Share:
Print:

This is an information service. By browsing on the website and/or using our search tools, you are asking RateCity to provide you with information about Margin Loans from multiple financial institutions. We will try to show you a range of products in response to your request for information. The search results do not include all provider sand may not compare all features relevant to you, for further details refer to our FSCG. The rating shown is only one factor to take into account when considering these products. See the rating methodology We are not a credit provider, and in giving you product information we are not making any suggestion or recommendation to you about a particular credit product. If you decide to apply for a Margin Loan, you will deal directly with a financial institution, and not with RateCity.

Margin Loan Account

Start a margin loan account to begin borrowing cash for your share market or managed fund investments. Your cash or shares are held in the account as security for the loan.

By starting a margin loan account, you can boost your investment potential by borrowing for larger investments, which is known as gearing. This means that a margin loan account can return high profits in the event of your share value increasing. However, it will also incur bigger losses if share prices fall.

A margin loan account gains equity when the gap between your borrowed amount and the value of your investment widens. However, if your investment value falls below your borrowed amount, you will achieve negative equity, which runs the risk of requiring you repay more money than what you have left.

Every margin loan account has its own loan to value ratio (LVR), which measures your initial deposit.

Visit our margin loan comparison page for some of today's best interest rates on margin loan accounts.


Advertisement

About Margin Loans Articles

RateCity provides margin loan news and features, including a range of weekly stories and economic updates. By checking our margin loan news and features daily, you can ensure that you receive up to date, expert commentary on current financial and economic issues. Before you search, compare or apply for the best margin loan for you, help yourself understand the market by reading mortgage news and features at RateCity.