Quote:
Originally Posted by Barbecue
It's possible, its more likely to lose that money or break even, especially when the break even bar is raised and you have a market that isnt doing as well as it has historically
What my issue is, its throwing the advice of using the money to invest while you are borrowing. it's counterproductive and it only serves to pay the advisors and bankers.
Sure, we might have an idea as to what their age range is, but we dont know what their goals are (like moving into a better house), how aggressive they want to get it and more importantly we dont know what their risk tolerance is. Someone has to have a high risk tolerance to want to do leveraged investing. Would you not agree that if someone has a moderate or slightly higher than moderate risk tolerance shouldn't be talked into leveraged investing?
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I'm not talking about leveraged investing. I'm talking about someone who has a mortgage on a property already and wins money in the lottery. You can call this leverage if you like, but I'm not suggesting that they run out and borrow more money. You're doing your best to suggest that because they're not paying down the mortgage though that this somehow constitutes leverage; it does not. As I mentioned in the other thread, this is a hypothetical scenario and we obviously don't have all the facts. Of course we don't know their goals and dreams because its hypothetical! No one is getting talked into anything because these people don't exist! As I also mentioned in the other thread, I'm curious to know your credentials and why you have this axe to grind with advisors. What do you do for a living?