Leverage may be the Biggest Wealth Building Secret! Dave Ramsey Will Hate This!

Leverage may be the Biggest Wealth Building Secret! Dave Ramsey Will Hate This!

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Leverage is an essential tool for building wealth. Sorry Dave Ramsey. AJ explains the What, Risks, How and Why’s of leverage.

What is leverage

“The use of credit to enhance one’s speculative capacity” Mariam Webster’s dictionary

Borrow money to attempt to make more money

Risks of Leverage

  1. Risky
  2. Costly
  3. Complex

How to leverage

  1. Trade on Margin
  2. Buying a company
  3. Mortgages

Why leverage

  1. Higher investing power
  2. Tax savings

Author

  • After attempting college, AJ joined the Marine Corps. When he left active duty, he worked in retail for a few years before returning to college. Several years later AJ was awarded his Bachelor in Science in Computer Science. Soon after, AJ began working in the tech industry as a Junior Developer. AJ continues to work in tech, however, he began to cultivate a passion for personal finance. For AJ, the concepts began to click and he felt a need to help others understand how to be financially free. If AJ can do it, any Idiot can.