That's the thing ain't it? All about risk apportionment. My...

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Violin1

1,306 Posts.

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19/12/21

23:59

Post #: 58400080
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Originally posted by Esq111: ↑

Afternoon Chippers,

Hope we all have a calm and relaxing Christmas holiday period.

Big thankyou to all contributors, the collective input has been immense & truely informative.
Gives but a glimpse of the truely enormous pipeline of industry applications which AKIDA can help, solve or create.

Interesting the forum talk on dividends, buybacks, etc.

Just a thought, for those amoung us which require a income from our investment in BRN, yet another option would be to use a margin loan against one's BRN holding, up to 65% on blue chip stocks, and invest this in a basket of top 20 dividend yealding stocks, whilst still retaining their BRN position.

Naturally the above scenario is not for everyone as each and everyone has their own risk , reward pain tolerance.

Interestingly, BRN although in the ASX 300 index, also in the ASX Tech index, and traded on at least three different stock exchanges globally.......

Comsec dose not allow BRN to be used as collateral for a margin loan.......YET.

Funny thought, I think most chippers, if able to use their BRN stock for a margin loan would potentially just buy more BRN stock, in turn supercharging the share price, and in turn make it even more unpleasant for the shorters to close out their positions.

Any way, food for thought, margin loans are not for everyone, and need to be fully understood before engaging in.

THIS IS DEFINITELY NOT FINANCIAL ADVICE.

Merry Christmas all.

Regards,
Esq.

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That's the thing ain't it? All about risk apportionment. My conundrum would be why buy 20 potential share trap shares with a margin loan that could be called if BRN goes down and top20 may be so-so. If you believe then why not (as you query @Esq111) buy more BRN? I'm sitting with a slight leverage hoping BRN goes gangbusters in 2022. My risk-return says BRN is a better gamble than anything else.

nooot advice....DYoR

Last edited by Violin1: 20/12/21

BRN Price at posting: 72.0¢ Sentiment: Buy Disclosure: Held
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