I'm trying to think through appropriate times to utilize margin on a brokerage account. It seems like some sort of dividend strategy with high yield, blue chip stocks would be a great chance to capitalize on margin but please feel free to explain why that's idiotic as well.

This is difficult to answer. Have stops.

Intraday - sure. The real benefit of margin is being able to turn over your account without the cash settlement wait

You're exactly right. I think this is an at best secondary and possibly tertiary level benefit of margin. I'm just trying to talk myself out of not getting 2x the dividends on companies like IBM, XOM, MSFT, MO, PM, etc. This isn't a trading account, this is a minimal risk for maximum return account.

Non-retirement, after tax brokerage account
Backed nearly dollar for dollar by high yield savings accounts.

Forex

KT_Ag08 said:

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You're exactly right. I think this is an at best secondary and possibly tertiary level benefit of margin. I'm just trying to talk myself out of not getting 2x the dividends on companies like IBM, XOM, MSFT, MO, PM, etc. This isn't a trading account, this is a minimal risk for maximum return account.

Non-retirement, after tax brokerage account
Backed nearly dollar for dollar by high yield savings accounts.

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How do most stocks trade after ex dividend?

All in baby!! Get liquidated or boats n hoes!

When margin rates were 2-3%, it was a lot easier to make a case for using a margin account.

I miss cheap money.

I don't use margin.

It amplifies your losses more than it amplifies your gains.

Trading options on margin is like day trading, you never hear from folks losing money. But losing is easy to do if you only partially understand what you're doing. And it's easy to make money if you do your homework.

If you want to trade on margin look at Interactive Brokers, they have probably the lowest margin rates of anyone.