Why Borrowing Against Stocks Has Always Been Expensive

In the US, retail margin loans charge 8–13% annually. In emerging markets, the cost can reach 30–50%. Minimum balances are high, access is gated, and every dollar of interest compounds against your position indefinitely.

Spout removes the cost entirely. The lender side is paid from the yield the collateral generates, not from borrower interest. The borrower never pays a dime.

Traditional vs Spout