If you have been in the stock market for a long time, you will experience a lot of things. For veterans of the stock market, the stock market is a place full of traps and landmines. Take leveraged stock trading, for example. Although leveraged stock trading can yield huge returns, the risks are very high and the harm to society is also huge, so we must know how to measure it. So how to leverage stocks?
Methods of leveraged stock trading
1. We must understand that leveraged stock trading is expressly prohibited by the state. The state clearly stipulates that any company is prohibited from allocating funds for stock trading, and all activities that provide funds for stock trading are illegal. This eliminates the source of leveraged stock trading.
2. The essence of leveraged stock trading is stock trading with funds. That is, investors apply to a capital allocation company, use their own funds as guarantee for financing, and then put the financing into stock market speculation
3. The way to obtain capital allocation for leveraged stock trading is usually done online. . When the country does not explicitly prohibit stock trading with capital allocation, investors can register an account with a capital allocation company online and apply for membership.
4. After registering as a member, investors need to perform identity authentication. The funding company will verify your identity. Determine whether you are qualified for capital allocation, and the capital allocation company will notify you of the result soon.
5. When you are qualified for capital allocation, you need to deposit principal with the capital allocation company. After you deposit the principal into the capital allocation company, you can apply for capital allocation from the capital allocation company. You can freely choose the capital allocation, there are 1:1 capital allocation and 1:5 capital allocation. There are even equity allocations of 1:10 and 1:20.
6. Of course, the capital allocation company will not allocate your capital for free, and the capital allocation company will charge you interest. Interest is charged on a daily basis. If you allocate 50,000 yuan, the interest you pay every day is 20 yuan.
7. The principle of closing positions in capital allocation. Almost all capital allocation companies will forcefully close your position after you lose 10% of your total capital. For example: If you contribute 10,000 yuan of principal yourself, allocate capital at a ratio of 1:5, and allocate 50,000 yuan of capital from the capital allocation company, at this time, your total capital will be 60,000 yuan. . Then, when the market value of your stock falls below 54,000 yuan, the capital allocation company will forcibly sell your stock. At that time, you will have nothing with your capital and profits.