What does the term leveraged silver mean? Anyone care to answer it for me so I understand it better? Thanks,
First to understand leveraged silver investing, it’s vital to know what leverage is, how it works, and the different types of leverage an investor can use. Leverage as Princton defines, “money as a way to amplify potential gains.” Now most of this leverage will be borrowed money, but there are other types of levearage such as futures contracts, options, and time. Second, if you could find a silver mining stock that would pay a high enough dividend yield to pay the margin payments, then technically you’d own the stock with borrowed money. But again, leverage is great for stocks moving in your favor, but can burn when going against you. It takes an incredible amount of financial knowledge and experience to profit from leverage.
Thanks so much for explaining this to me. I sort of understand it now. I saw it on a site talking about leverage but got nothing out of the article because it never explained what it meant.
Well Explained by Ginger, Leverage is a very common term in Finance ,if you were a finance major you would've known Just kidding