When investing the extra cash that comes from leverage, it should be towards your desired asset allocation. That allocation should be a diversified portfolio (e.g. the Bogleheads portfolio). For example, if your current allocation is deficient in US large cap, you can use leverage to increase that particular allocation.
+
When investing the extra cash that comes from leverage, it should be towards your desired asset allocation. That allocation should be a diversified portfolio (e.g. the Bogleheads portfolio). For example, if your current allocation is deficient in US large cap, you can use the cash from leverage to increase that particular allocation.