Sunday, 10 October 2010

I don't own stocks. I lease them!



When do you own a stock?

When you paid for a stock with no intention to sell it for profit at the near future; then you can be thought of owning a stock.

When do you lease a stock?

When you paid for a stock with a definite intention to sell it for profit at the near future; then you can be thought of leasing a stock.


So I don't own stocks; I lease them.




2 comments:

  1. Hi,

    I have another view:
    You own a stock when you are paying in full amount.
    You lease a stock when you are not paying in full amount, eg using CDF or other margin tools.

    Regards,
    Freedom Achiever.

    ReplyDelete
  2. Hmm... CFD and Margins may be are like going to a popular furniture outlet paid a down payment for a piece of furniture and use for a while and then return. LOL

    ReplyDelete