tag:blogger.com,1999:blog-8345069859964317097.post2416042563354343331..comments2024-01-04T18:56:47.125+08:00Comments on Financial Freedom: CFD - Certificate For DeathUnknownnoreply@blogger.comBlogger3125tag:blogger.com,1999:blog-8345069859964317097.post-75834228830820251412009-10-09T23:02:26.195+08:002009-10-09T23:02:26.195+08:00Yep. Just remembered that Rich Dad Poor Dad says t...Yep. Just remembered that Rich Dad Poor Dad says that we should not fear leverage but instead respect it. <br /><br />Good debt is better than bad debt.FFhttp://sgfinancialfreedom.blogspot.comnoreply@blogger.comtag:blogger.com,1999:blog-8345069859964317097.post-81043557783478983402009-10-02T10:44:54.654+08:002009-10-02T10:44:54.654+08:00Leverage is great if you know how to use it. I am ...Leverage is great if you know how to use it. I am also not a really big fan of leverage trading but leverage investing with a medium to long time frame is great for creating wealth. I do agree that CFDs in the wrong hands is a death trap for many people.Unknownhttps://www.blogger.com/profile/04591604859961692539noreply@blogger.comtag:blogger.com,1999:blog-8345069859964317097.post-15641173930104546262009-10-02T10:10:43.827+08:002009-10-02T10:10:43.827+08:00There are no shortcuts to building wealth. If we w...There are no shortcuts to building wealth. If we wish to own a share of DBS (trading at $12.80 now) and only stump up $1.28, this means we are on 90% leverage. Should the share price fall sharply and trigger a margin call, you may lose more than 100% as you were using CFD borrowed money to own a blue chip.<br /><br />That's why I do not encourage leverage. Invest only with money you have.<br /><br />MusicwhizMusicwhizhttps://www.blogger.com/profile/10950754156386935254noreply@blogger.com