How to get a 278% return Vs. a 10% return using the same amount of initial investment.
Borrowing to invest if done correctly can magnify gains. However it’s a double edged sword, it can also magnify your loses. Any investment that has the potential to earn you lots of return also should have the potential to lose a lot of money for you. If someone says otherwise, I recommend you get out :). Important concept here is your risk tolerance. Let’s take a look at an example. If you borrowed $100 000 @ 6%, and earned a…