Is it wise to obtain loan and invest in stock market?

please comment on this great idea
i am a second year student....
i am eligible to obtain educational loan(approx abt 4000$ ) and at the same time my family can bear my education cost...
is it wise to claim the loan and invest as a long term investment in share market....
my parents will be paying my college fees and i will be investing in the market from my loan....
i will have to repay the loan only after i complete my college...assume i will get job immediately after i complete the degree.
is this safe to do this??
i think this is a stupid idea....
but just wanted to get ur comments before i talk about this to my parents

i can wait for 3 years minimum

It is a bad idea, so you're on the right path if you are realizing this already on your own. It is a gamble to invest money that you already know you will have to repay, with no assurance that it will benefit you. Now if you were to invest in guaranteed return stocks, with a maturity date on say 5 years, that would be a different matter. Be sure to verify the interest and finance charges attached to the loan first though, to be sure that the return on the stocks will offset it. Good luck!!

well it depends on what u invest in. if u invest in a high risk stock u will get more money in a shorter amount of time but have a much higher chance of losing it all. i'd say invest in a low or medium risk stock now and use the money from ur investment to pay off the loan after u graduate.

No. It is madness, because no one can predict what will happen to stock market prices. People who do this kind of thing are professional fund managers operating investment trusts.

NEVER borrow money to invest in the share/stock market . Look at what the percentage rate of the loan would be. Look at what percentage you would expect to get back from your investment.
If you wanted to borrow to start a small business, based on the field of interest that you are studying that would make some sense., but otherwise don 't get yourself into debt. Learn to save up for what you want and put your money into a savings account where the money that you have earned or been given as gifts will earn interest.

I dont think u shud invest at this point of time....All markets are up and if there is 40% -50% fall in share markets then it would be a good time to invest fro 3 yrs

First you have to find out if it is a legal use of the loan. Securities laws restrict and control the use of borrowed money for investments. Normally brokers advance the loans, called margin, for investment purposes.
Taking the long view a $4000 investment at your age could be worth millions when your are in your 70s. With a good job nowadays the money could be paid back within a year and if lost when you are 70 it will be only a tiny blip on your long life. My advice start early and save and invest all of your life.

Yes. It's a good idea.

You will have $40,000.00 by the time you graduate. (Asuming I am your Portfolio Manager)

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Go for it! May the market be with you.