Operating your private and investment accounts separately clarifies the deductable expense at tax time. The thought trying to apportion interest expenses from a single account is terrifying (if not impossible). Some people go as far as having separate trading and investment accounts for the same reason.
How much of the ASX is actually pumped up on margin loans and other lines of credit including mortgage draw downs?
This is an important question because it defines the extent to which the market will react to tightened credit conditions and declining property values.
