Buying Stocks With Borrowed Money Hits Levels Last Seen Before Major Market Crashes, Raising New Warning Signs

Source: International Business Times

Margin debt, the money investors borrow from brokerage firms to purchase stocks using existing investments as collateral, has surged more than 40% over the past 12 months. Michael M. Santiago/Getty Images Investors are once again piling into the stock market with borrowed money at a pace that has historically preceded some of Wall Street's biggest downturns, according to new research, raising concerns that the current bull market may be entering a more vulnerable phase.