Felix says theory supports leverage for young investors, but margin can “blow up”

What was said

""And therefore, you should borrow to invest to get closer to your optimal lifetime exposure to stocks." "Now, should people use margin? The the downside of margin is that you can lose everything. You can you can have a total blowup.""

Discussing lifecycle asset allocation, Felix says some economic models imply young investors should reach their “lifetime exposure” to equities earlier, potentially by borrowing to invest. He cautions that using margin can lead to catastrophic losses and says he is hesitant to tell people to do it in practice, citing behavioural and practical risks.