A speculative technique whereby an investor borrows part of the money needed to buy a particular stock.
A)dollar cost averaging.
B)dividend reinvestment plan.
C)buy and hold technique.
D)margin.
E)secured transaction.

Question

Quizplus · Accepted Answer

The technique described in the question is margin trading, which involves borrowing funds from a broker to buy securities. This allows investors to potentially increase their returns, but also exposes them to greater risk, as losses on the invested funds can exceed the initial investment.

A Speculative Technique Whereby an Investor Borrows Part of the Money