Hello. I am new to the stock market as of 2021, initially entered via my employer IPO, but have since branched out into my own investing.
I got ahead of myself late 2021 and put all of my non-emergency cash into the market. Then also put myself into -38k cash value in my account after buying more Google than I had cash in my account. My thought was, and I realize I’m foolish now, that Google would continue to rise and I’d chip away at the margin with ongoing gains.
My current situation isn’t critical, but is not ideal. My brokerage account net value is currently $150k and down 30%. This includes the -38k margin (net value of investments is $188k currently).
I’m being charged $380/mo interest now on that margin, don’t really want to put more of my emergency cash in to eliminate it (I have $40k savings set aside), and don’t really want to sell any of my equities at their current losses.
What would you do in this scenario? Continue riding the monthly interest and chip away with cash as I go? Or hold until the market hopefully goes up and my holdings gain in value greater than the interest I’ve been paying?
It’s not killing me – but I’m really bothered watching my stocks all lose value AND interest being charged monthly.
I’d be fine in a margin call if that were a thing – I really just generally didn’t understand fully what I was doing with that margin purchase and wish I would’ve held off.
I’m also generally aware that I let fomo get the best of me and went all in at a terrible time. I’ve been beating myself up over this regularly, but feel free to add to my shame if you’re so inclined.
I was thinking long term 20+ yrs with the investments I yolo’d into, FWIW.
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