High margin debt isn't a warning sign, but this is what to watch for, according to a fund manager.
Record Margin Debt: The U.S. stock market has seen a record-breaking rally, coinciding with an unprecedented amount of margin debt exceeding $1 trillion in August.
Expert Opinion: Brian Jacobs from Aptus Capital argues that the high margin debt is not as alarming as it appears and should be viewed as a symptom of market growth rather than a precursor to a downturn.
Contrasting Views: Economist David Rosenberg expressed concern over the margin debt levels, labeling them "pretty scary," highlighting differing perspectives on the implications of this financial behavior.
Market Indicators: Jacobs suggests that the margin debt is merely a coincident indicator reflecting the current market conditions rather than a definitive sign of impending market collapse.
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Record Margin Debt: The U.S. stock market has seen a record-breaking rally, coinciding with an unprecedented amount of margin debt exceeding $1 trillion in August.
Expert Opinion: Brian Jacobs from Aptus Capital argues that the high margin debt is not as alarming as it appears and should be viewed as a symptom of market growth rather than a precursor to a downturn.
Contrasting Views: Economist David Rosenberg expressed concern over the margin debt levels, labeling them "pretty scary," highlighting differing perspectives on the implications of this financial behavior.
Market Indicators: Jacobs suggests that the margin debt is merely a coincident indicator reflecting the current market conditions rather than a definitive sign of impending market collapse.
Record Margin Debt: The U.S. stock market has seen a record-breaking rally, coinciding with an unprecedented amount of margin debt exceeding $1 trillion in August.
Expert Opinion: Brian Jacobs from Aptus Capital argues that the high margin debt is not as alarming as it appears and should be viewed as a symptom of market growth rather than a precursor to a downturn.
Contrasting Views: Economist David Rosenberg expressed concern over the margin debt levels, labeling them "pretty scary," highlighting differing perspectives on the implications of this financial behavior.
Market Indicators: Jacobs suggests that the margin debt is merely a coincident indicator reflecting the current market conditions rather than a definitive sign of impending market collapse.
Launch of RAAA ETF: Reckoner Capital Management has introduced the Reckoner Leveraged AAA CLO ETF (RAAA), the first ETF offering leveraged exposure to AAA-rated collateralized loan obligations (CLOs), aiming to provide higher yields through selective investment and moderate leverage.
Market Positioning: The RAAA ETF distinguishes itself in a growing market by focusing on high-quality CLO assets, utilizing up to 50% leverage, and actively managing risks to attract yield-seeking investors while maintaining capital preservation.







