Hi All, I've been paying more attention to my margin loan lately and am trying to understand how I can make more use of it. As an example, say I have: Shares: $200K, with a maximum gearing ration of 70% Margin Loan: $100K, therefore Gearing Ratio: 50%. Margin Value: $140K (based on 70% gearing ratio) Margin loan buffer: $40K. Now, say I buy $40K of another blue chip share by withdrawing from my buffer of $40K. My new position is: Shares: $240K Margin Loan: $140K Gearing Ratio: 58.3%. Margin Value: $168K Margin loan buffer: $28K Does that look right? It's doing my head in a bit. To start with I have $40K of available funds. I withdraw all of this money to buy more shares, and at the end I have a new position where I still have $28K of funds available. Am I doing something wrong? John.