Borrowing money to make money is fine as long as that investment vehicle is relatively low risk. i.e. property at a reasonable price, businesses at a reasonable p/e, and even stocks in this environment that are sustainable.
I have never borrowed a cent to buy stocks and sold 70% of my folio last year in anticipation of a large decline in the stockmarket...
Cashed up now and ready to pick them up off the floor...but it ain't that easy!
Last month I was thinking "1 more panic sell and I'm in", but is this the bottom??? I think it is close, but who knows???
Final thought is that I am soooooo glad that I never used margin lending to leverage my shares. I can handle losing value in shares that I hold, but to lose the lot from leveraging would be devastating!
