Any Books On Stocks And Investments

Are there any books on using debt to invest in stocks?

I use debt to invest but I would highly recommend you not to do so in the stock market. The reason?There is something in the financial markets called volatility.Volatility refers to the amount of uncertainty or risk about the size of changes in a security's value. A higher volatility means that a security's value can potentially be spread out over a larger range of values. This means that the price of the security can change dramatically over a short time period in either direction. A lower volatility means that a security's value does not fluctuate dramatically, but changes in value at a steady pace over a period of time.Problem with stock market, let’s take American stock exchange S&P500, is that it has medium-high volatility meaning there is a medium-high risk that you will lose any/all/part of your investment.Let’s take 2008 financial crisis, if you had used debt to invest in stock market, you would have lost ~36% of your investment and you would owe the principal to the creditor.This is a curve that represents risk and return of portfolio with various Bond and Stock splits. This should give you some idea as to what investments are low, medium, and high risk.As you can see, the higher the risk the higher the return. Since you took a debt to invest, you should be aiming for low risk investments which could be government bonds.10 year US government bond is currently offering ~2.4% interest with guaranteed principal payment at bond maturity which could potentially make good low risk investment but in your case you have to consider other factors which is:Loan interest rateCosts (transaction fees, other charges)Investment risk levelInvestment returnIn an ideal scenario, if you were able to get a loan without any interest and you are only obligated to pay the principal with low costs. This would certainly make a good investment for US government bonds which will provide you with ~2.4% net return.If you are able to find such scenarios then certainly go ahead and use debt to invest but definitely not in stock market.