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Margin Loans

Discussion in 'Finance & Banking' started by jrc77, 25th Jun, 2008.

  1. jrc77

    jrc77 Well-Known Member

    26th May, 2008
    Just doing some research on margin lenders and had a few questions.

    1. Does anybody have a margin lender they recommend? I have done a few searches on this forum and people seem to speak highly of Leveraged Equities. For the managed funds that I want to invest in, St George and Suncorp seem to have the best LVR's.

    2. How do you transaction on managed funds through the margin lender? I know for the initial application you fill out the managed fund application form and send it to the ML. After this how would I top up on a fund? For example if I was using the CFS wholesale, can I purchase additional units through the CFS website, or does it all have to go through the ML?


  2. Nigel Ward

    Nigel Ward Team InvestEd

    10th Jun, 2005
    1. BT have been okay (not great, but okay). Generally good LVRs and broad range of shares and managed funds they'll lend against.

    2. Generally you just put the application forms for the fund plus a letter instructing your ML eg. Please take $x from the linked account plus draw $y in loan funds to subscribe for Z units in the ABC fund as per the attached application form.

  3. Sacko

    Sacko Well-Known Member

    20th Aug, 2007
    Central Coast, NSW
    I use LE for my Margin Loan I have invested in direct shares and the Vanguard ASX Indexed Fund via the facility.

    When you want to top up your holding (or sell) you just send a fax through to your account manager and in the couple of days if appears in your transaction history.

    I've found that I get the confirmation of the unit number through from Vanguard before LE up date their records, in the meantime it just sits at the purchase price.