Investors can use margin to acquire exchange-traded funds.

Name: Investors can use margin to acquire exchange-traded funds.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Yes, investors can use margin to acquire exchange-traded funds, just as they can use margin to acquire individual stocks. Margin is a form of borrowing from a broker to increase purchasing power and potentially increase returns, but it also carries increased risk as losses can be magnified. It's important for investors to understand the risks and limits of using margin.

Investors Can Use Margin to Acquire Exchange-Traded Funds