce ever growing dividends is one of my favorite ways to create passive income. The best investors in the world built wealth buying fairly valued, quality stocks & holding them forever & watching the dividends grow! The strategy I discuss here has nothing to with dividends. Through the power of leverage you can take debt/margin on your purchase of stocks. You can leverage 3x your purchaser amount through a margin account or you can purchase this one simple ETF: ProShares UltraPro QQQ seeks daily investment results, before fees and expenses, that correspond to three times (3x) the daily performance of the Nasdaq-100 Index Symbol: TQQQ I do not promote this idea. I am merely education on the fact that it exists. It offer the power to amplify you gains & also your loses. Invest wisely! SING UP TO M1FINANCE TO BUY & SELL STOCKS & ETFS https://mbsy.co/smLQh MY FAVORITE BOOKS ON INVESTING The Intelligent Investor: The Definitive Book on Value Investing: https://amzn.to/2W6HCrs MONEY Master the Game: 7 Simple Steps to Financial Freedom https://amzn.to/2WbpvRb The Little Book of Common Sense Investing: The Only Way to Guarantee Your Fair Share of Stock Market Returns: https://amzn.to/2Tauobc Audible – Audiobooks & Originals for Android: https://amzn.to/2UTNC5I DISCLAIMER: It's important to note that I am not a financial adviser and you should do your own research when picking stocks to invest in. These are just some of my viewpoints, by no means would I recommend watching one YouTube video and then immediately buying that stock. This video was made for educational and entertainment purposes only. Consult your financial adviser.
Views: 5 Money Games
Don't Buy Leveraged Investments - Five Year Club Video #89
https://www.investopedia.com/university/margin/margin1.asp https://seekingalpha.com/article/1864191-what-you-need-to-know-about-the-decay-of-leveraged-etfs https://www.fool.com/investing/2017/06/25/3-triple-leveraged-etfs-and-why-you-shouldnt-buy-a.aspx
Views: 21 FiveYearClub
5 Mistakes Investors Make with ETFs | Fidelity
In this video, learn about the five biggest mistakes that investors make when buying ETFs, or exchange-traded funds. To learn the basics about ETFs, visit https://www.fidelity.com/learning-center/investment-products/etf/overview. To get started investing with ETFs, visit https://www.fidelity.com/etfs/overview To see more videos from Fidelity Investments, subscribe to: https://www.youtube.com/fidelityinvestments Facebook: https://www.facebook.com/fidelityinvestments Twitter: https://www.twitter.com/fidelity Google+: https://plus.google.com/+fidelity LinkedIn: https://www.linkedin.com/company/fidelity-investments --------------------------------------------------------------------------------------------- Let’s talk about the five biggest mistakes investors can make when buying exchange-traded funds. ETFs can be good tools for investors - when used appropriately. But with any investment, there are always things to watch out for. Number 1: Buying the Hot New Thing More than 100 new ETF products launch each year, many of them chasing the latest hot trend. Cloud computing, driverless cars, 3-D printing … you name it, there’s an ETF for that. Buying into the latest hot theme might make you big returns, but take care: These product launches may come after there has been a run up in the market. Buying at the top can be painful on the way down. Number 2: Buying Something You Don’t Understand The only thing worse than chasing the hottest trend is buying something you don’t understand. ETFs have taken institutional strategies and made them push-button-easy for everyday investors to access. Want access to commodity futures? There’s an ETF for that. 300% leverage? 200% short? Interest-rate carry plays? Yes to all. But just because you can buy something easily doesn’t mean you should. All of these funds may be good tools, but only if you know how to use them correctly. Number 3: Thinking All ETFs Are Created Equal Consider China. At the start of 2014, there were more than a dozen broad-based China ETFs. For example, had you chosen PGJ, the PowerShares Golden Dragon China ETF, at the start of the year, you would have lost more than 7% of your money. Had you instead chosen ASHR, the Deutsche Xtrackers Harvest CSI 300 China A-Shares ETF, you would have earned a 51% return. Both are “China ETFs.” Both can provide big, diversified portfolios. But ASHR has significant exposure to Chinese Ashares—largely consumer-focused stocks listed and traded on the domestic Chinese market— which performed spectacularly well in 2014. Don’t assume all ETFs are created equal. Just because two ETFs cover the same market doesn’t mean they provide the same exposure or returns. There’s no guarantee which fund will perform better in the future. But if you wanted to invest last year in the growth of the Chinese consumer and the domestic investor base there, a little bit of research would have gone a long way. Number 4: Trading…Just Because You Can Trading is central to ETFs. It’s right there in the name. But just because you can trade an ETF intraday doesn’t mean you should. Emotions are often an investor’s worst enemy. You zig when you should zag; you sell at the bottom and buy at the top. We all do sometimes. The trouble is ETFs make that even easier than traditional mutual funds. ETFs’ intraday liquidity can be great when you need to get into or out of the market quickly. But those situations are rare. Number 5: Only Using Market Orders When you do invest, consider using a limit order versus a market order. Market orders are instructions to buy or sell securities at the best possible price right now. That can work well for the most liquid ETFs, but as you move beyond the top dozen ETFs, you can find yourself getting trades executed at prices you don’t really want. Using a limit order means you agree to buy an ETF at a certain price or below, and sell it at a certain price or above. A limit order puts the control back in your hands and can help you set the price on your terms. Learn from these common mistakes to help avoid making them yourself. Fidelity Brokerage Services LLC, Member NYSE, SIPC, 900 Salem Street, Smithfield, Rhode Island, 02917 723254.2.0
Views: 203497 Fidelity Investments
What is Margin Trading? | Fidelity
Have you always wondered what it means to trade on margin? In this video, you’ll learn what margin trading is and if it is a strategy that could help you achieve your investment goals. To get started with margin trading, visit: https://www.fidelity.com/trading/advanced-trading-tools/margin-trading To see more videos from Fidelity Investments, subscribe to: https://www.youtube.com/fidelityinvestments _____________________________________________________________ What is margin trading? How does it work, and what are some of the benefits and risks? Over the next few minutes, we’ll take away some of the mystery of margin trading and help you decide whether it is a strategy that can help you achieve your investment goals. Margin trading is a form of borrowing that lets you leverage securities you already own to purchase additional securities, protect your account from overdraft or access a convenient line of credit. Margin trading is not designed for any specific type of customer – it may be right for any investor looking for additional leverage in their investment. Here’s an example of how it works: assume you want to buy 1,000 shares of QRS stock at $10 per share, but only have $5,000 in investable cash available. With a margin account, you can use your $5,000 in cash and borrow the other $5,000 on margin to make your purchase. Without margin – with what’s called a cash account – you would need the full $10,000 in cash to make this stock purchase. Now let’s see how a margin loan could impact your investment return. Assume the QRS stock rises in value from $10,000 to $11,000 and you sell it. You would pay back the $5,000 margin loan and realize a profit of $1,000. That’s a 20% return on your $5,000 investment. Without a margin loan, you would have invested $10,000 in cash and realized only a 10% return. While leverage is a powerful tool when the price of the security moves in your favor, it is also important to recognize the downside if the stock price falls. Let’s look at the flip side of the same example. Assume the market value of the QRS stock you purchased with margin for $10,000 falls to $9,000. Your equity – which is the value of your position minus the loan balance of $5,000 – would fall to $4,000. That’s a 20% loss from a 10% decrease in market value. Just like any loan, you will also incur interest charges that begin accruing on the date your trade settles, which is typically two days for a stock. The rate you pay depends on your outstanding margin balance – known as the margin debit balance. The rate is typically calculated using a tiered schedule, meaning the higher your debit balance, the lower the rate you are charged. You should also know that margin loans have no set repayment schedule, as long as you maintain the required level of equity in your account. Let’s shift focus to this equity requirement, along with some other important requirements for margin accounts. In order to buy securities on margin, you must also deposit enough cash or eligible securities to meet the initial margin requirement for your purchase. Typically, this is 50%, which is a requirement set by the Federal Reserve Board. Once you have started buying stock on margin, you are required to maintain a certain level of equity in your margin account. This requirement varies based on the type of security. For example, a stock generally has a maintenance requirement of 25% and is set by the New York Stock Exchange and FINRA. A brokerage firm may impose a higher requirement due to factors including, but not limited to, holding a significant portion of your account in a single security, which is known as a concentrated position. The security you are investing in must be eligible for margin in the first place, and not all securities are eligible. For example, while most stocks and fixed income securities, such as treasuries, are eligible, CDs and money markets are not. You can find out whether a security is eligible, as well as the specific margin requirements for each type of security, at https://www.fidelity.com/margin. Now we’ll put this information together and see how it all works. Margin trading entails greater risk, including but not limited to risk of loss and incurrence of margin interest debt, and is not suitable for all investors. Please assess your financial circumstances and risk tolerance prior to trading on margin. If the market value of the securities in your margin account declines, you may be required to deposit more money or securities in order to maintain your line of credit. If you are unable to do so, Fidelity may be required to sell all or a portion of our pledged assets. Margin credit is extended by National Financial Services, Member NYSE, SIPC. Fidelity Brokerage Services LLC, Member NYSE, SIPC, 900 Salem Street, Smithfield, RI 02917 713730.5.0
Views: 23924 Fidelity Investments
Margin and Leverage
Learn how margin and leverage can play an important part in an investing strategy. Learn about their potential benefits and risks, and see if margin and leverage may be right for you.
Views: 1578 TD Ameritrade
Everything you need to know about Liquid Exchange Traded Funds (ETFs)
Having idle cash in your trading account is a bit of a conundrum. In this webinar, we talk to Anil Ghelani of DSP Mutual Fund about how you can use a Liquid ETF to plan your trades. Anil is the Senior Vice President and Head of Passive Investments & Products at DSP. He has been working with DSP Group since 2003 and he previously served as the Business Head & Chief Investment Officer at DSP Pension Fund Managers. This webinar is bought to you as part of the Zerodha Educate initiative.
Views: 5506 Zerodha
Robinhood Gold Margin Buying - A Simple Tip!
Pledge $1 and BECOME A TECHCASHHOUSE DWELLER TODAY! https://www.patreon.com/techcrackhouse TechCashHouse Merch: https://www.redbubble.com/people/techcrackhouse?asc=u THE NEW TWITTER: STOCK POLLS, NEWS, ETC. https://twitter.com/TechCrackHouse_ Buy, sell, what should be done? Keep it tuned right here on the Techcashhouse for news, tips, and the best ways to invest. Please subscribe and like, it helps a lot. I upload more regularly than Hillary checks her email. BECOME A CASHHOUSE DWELLER TODAY! Robinhood Download Links: IOS: https://itunes.apple.com/us/app/robinhood-free-stock-trading/id938003185?mt=8 Android: https://play.google.com/store/apps/details?id=com.robinhood.android&hl=en Robinhood Main-page: https://www.robinhood.com/ Acorns Download Links: IOS: https://itunes.apple.com/us/app/acorns-invest-spare-change/id883324671?mt=8 Android: https://play.google.com/store/apps/details?id=com.acorns.android&hl=en&gl=us Acorns Main-page: https://www.acorns.com/ I AM IN NO WAY A MARKET PROFESSIONAL; USE YOUR OWN JUDGEMENT WHEN PURCHASING STOCKS AND OTHERWISE. I AM NOT RESPONSIBLE FOR AND GAINS OR LOSSES THAT YOU MAY EXPERIENCE. THE MARKET IS INHERENTLY RISKY, AND YOU SHOULD ONLY INVEST WHAT YOU ARE COMPLETELY WILLING TO LOSE.
Direxion 2X and 3X Leveraged and Inverse ETFs
Why trade leveraged and inverse ETFs?
Views: 71586 Direxion ETFs
Day Trading Margin! SHOULD YOU USE IT?
Day Trading Margin! Should you use it? Now thats a good question and it seems that some people are confused on how Margin works and why its an everyday tool for DayTraders. Talking about Margin and how it works in the StockMarket with this video. So if you're interested learning more about how Margin works when Short Selling and Intra day DayTrading watch the video! SUBSCRIBE NOW! FOR DAILY VIDEOS! KNOW WHEN I GO LIVE ON YOUTUBE STREAMING MY SCANNER AND TRADES! https://www.youtube.com/channel/UCTovmBbgOEgi4iXqSH3IxjQ?sub_confirmation=1 Want to support the channel for only $5 a month? Also get the chance to win stuff and join in on Member LiveStreams? JOIN! https://www.youtube.com/channel/UCTovmBbgOEgi4iXqSH3IxjQ/join Find out more about the Scanner I use Trade Ideas here- https://bit.ly/2MrJZDX YOUTUBE SUBSCRIBERS USE THE CODE "PATRICKW15" for 15% Discount on all Products! Come join FREE DayTrading Facebook Group! https://www.facebook.com/groups/MomentumDayTrading Get an amazing offer at SpeedTrader.com Broker by using this link! https://speedtrader.com/patrick/ Follow me on Instagram https://www.instagram.com/patrickwieland Business Inquires- [email protected] #DayTrading #StockMarket #PennyStocks
Views: 3025 Patrick Wieland
Margin Trading: The Ins and Outs
If the idea of margin trading sounds like a strategy that could work for you, find out how to get started. To get more trading insights go to http://www.schwab.com/public/schwab/active_trader/trading_tools 1015-8N3K
Views: 140606 Charles Schwab
Getting Leverage/Going Short
IndexUniverse.com's Matt Hougan examines leveraged and inverse ETFs, including how they work, what returns you can expect and when—and when not—to use such funds in a portfolio. Watch the rest of this webinar at http://www.indexuniverse.com/webinars/on-demand-webinar-playback.html
Views: 287 indexuniverse
Investing for Beginners 04: Buying on Leverage and Margin
Investing for Beginners 04: Buying on Leverage and Margin Leveraged investing is when you borrow currency in order to invest. In a traditional investment strategy, you might set aside a certain amount every month to be invested, so that the principal you had invested would grow over time, compounded by any earnings on the investment. With a leveraged investment, you would invest a large sum up-front, then make regular payments to pay back the amount you borrowed, plus the interest. The potential advantage of the leveraged investment is that there is a supposedly larger amount earning returns over a longer period of time. If the return on your investment is greater than the principal borrowed plus the interest, your leveraged investment has outperformed a traditional investment. Leverage can dramatically increase your investment winnings, and leverage can be great for those who are educated in the proper techniques and are skilled in its use. But if you don't know what you're doing (and sometimes even if you do), leverage can also magnify your losses to 100% and beyond. It's this simple: when you introduce leverage... you introduce risk. Intro by: Laurent Caccia http://www.youtube.com/laurentcaccia
Views: 725 Shakaama
Inverse ETFs: Making Money When Markets Crash!
An Inverse ETF can be a wonderful vehicle to make money in a bearish (down) market. It is is a type of exchange traded fund constructed using various derivatives allowing investors to profit from the decline of the underlying benchmark or security. The greatest advantage offered by an Inverse ETF is that the investor is not required to hold a margin account and the consequent unlimited risk of short selling. Inverse ETFs seek to perform opposite their benchmark ETF. They are particularly popular instruments in a bearish market, but a few potential downsides exist. Study our training for an in-depth look into Inverse ETFs, their benefits and the precautions you should take when using them to make money in a bearish market. Do you have the link to our stock chart layout? If not, FIRST go to FreeStockCharts.com. REGISTER and set up a FREE account. Next, OPEN up the charts and CLICK this link to our most up-to-date layout: bit.ly/CWLayout. Last, SAVE the layout under File, Save As. Now you have it! Have you watched our 15 minute “How to Read a Stock Chart” video? If you are serious about investing in stocks, this is a "must watch” training. Here’s the link to the FREE, exclusive video: bit.ly/ReadChart.
Views: 14697 Charting Wealth
Interactive Brokers Margin Requirements - Margin Buying Power and Details
In this Interactive Brokers margin requirements video we will show you how to find Interactive Brokers margin buying power section and break down their margin rates. Click the link below to join the Bullish Bears community where you will gain access to our trade rooms, live daily streaming, trade alerts, watch lists, free candlesticks e-book with desktop wall paper backgrounds, trading courses, and an entire community of support to help you along your trading journey: https://bullishbears.com/ If you need more help with Interactive Brokers then make sure to take our free Interactive Brokers course below: https://bullishbears.com/interactive-brokers-platform/ Take our stock market courses: https://bullishbears.com/stock-market-courses/ Related Searches: interactive brokers margin calculator, interactive brokers margin requirements futures, interactive brokers margin account minimum
Views: 5734 Bullish Bears
Risk Factors to Consider with Leveraged ETFs
http://www.moneyshow.com?scode=013356 Leveraged ETFs are gaining in popularity and offer several advantages to traders and investors, but there are critical risk factors to consider, as discussed by ETF expert Deron Wagner.
Views: 232 MoneyShow
Understanding Margin Rules and Requirements
Please join us for this informative presentation in which we provide an in-depth look into the various rules and requirements related to trading in a Margin account. Margin involves the borrowing of funds for higher leverage in your trading account and it is imperative that a trader understands the guidelines and calculations required to manage one’s account. In this webinar, we illustrate the conditions involved for leveraged accounts which can vary based on many factors. Additionally, we cover the various types of Margin calls to show how they are generated, how they can be properly covered, and what are the outcomes if calls are not satisfied. Some of the categories we cover include: - Buying Power – intraday trading vs. overnight holding - Margin requirements for various priced securities, ETF’s, options, and option strategies - Margin Calls – initial, maintenance, strikes - Pattern Day Trading (PDT) rules and requirements - Margin Interest calculations
Views: 1939 LightspeedTrader
Robinhood APP - Use Robinhood Gold for $70,000 EXTRA BUYING POWER?
Follow my progress as I dive head first into investing, while trying not to lose it all!! Robinhood APP - Robinhood - Free Stock Trading Download Links: ANDROID https://play.google.com/store/apps/details?id=com.robinhood.android&hl=en Apple IOS https://itunes.apple.com/us/app/robinhood-free-stock-trading/id938003185?mt=8 Stash Invest APP https://www.stashinvest.com Please note I am not a market professional. I am not responsible for any trading losses that may be experienced by following my wayward lead, in fact I recommend you don't follow my lead. :) Have fun and happy trading.
Views: 4510 Doctor Dividend
Are ETFs always low-cost?
Do you know all the costs involved with investing in, buying, and owning an ETF? Learn how to choose low-cost ETFs that work for you. Important Information **You must buy and sell Vanguard ETF Shares through Vanguard Brokerage Services (we offer them commission-free) or through another broker (which may charge commissions). See the Vanguard Brokerage Services commission and fee schedules on https://vgi.vg/2yfnvdo for limits. Vanguard ETF Shares are not redeemable directly with the issuing fund other than in very large aggregations worth millions of dollars. ETFs are subject to market volatility. When buying or selling an ETF, you will pay or receive the current market price, which may be more or less than net asset value.** All investing is subject to risk, including the possible loss of the money you invest. Costs are only one factor to consider when making investment decisions. There may be other material differences between investment products that must be considered prior to investing. For example, investments in stocks and bonds issued by non-U.S. companies are subject to risks including country/regional risk, which is the chance that political upheaval, financial troubles, or natural disasters will adversely affect the value of securities issued by companies in foreign countries or regions; and currency risk, which is the chance that the value of a foreign investment, measured in U.S. dollars, will decrease because of unfavorable changes in currency exchange rates. These risks are especially high in emerging markets. Funds that concentrate on a relatively narrow market sector face the risk of higher share-price volatility. © 2017 The Vanguard Group, Inc. All rights reserved. Vanguard Marketing Corporation, Distributor of the Vanguard Funds.
Views: 2736 Vanguard
Equities vs CFDs: What’s the Difference?
Stock trading can take many forms and many traders confuse the two main types: Equity trading (also known as trading real stocks) and CFD trading (or buying and selling Contracts for Difference on stocks). So if you want to see the differences in terms of leverage, margin, short selling and fees – trading expert David Jones covers all these angles. Still have questions about stock trading, equities and CFD’s – let us know in the comments and we’ll get back to you. At Trading 212 we provide an execution only service. This video should not be construed as investment advice. Investments can fall and rise. Capital at risk. CFDs are higher risk because of leverage.
Views: 23619 Trading 212
I just borrowed $30,000 on margin to invest in the stock market with my Questrade account.
Even though the markets are crashing I have reasons to believe that this is a significant buying opportunity and so I have borrowed $30,000 from my Questrade margin account. In this video I explain why I think this is a good time. I don't believe this to be the absolute market bottom but I do believe that we are very close. I show economic indicators that we aren't entering a recession and I look at seasonal and cyclical patterns that may suggest where we are going. Questrade''s current interest rates for margin trading of US stocks is about 8.75% for amounts less than $100K, so I don't want to hold the position too long. ===================================================== Welcome to Real Life Trader. Warning: You will lose money if you copy me!!! Trading is risky, losses shown are real money! ---------------------------------------------------------------------------------------------------------- Want to help support my channel and Interested in mining cryptocurrencies from your laptop? Check out Honeyminer and use my affiliate link. https://honeyminer.com/referred/593rc ------------------------------------------------------------------------------------------------------------- Want to help support my channel? Bitcoin donations address 1Mhv7uWF6UtoPPiqz4vHvEmoyjF9Kbf7h6 XRP donations address rhWyKp7bHCdVn1KCPk3wrUJHL45JfX39ph EOS donations address ha2dqmbrgyge Litecoin donations address LYNFcbbkoXfJf2aEXx87wXeuD58dh6q3Wv OmiseGo Donation Address 0x66F8073637AAE70354185f323A1796d22da3A1dd Ethereum Donation Address 0x66F8073637AAE70354185f323A1796d22da3A1dd BAT Donation Address 0x66F8073637AAE70354185f323A1796d22da3A1dd --------------------------------------------------------------------------------------------------------- Interested in Finviz Elite?? Use this Finviz affiliate link: https://finviz.com/?a=97179477 ----------------------------------------------------------------------------------------------------------- Charting software used : Ninjatrader 8 Trading platforms: Interactive Brokers TWS Questrade IMPORTANT: The risk of loss in trading futures, options, cash currencies and other leveraged transaction products can be substantial. Therefore only "risk capital" should be used. Futures, options, cash currencies and other leveraged transaction products are not suitable investments for everyone. The valuation of futures, options, cash currencies and other leveraged transaction products may fluctuate and as a result clients may lose more than the amount originally invested and may also have to pay more later. Consider your financial condition before deciding to invest or trade. DISCLAIMER: NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL, OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE DISCUSSED WITHIN THIS CHANNEL. IF YOU DECIDE TO INVEST REAL MONEY, ALL TRADING DECISIONS ARE YOUR OWN. THE RISK OF LOSS IN TRADING COMMODITIES CAN BE SUBSTANTIAL. YOU SHOULD THEREFORE CAREFULLY CONSIDER WHETHER SUCH TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL CONDITION. CFTC Rule 4.41 - Hypothetical Or Simulated Performance Results Have Certain Limitations. Unlike An Actual Performance Record, Simulated Results Do Not Represent Actual Trading. Also, Since The Trades Have Not Been Executed, The Results May Have Under-Or-Over Compensated For The Impact, If Any, Of Certain Market Factors, Such As Lack Of Liquidity. Simulated Trading Programs In General Are Also Subject To The Fact That They Are Designed With The Benefit Of Hindsight. No Representation Is Being Made That Any Account Will Or Is Likely To Achieve Profit Or Losses Similar To Those Shown. I AM NOT AN INVESTMENT ADVISOR, TRADING IS RISKY, LOSES ARE REAL, YOU WILL LOSE MONEY, DO NOT COPY ME!
Views: 332 Real Life Trader
Changing Options Strategies When Trading Inverse ETFs - Show #086
http://optionalpha.com/show86 - Trading inverse ETFs and leveraged ETFs are becoming more and more popular with retail traders. Maybe it’s the appeal of quick profits with 2X and 3X leveraged securities like FAZ (Ultra Bear 3X Financials) but the should we adjust our options strategy for these unique products? I think we should for good reason. In today’s newest podcast I’ll cover the three different ways you should adjust your options strategy when trading these products to take advantage of their mostly negative pricing structure and hedging potential. While we don’t trade these often by any stretch here as part of our income strategy, there are instances where they become useful and we’ll cover that specific setups in the show. Enjoy! ================== Listen to our #1 rated investing podcast on iTunes: http://optionalpha.com/podcast ================== Download your free copy of the "The Ultimate Options Strategy Guide" including the top 18 strategies we use each month to generate consistent income: http://optionalpha.com/ebook ================== Grab your free "7-Step Entry Checklist" PDF download today. Our step-by-step guide of the top things you need to check before making your next option trade: http://optionalpha.com/7steps ================== Have more questions? We've put together more than 114+ Questions and detailed Answers taken from our community over the last 8 years into 1 huge "Answer Vault". Download your copy here: http://optionalpha.com/answers ================== Just getting started or new to options trading? You'll love our free membership with hours of video training and courses. Grab your spot here: http://optionalpha.com/free-membership ================== Register for one of our 5-star reviewed webinars where we take you through actionable trading strategies and real-time examples: http://optionalpha.com/webinars ================== - Kirk & The Option Alpha Team
Views: 851 Option Alpha
Trading with Degiro Tutorial 2 - Shorting Stocks, CFDs, US Stocks, Leverage & Personal opinion
In this video I answered few of your questions, demonstrated shorting stocks and explained to you the different accounts you can use and how you can use their money to buy stocks and how to use CFDs or Contract of difference. Trading with degiro US stocks Shorting degiro degiro broker shorting CFDS money trading with degiro leverage
Views: 19471 Zed Monopoly
Prime XBT. Trade Crypto With 100x Leverage. Bitcoin, Litecoin, XRP, EOS, ETH & Bitcoin Cash
Prime XBT, a new leveraged cryptocurrency exchange which offer 100:1 leveraged positions. Included cryptocurencies to trade are: Bitcoin, Ethereum, Litecoin, Ripple XRP, EOS & Bitcoin Cash with more cryptocurrencies coming soon. This leveraged exchange looks like it will become a major competitor to Bitmex because the UI, design and speed will attract crypto traders from beginners to the more advanced. Today, Chico will be walking you what exactly is leveraged trading, magins & margin calls. How to trade with leveraged and a review of the Prime XBT platform. Tune in and start trading if legal in your country! Make sure you understand all laws and regulations of margin trading before signing up for Prime XBT! 👌👌Subscribe to The Chico Channel--https://www.youtube.com/channel/UCHop-jpf-huVT1IYw79ymPw?sub_confirmation=1 Sign Up For Prime XBT Here ► ►https://primexbt.com?signup=75875https://primexbt.com?signup=75875 Prime XBT Website https://primexbt.com/ Prime XBT Twitter https://twitter.com/primexbt ****This Is A Sponsored Video***** Chico Crypto and Prime XBT have entered into an agreement for a sponsored review of their platform. In exchange for the review, Chico Crypto has received a payment of $2500 dollars paid in Bitcoin. ⏰ Time Stamps ⏰ 00:08 Introduction: Prime XBT 01:15 What Is Leverage Trading and Margin? 02:03 An Example of A Margin Trade 02:51 What Is A Margin Requirement and Example of One 04:29 What Are Positions Limits? 04:51 Prime Offers Long and Shorts 05:02 Different Order Types With Prime XBT 05:15 How To Signup With Prime XBT 05:46 What Is Included On The Prime XBT Account Page and How To Deposit Funds 06:32 How To Do An Internal Transfer Into Your Trading Account 07:16 Trading With Prime XBT 10:42 Withdrawing From Prime XBT 11:13 Prime XBT Affiliate Program & Earnings 11:51 Conclusion 😱Banned Bitcoin Superbowl Commercial😱 https://www.youtube.com/watch?v=svQ9_IjXaGk 📺 Watch These Vids Again 📺 Quarter 1 2019 Top Altcoins Picks Part 1 https://www.youtube.com/watch?v=HHULjKQIBdA Quarter 1 2019 Top Altcoin Picks Part 2 https://www.youtube.com/watch?v=JZQkiT6l_vc&t=6s Predicting Crypto Prices With Artificial Intelligence (AI) 🤫------------Chico Crypto Exclusive Links----------- 🤫 🔥Join The Chat On Telegram 🔥 https://t.me/chicocrypto1 👉🏻Follow Me On Twitter https://goo.gl/gmsDXa 👌👌Subscribe to cThe Chico Channel--https://www.youtube.com/channel/UCHop-jpf-huVT1IYw79ymPw?sub_confirmation=1 👍Download The Brave Browser $BAT & Support Crypto! https://brave.com/chi034 📚 📚Educational links and crypto resources for starting in cryptocurrency Check the prices and stats of the most popular cryptocurrencies with Coinmarketcap https://coinmarketcap.com/ What is Bitcoin, altcoins, Ethereum and other cryptocurrencies https://www.coindesk.com/information/what-is-bitcoin ► ►Thinking of collaborations with Chico Crypto? Business inquires? 📧 Send us an email! [email protected] #bitcoin #crypto #litecoin #ripple #xrp #eos #bitcoincash #bch #ltc #btc #cryptocurrency #blockchain #ethereum #eth #passiveincome #leveraged #100x #primexbt #bitmex #cryptocurrencies #trading #motivation #cryptonews #investor #success #invest #investor #money #wealth #rich #millionaire #decentralized **Disclaimer** The information contained herein is for informational purposes only. Nothing herein shall be construed to be financial legal or tax advice. The content of this video is solely the opinions of the speaker who is not a licensed financial advisor or registered investment advisor. Purchasing cryptocurrencies poses considerable risk of loss. The speaker does not guarantee any particular outcome. Past performance does not indicate future results. This information is what was found publicly on the internet. This is all my own opinion. This information could’ve been doctored or misrepresented by the internet. All information is meant for public awareness and is public domain. This information is not intended to slander harm or defame any of the actors involved but to show what was said through their social media accounts. Please take this information and do your own research.
Views: 7330 Chico Crypto
BitMEX Tutorial | How To SHORT & LONG Bitcoin With LEVERAGE! | Leverage Trading For Beginners
BitMEX Affiliate Link 10% Off Fees: https://www.bitmex.com/register/NJu3r0 In this BitMEX tutorial for beginners, I'll show you how to short and long Bitcoin with up to 100x leverage. It's very easy to short Bitcoin with leverage. I'll show you how to assign leverage, put in a Bitcoin short position, how to deposit & withdraw and how to hold two positions open at the same time. Leverage trading comes with risk in the form of a liquidation price, and in this BitMEX tutorial, I will make sure that you'll keep your Bitcoin safe while trading on high leverage. This tutorial works even if you're an American who lives in the US. Use my BitMEX affiliate link at the top of the description to get 10% off the fees for 6 months! Ready to short Bitcoin with leverage? Watch this easy to understand BitMEX tutorial!! Protect your privacy with the VPN that I use: ► NordVPN: http://bit.ly/MoonNordVPN Use code "themoon" for 75% off & 1 month free!! If you sign up with my affiliate link you'll get a 10% discount on the trading fees for 6 months! BitMEX Affiliate Link: https://www.bitmex.com/register/NJu3r0 The charting program I use is called Tradingview, it's free but I use the paid PRO version: Tradingview Affiliate Link: https://tradingview.go2cloud.org/SH2gX 0:37 Create Account (10% Off Fees) 1:05 Deposit BTC 1:20 Contracts: XBT 2:00 Leverage Explained 3:33 Long & Short Examples 4:59 Calculator Tool 5:51 Liquidation Price 7:34 Submitting The Orders 11:20 Withdraw 11:36 Two Separate Positions? Support Me Via Affiliate Links! ⬇⬇⬇⬇⬇⬇⬇⬇⬇⬇⬇⬇⬇ Exchanges I Use: ▶ BitMEX 10% Off: https://www.bitmex.com/register/NJu3r0 ▶ Coinbase Get $10 Free: http://bit.ly/CoinbaseTheMoon ▶ Binance: https://www.binance.com/?ref=11069112 ▶ Binance Jersey: https://www.binance.je/?ref=35023220 Hardware Wallets I Use: ▶ Ledger: https://www.ledger.com?r=f988 ▶ Trezor: https://shop.trezor.io/?offer_id=10&a... Other Essentials: ▶ Brave Browser: https://brave.com/the406 ▶ Tradingview: https://tradingview.go2cloud.org/SH2gX ⬆ ⬆ ⬆ ⬆ ⬆ ⬆ ⬆ ⬆ ⬆ ⬆ Support Me Via Affiliate Links! (I receive a commission for referring users. Some of my links give you a bonus for using my unique link above!) Patreon Videos: https://www.patreon.com/themooncarl Discord: https://discord.gg/P5zPEAv #Bitcoin #BitMEX #BitMEXTutorial
Views: 44153 The Moon
What is Leverage in Trading
Leverage, also known as Financial Leverage, refers to the use of debt, i.e. borrowed money, to acquire assets and increase the potential return of a specific investment. Leverage also refers to the amount of debt a company uses to finance assets purchasing programs. In trading, the most common usages of leverage are: - Through a margin account. - Through options trading. - Through futures contracts. - Though leveraged ETFs. _________________________________________________________________________________________________ Join our free online community of active traders https://tackletrading.com/ and surround yourself with professional coaches and experienced, successful traders as well as new burgeoning traders looking for the right systems to trade and success-minded people to surround themselves with. Make sure to sign up for your free 15-day trial and take advantage of our powerful trading tool box, the Tackle Trading Trade Center, get our weekly Market Scoreboard and Scouting Reports as well as our daily stock market reports. SIGN UP NOW: http://bit.ly/tackle-15-day-free-trial _________________________________________________________________________________________________ DISCLAIMER: Tackle Trading LLC is providing this live broadcast and any related materials (including newsletters, blog post, videos, social media and other communications) for educational purposes only. We are not providing legal, accounting, or financial advisory services, and this is not a solicitation or recommendation to buy or sell any stocks, options, or other financial instruments or investments. Read full disclaimer here: https://tackletrading.com/legal-disclaimer/
Views: 41 Tackle Trading
HEAVY MARGIN DEBT SELLING! Leveraged Silver ETF Down over $26 (AGQ)
http://www.StockMarketFunding.com HEAVY MARGIN DEBT SELLING! Leveraged Silver ETF Down over $26 (AGQ) Silver Stocks Get Crushed AGQ ProShares Ultra Silver was down as low as $170 before recovering $5 to $175.52. The previous close on the AGQ was $202.388 and is currently trading down $27. The (SLV) Silver ETF Silver prices dove over 6% on September 22, 2011 taking the iShares Silver Trust (SLV) taking it down to $35.39, SLV is currently trading at $36.05 down $2.50 from it's previous close of $38.56 as "margin debt selling" hit the markets as world wide markets FEAR kicked in and global equities sold off in a big way. Stocks moved sharply lower at the start of trading on Thursday, extending the substantial downward move seen in the previous session. The major averages all slid firmly into negative territory, with the Dow dropping to its lowest intraday level in a month. In the past few minutes, the major averages have seen some further downside, hitting new lows for the young session. The Dow is down 356.46 points or 3.2 percent at 10,768.38, the Nasdaq is down 76.15 points or 3 percent at 2,462.04 and the S&P 500 is down 35.60 points or 3.1 percent at 1,131.16. While all the "professional traders", "mutual funds", & "hedge funds" were piling into equities ahead of the FOMC Meeting, SMF was telling people to dump stocks and buy puts. A free trial member Ken was able to lock in a solid gain on his AAPL calls and made $37K taking those profits made on the calls and buying deflated put options. Please like, share, subscribe & comment! Video RSS Feed http://feeds.feedburner.com/tradereducation Free Trial Signup http://onlinetradinginvesting.eventbrite.com Trading Community (Free to Join) http://www.DailyStockCharts.com Google +1 http://tiny.cc/GooglePlus1 Follow us on Twitter: http://www.twitter.com/TradingSchool Follow us on Facebook: http://www.facebook.com/OnlineTradingPlatform Tags silver investment, silver collection, peter schiff gold, jim rodgers gold, gold investing, gold, silver bullion, gold bullion, us economy collapse, us inflation, us corruption, economic meltdown, comex default, will comex default, silver "silver coins" "silver prices" "silver price" "silver bullion" "silver bars" "silver investments" "buying silver" "trading silver" "silver index" "silver etf" "silver outlook" "silver futures trading" "silver options trading" "silver stocks" "silver options prices" "silver market" "silver chart" "inflation us" "inflation silver" "silver and gold prices" "silver correction" "silver analysis" "silver trading" "silver chart analysis may 2011" "lower silver prices" "silver buying" "silver investing" "silver investing 2011" "slv correction" "silver investment" "silver trends"
The Long and Short of Inverse ETFs
https://goo.gl/QPCkqk - Start earning with binary options like millions of traders do For active, risk-tolerant traders, an advantageous element of the proliferation of exchange-traded funds (ETFs) is the ability to establish short positions on broad market indexes, sectors, regions and other asset classes without having to use old school shorting techniques. Thank inverse ETFs for that. Inverse ETFs, also known as short ETFs or bear ETFs, usually hold a basket of derivatives, including futures and swaps, that allow the fund to establish short exposure on a particular index or sector. Today, there are hundreds of inverse ETFs trading in the U.S. allowing investors to short everything from the S&P 500 to utilities stocks to U.S. government bonds. Prior to inverse ETFs, traders looking to establish bearish positions would have to, among other strategies, short individual stocks. Shorting individual stocks is risky on a number of levels, not the least of which is the potential for unlimited upside, which would punish shorts. Additionally, individual investors looking to short single stocks may have to borrow on margin and possibly pay hard-to-borrow fees, making a bearish trade costly. Put options have are another favorite idea for bearish positions, but in this case, traders have to get the trade before the options expire whereas time constraints are not a factor with inverse ETFs. While inverse ETFs should not be held for extended time frames, some traders do hold these products for several weeks, opting for inverse ETFs over put options. Clearing Up Some Confusion Among other issues associated with inverse ETFs, one primary source of confusions stems from the fact that inverse ETFs are often mentioned alongside leveraged ETFs. Perhaps that is attributable to the fact that two of the largest issuers of leveraged ETFs in the U.S., ProShares and Direxion, are also major issuers of inverse ETFs. However, leveraged ETFs are different than inverse ETFs. For example, many leveraged ETFs are bullish plays. Second, and perhaps another source of confusion, is that there are plenty of inverse leveraged ETFs. In either case, leveraged ETFs are used to magnify the returns of an index, sector or other asset over an intraday time frame. A triple-leveraged bullish S&P 500 ETF should return 3% on a day when the S&P 500 rises 1%. Conversely, a triple-leveraged bearish S&P 500 ETF should rise 3% on a day when the index falls 1%. Put simply, not all inverse ETFs are leveraged. An unleveraged inverse ETF will, in a perfect world, deliver 1% of the daily inverse returns of the benchmark it is designed to track. For example, an unleveraged S&P 500 ETF will rise 1% on a day when the S&P 500 declines 1%. Leveraged ETFs are best used as daily instruments and the same can be said of inverse ETFs due to the daily re-jiggering necessary to make these products function. Direxion rebalances exposure daily by buying or selling swaps to ensure that each fund tracks as closely as possible to 300% or 200% (or 300%, 20
Views: 37 ETFs
The Painful Truth About Leveraged ETFs
https://goo.gl/QPCkqk - Start earning with binary options like millions of traders do With the current fragile market inspiring more and more investors to make directional bets on the performance of the market, a popular class of exchange traded funds has attracted attention. Unfortunately, the growing popularity of leveraged ETFs is coming at a painful price. IN PICTURES: 20 Tools For Building Up Your PortfolioA PrimerThe popularity of leveraged ETFs is easy to explain. They allow the small investor to make big directional bets on a market or industry without having to assume leverage. Investors can now make leveraged bets without having to open margin accounts. Unfortunately, many investors have been burned badly by investing in these instruments even after making the correct market call. Consider a very popular EFT, the UltraShort S&P 500 ProShares (NYSE:SDS), which is designed to deliver daily investment results which equal twice the inverse of the daily performance of the S&P 500. In other words, the SDS sounds a like a great way to hedge against a market sell-off. If the S&P declines 2% one day, the SDS will go up by 4%. (For more, see Inverse ETFs Can Lift A Falling Portfolio.) A Painful LessonA closer examination reveals this is not the case. In 2009, the S&P 500 began at 903 and today sits at about 880 or a decline of about 2%. One would think that the SDS should be up around 4%. Unfortunately, a chart reveals that the SDS is actually down 10% this year. Even the Ultra S&P 500 ProShares (NYSE:SSO) which is supposed to deliver twice the index result - and thus expected to be down 4% - is down 14% this year. (For more, see Five Ways To Find A Winning ETF.) Are these levered ETFs misleading investors? In actuality, the instruments are being completely candid with investors. The stated goal of the levered ETFs is to produce daily investment results based on the long or short strategy of the fund. Some basic math provides clarity. If the S&P 500 declines 15% one day, to get back to par will require a gain of approximately 18%. A 15% decline for the S&P will result in a 30% decline in the SSO ETF. A 30% decline requires a 43% return to get back to even. But since the SSO mimics the S&P 500, when the S&P gets back to even by going up 18%, the SSO has only appreciated by 36%, not the required 43%. Offer Good for a Limited TimeYou can see the trouble these ETFs can cause when they are misunderstood and used inappropriately. By definition, they are designed for short-term directional bets. From January until March when the market headed south fast, the SDS was up nearly 100%. Similarly, the UltraShort Financials ProShares (NYSE: SKF) and Ultra Financials ProShares (NYSE: UYG) have each staged triple-digit returns over short periods this year. But year to date, both are off over 40%. The Bottom LineUnfortunately for investors, the ETFs are doing exactly what they are supposed to be doing on a daily basis but as long-term leverage instruments they are deadly. Understand the basic simple
Views: 8 ETFs
Shorting ETFs With Options   EWZ Example
http://optionalpha.com - EWZ is the poster child for market randomness and volatility but its recent parabolic move may be coming to an end and we're using options to short this ETF, with a decent margin for error. ================== Listen to our #1 rated investing podcast on iTunes: http://optionalpha.com/podcast ================== Download your free copy of the "The Ultimate Options Strategy Guide" including the top 18 strategies we use each month to generate consistent income: http://optionalpha.com/ebook ================== Grab your free "7-Step Entry Checklist" PDF download today. Our step-by-step guide of the top things you need to check before making your next option trade: http://optionalpha.com/7steps ================== Have more questions? We've put together more than 114+ Questions and detailed Answers taken from our community over the last 8 years into 1 huge "Answer Vault". Download your copy here: http://optionalpha.com/answers ================== Just getting started or new to options trading? You'll love our free membership with hours of video training and courses. Grab your spot here: http://optionalpha.com/free-membership ================== Register for one of our 5-star reviewed webinars where we take you through actionable trading strategies and real-time examples: http://optionalpha.com/webinars ================== - Kirk & The Option Alpha Team
Views: 458 Option Alpha
What Is e-Margin? How To Trade e-Margin Through HDFC securities
HDFC securities presents extended e-margin where you can buy small portion of stock value and get 100% benefit. Trade with HDFC securities e-Margin and enhance your buying power. You can amplify your profit potential for T+5 days with our e-Margin. To Know more about investment options in stocks, golds, derivatives and commodities visit our website: https://www.hdfcsec.com/ Download HDFC securities mobile trading app and stay updated with latest news of stock market. Android Google Play: http://bit.ly/2EF9ZVu Apple App Store: https://apple.co/1CeAvf9 Social Media Links: Twitter - https://twitter.com/hdfcsec Facebook - https://www.facebook.com/hdfcsecurities LinkedIn - https://www.linkedin.com/company/hdfc-securities Subscribe to HDFC securities channel now for latest updates on stocks, business, trading, IPO & many more
Views: 5610 HDFC securities
Stock Investing - Should you use Leverage?
GET MY FREE INVESTING TRAINING CASE STUDY: http://5mininvesting.com/free-case-study/ Do you use leverage? Share this video with a FRIEND who loves investing! If you don’t, you should. It’s the ultimate tool to create wealth. This is how people in real estate create wealth. This is how to achieve exponential growth in the market. The concept of leverage is what took me from 0% to making over 50% per year. Keep in mind that Warren Buffett only makes 30% annually and he is one of the best investors in the market. Of course, Warren Buffett does not use leverage. How does it work? Let’s say you are making 10% return in the market. If you use 50% leverage, you can make 20%. But you need to be very careful when applying leverage. It is very easy to mess up. GET MY FREE INVESTING TRAINING CASE STUDY: http://5mininvesting.com/free-case-study/ Other Related Videos You Might Love: ----------------------------- YouTube: How many indicators should you use? https://youtu.be/uO7ayqS4fZE YouTube: What’s the deadly limitation of technical analysis? https://youtu.be/M5nJ9ZPp4lc Other related Blog Post You Might Love: ----------------------------- Blog Post: Bad Ideas! Why all you can eat is bad for investing? http://5mininvesting.com/bad-ideas/#2-too-much Blog Post: Bad Ideas! When a short term trade becomes a long term trade? http://5mininvesting.com/bad-ideas/#1-short-term ------------------------------- Remember to subscribe and like!
Views: 508 Eric Seto
Follow my progress as I dive head first into investing, while trying not to lose it all!! Robinhood APP - Robinhood - Free Stock Trading Download Links: ANDROID https://play.google.com/store/apps/details?id=com.robinhood.android&hl=en Apple IOS https://itunes.apple.com/us/app/robinhood-free-stock-trading/id938003185?mt=8 Stash Invest APP https://www.stashinvest.com Please note I am not a market professional. I am not responsible for any trading losses that may be experienced by following my wayward lead, in fact I recommend you don't follow my lead. :) Have fun and happy trading.
Views: 1103 Doctor Dividend
48 TIP: ETF Investing
Download Stig & Preston's 1 page checklist for finding great stock picks: http://buffettsbooks.com/checklist Subscribe to The Investors Podcast on iTunes: https://itunes.apple.com/us/podcast/the-investors-podcast/id928933489 Subscribe to The Investor Podcast on Stitcher: http://www.stitcher.com/podcast/theinvestorspodcast/the-investors-podcast?refid=stpr Subscribe to The Investor Podcast on SoundCloud: https://soundcloud.com/theinvestorspodcast Have a question? Get your voice heard on the show: http://www.theinvestorspodcast.com/get-on-the-show.html
Views: 11805 Preston Pysh
How to trade CFDs | IG Explainers
IGTV explains how CFD trading works, from opening an account to closing your position. CFD options are only available via professional accounts. Subscribe: https://www.youtube.com/IGUnitedKingdom?sub_confirmation=1 Learn more: https://www.ig.com/uk/cfd-trading/how-to-trade-cfds Twitter: https://twitter.com/IGcom Facebook: https://www.facebook.com/IGcom LinkedIn: https://www.linkedin.com/company/igcom #cfds #contractfordifference #howtotrade We provide fast and flexible access to over 10,000 financial markets – including indices, shares, forex, commodities – through our award-winning range of platforms and apps. Established in 1974 as the world’s first financial spread betting firm, we’re now the world’s No.1 provider of CFDs and spread betting* and a global leader in forex. We also offer an execution-only share dealing service in the UK, Ireland, Germany, Austria and the Netherlands. Through our low fees and smart price-sourcing technology, we help traders keep their costs down. All trading involves risk. Spread bets and CFDs are leveraged products and can result in losses that exceed deposits. The value of shares, ETFs and ETCs bought through a share dealing account can fall as well as rise. Please take care to manage your exposure. * For CFDs, based on revenue excluding FX, published financial statements, October 2016; number of active UK financial spread betting accounts (Investment Trends UK Leveraged Trading Report released June 2017); for forex based on number of primary relationships with FX traders (Investment Trends UK Leveraged Trading Report released June 2017)
Views: 15477 IG UK
Leveraged ETFs  Are They Right For You  (SSO, DDM)
https://goo.gl/QPCkqk - Start earning with binary options like millions of traders do The appeal of exchange-traded funds (ETFs) is simple: They mix the diversification benefits of mutual funds with the ability to trade on an intraday basis. There are now thousands of ETFs to choose from and more are being added on a regular basis. Tutorial: ETF Investing The purpose of a leveraged ETF is to increase the exposure to and impact from the underlying index or investments in the ETF. For example, the leveraged ETF may attempt to double the return of an index on a daily basis. (To learn more about indexes, see The ABCs Of Stock Indexes and Index Investing.) Leveraged ETFs provide another tool for investors to access leverage in the financial markets. And because purchasing an ETF is as simple as issuing a buy order through your trading account, it is a much simpler process for most than using options, futures and trading on margin. In this article, we'll show you some key considerations to watch out for when purchasing leveraged ETFs. In June 2006, ProShares introduced the first wave of leveraged ETFs, referred to by the company as Ultra ProShares. The ultra ETFs were designed to double the daily performance of the underlying indexes they tracks. For example, the ProShares Ultra Dow 30 ETF (NYSEARCA:DDM) is structured to gain 2% when the Dow Jones Industrial Average gains 1%. More companies such as Direxion followed suit and according to data from Morningstar there are now more than 170 leveraged ETFs with over $30 billion in assets under management at the end of September, 2016. These funds use a number of instruments to hold positions across asset classes including equity, debt, commodities and derivatives. These investments can also be highly concentrated on sectors, for example ProShares UltraPro Nasdaq Biotechnology (UBIO,) or focused on certain geographies like Direxion Daily FTSE China Bull 3X ETF (NYSEARCA:YINN). Do They Deliver? The idea behind such funds is to take advantage of quick day-to-day movements in different financial markets. ProShares Ultra S&P 500 (NYSEARCA:SSO) was launched in 2006 with the aim of doubling the returns of the underlying S&P 500. The prospectus of the fund clearly lays out that the intention is to double the daily return and not over the long term. In fact it goes on to say that for periods longer than a single day, the fund could lose money if the underlying index remains flat or even sometimes when it rises. For example, one a day in October 2016 when the S&P returned 0.48%, the fund gave back 0.82%. A similar trend exists for the performance over 1 week, but anything longer a disparity emerges. On a daily basis, the return of the ultra ETFs has been fairly accurate, but over the long term there are some issues. In theory, a leveraged ETF that returns twice that of the S&P 500 would have generated annual returns of over 13% over the last ten years. The performance of ProShares Ultra S&P 500 fund has been a far cry from its target. Let alone double, the fund's 10 y
Views: 26 ETFs
Should You Borrow Money in Order to Invest?
http://profitableinvestingtips.com/stock-investing/should-you-borrow-money-in-order-to-invest Should You Borrow Money in Order to Invest? By www.ProfitableInvestingTips.com The stock market keeps going up and anyone not invested is losing out. Right? We have commonly preached about having a cash reserve for living expenses and paying off credit cards before investing in the stock market. But interest rates are low and the S&P 500 has gone up 70% in the last five years. If you simply traded on margin, bought an ETF that tracks the S&P 500 you would have paid around 8% a year on your investment capital. So, should you borrow money in order to invest in stocks? How about other investments like your home? How to Borrow in Order to Invest Canadian Business discusses borrowing to invest. It’s often said that fortunes are built with other people’s money. Like many business clichés, there’s a lot of truth to that maxim. There’s nary an empire around that didn’t get started with borrowed money. Individual investors can take the same approach. Borrowing money to invest, also known as margin or leveraged investing, is an increasingly common strategy in Canada. The appeal is that borrowing allows you to buy more securities than you’d otherwise be able to, magnifying your returns. The downside is just as obvious. If your investment goes south, not only could you lose your principal, but you’ll end up owing more money on top of that. How does investing on margin work? Investopedia discusses buying on margin. Buying on margin is borrowing money from a broker to purchase stock. You can think of it as a loan from your brokerage. Margin trading allows you to buy more stock than you'd be able to normally. To trade on margin, you need a margin account. This is different from a regular cash account, in which you trade using the money in the account. By law, your broker is required to obtain your signature to open a margin account. The margin account may be part of your standard account opening agreement or may be a completely separate agreement. An initial investment of at least $2,000 is required for a margin account, though some brokerages require more. This deposit is known as the minimum margin. So, should you borrow money in order to invest? The best time to get into the market is when it is going up and the worst time is just before it corrects, crashes or simply heads down. If you are going to borrow money to invest you need a clear plan of action. Successful investors use the concept of intrinsic stock value to determine if a stock is likely to be a winner or not. An investor investigates a stock to determine if it is likely to generate returns over the years and if its price reflects that promise. When a stock is underpriced compared to its intrinsic value the investor buys the stock. In this case it might be wise to borrow money in order to invest. However, the wise approach is to sell stocks after a run up in order to reduce or pay off the margin. Thus the remaining stock generates dividends and appreciation without causing you to pay interest on the outstanding margin. Over the long haul paying on margin costs around 8% so you need be invested during a strong market upswing in order for this to work. https://youtu.be/p-FIOOu0SL0
Views: 341 InvestingTip
Trading in Active Trader Pro | Fidelity
Learn to leverage Active Trader Pro's single, multi-trade, and directed trading capabilities to enhance your investing experience. Find out more about trading with us at http://fidelity.com/trading To see more videos from Fidelity Investments, subscribe to: https://www.youtube.com/fidelityinvestments Facebook: https://www.facebook.com/fidelityinvestments Twitter: https://www.twitter.com/fidelity Google+: https://plus.google.com/+fidelity LinkedIn: https://www.linkedin.com/company/fidelity-investments Fidelity Brokerage Services LLC, Member NYSE, SIPC, 900 Salem Street, Smithfield, Rhode Island, 02917 614950.9.1
Views: 58574 Fidelity Investments
Live Trading | Guess What ETF Is Turning Around For Profit
*** 8 HR CYBER-MONDAY FLASH SALE $100 OFF, PROMO: CYBER100 Lesson Library: https://learn-plan-profit.teachable.com/p/learn-plan-profit-lesson-library-by-ricky-gutierrez-daytrader-techbuds-stockmarket-tradestocks/?product_id=425947&coupon_code=CYBER100&preview=logged_out 2. Free Group: https://www.facebook.com/groups/206449886400926/ 3. Techbuds App: http://www.techbudsolutions.com/ 4. Get Your Free Stock: http://share.robinhood.com/rogelig27 5. Techbuds Apparel: https://www.techbudsapparel.com/preorder 6. Do You Want To Live In One Of My Entrepreneurial Homes? Sign Up For Free To Reserve: https://www.milkyassets.com/ 7. Techbuds Insta: https://www.instagram.com/techbudsolutions/ 8. Ricky's Instagram: https://www.instagram.com/rickygutierrezz/ 9. Rent a car on Turo, Get $25 Off: https://turo.com/c/rickyg37 For those who are interested in Trading & Investing, I encourage you to join my Facebook Team of over 54,000 Entrepreneurs for free! Thank you for the support, the best way to reach out to me is through our private discord chat, please DM me. If you have any suggestions for future videos such as Day Trading, Investing, Stock Market, Real Estate, Car Sales, Robinhood, TD Ameritrade, Crypto & bitcoin, Entrepreneurship, Forex, Online Marketing, Online Sales or fun daily vlogs. Please let me know. DISCLAIMER: Please note that i do not ask for any information. I always encourage our members to trade ONLY what you understand and never based on anyone's opinion. My videos are for entertainment purposes only.any questions to message me as i would love to be a part of your success.
Views: 5395 Ricky Gutierrez
Dave Kranzler | Using Leverage in Precious Metals & Mining Stock Investing
Returning guest Dave Kranzler of Investment Research Dynamics returns to the program to discuss the use of leverage when investing in precious metals and mining stocks. Dave co-manages a precious metals and junior mining stock fund and is the editor of the Mining Stock Journal and Short Seller’s Journal. Leverage, as any savvy business owner or investors knows, can dramatically increase the growth rate of one’s wealth when things go in your favor. But when you use leverage to invest and things don’t go in your favor, your wealth can begin to evaporate quickly. If the use of leverage goes wrong for the investor it is even possible that you lose all of your invested capital AND more leaving you with a debt to pay off. Many people are attracted to mining stocks because of the built-in leverage they offer relative to the price of the underlying commodity that a mining company mines. Not only are the mining stocks essentially a leveraged instrument, but there are derivative financial products available to the investor that even further increases the leverage already built into a mining stock. In this interview, Dave Kranzler discusses with Bill Powers how to deal with the emotions of greed and fear when investing in mining stocks and also ways in which the investor might utilize the various leveraged financial instruments of margin accounts, put and call options, JNUG and DUST (3x daily ETF’s) and gold and silver futures contracts. 0:05 Introduction of Topic and Guest 1:07 Dealing with the emotions of greed and fear when investing 12:23 Using margin to invest in mining stocks 15:25 Discussing the probability of successful trading 18:11 Using put & call options on mining stocks 24:22 How to play JNUG & DUST (3x daily ETF’s) 29:43 Discussing Gold & Silver Futures Contracts 32:45 Dave’s concluding thoughts regarding leverage Sign up for our free newsletter and receive interview transcripts, stock profiles and investment ideas: http://eepurl.com/cHxJ39 The content found on MiningStockEducation.com is for informational purposes only and is not to be considered personal legal or investment advice or a recommendation to buy or sell securities or any other product. It is based on opinions, SEC filings, current events, press releases and interviews but is not infallible. It may contain errors and MiningStockEducation.com offers no inferred or explicit warranty as to the accuracy of the information presented. If personal advice is needed, consult a qualified legal, tax or investment professional. Do not base any investment decision on the information contained on MiningStockEducation.com or our videos. We may hold equity positions in some of the companies featured on this site and therefore are biased and hold an obvious conflict of interest. MiningStockEducation.com may provide website addresses or links to websites and we disclaim any responsibility for the content of any such other websites. The information you find on MiningStockEducation.com is to be used at your own risk. By reading MiningStockEducation.com, you agree to hold MiningStockEducation.com, its owner, associates, sponsors, affiliates, and partners harmless and to completely release them from any and all liabilities due to any and all losses, damages, or injuries (financial or otherwise) that may be incurred.