Signs of a Bubble: 4x Leverage Brokerage Account Ads
Saw this in the Wall Street Journal today and it blew my mind!
The ad is from Interactive Brokers (Nasdaq: IBKR).
Shows how you can get 20% total returns from 4x leverage and five 5% dividend paying stocks. My absolute favorite line is:
IB will lend me x4 at 1.25% (with Portfolio Margin I can leverage up to 6.6 to 1, but I will leave a cushion)
The two things that have led the most men (and women) astray are debt and alchohol. I will leave the 4x leverage to someone braver (read: less brains)