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Originally Posted by Ab
If you buy an asset and it increases in value you don't need to liquidate it to obtain benefit from it. A share portfolio (or a house) worth lots of money is an asset. Thus you can borrow against it and use the money you borrowed to buy stuff. Like more shares or houses. If those shares or houses increase in value to the point where they're worth considerably more than the debt you took on to purchase them, you can borrow against them. To buy more assets. Like more shares or houses. Lather rinse repeat.
| Cool I wasn't aware that you can borrow against a share portfolio.
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Protecting your peace is way more important than proving your point. Some people aren't open to cultivating their views. Just let them be wrong.
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