The most intricate plan. Each period it does two things:
- Base contribution. Your free cash per period— the same per-period figure every plan invests from (income minus bills, caps, and goals) — is invested from cash. (There is no fixed "base deposit" anymore; that was a phantom constant and is gone.)
- Margin pull (Y). On top of that, the strategy borrows against the portfolio to pay an obligation — a bill, a debt minimum, or extra principal on a high-rate debt — and the cash that wouldhave paid it is invested instead. The invested amount equals the borrowed amount; it's the same dollars on both sides.
So total invested this period = surplus + Y; margin balance grows by Y; bills float is cash-neutral; principal paydown drains chequing (above your cash cushion). Over time, dividends on the now-larger portfolio pay the margin down and the high-rate debt shrinks. The leverage is layered on top of your real surplus — it is never funded by inventing cash you don't have.
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