Leverage


 

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Leverage

To derive additional benefits from existing resources.

Leverage

In the US, the ratio of a company's long term debt, typically bonds and preferred stock, to its equity in its capital structure. The greater the long term debt, the greater the leverage.

Leverage

The use of debt financing, or property of rising or falling at a proportionally greater amount than comparable investments. For example, an option is said to have high leverage compared to the underlying stock because a given price change in the stock may result in a greater increase or decrease in the value of the option.



Leverage

Similar Matches

Leveraged required return

Leveraged required return

The required return on an investment when the investment is financed partially by debt.


Reverse leveraged buyout

Reverse leveraged buyout

Bringing back into publicly traded status a company that had been privatized by way of a leveraged buyout.


Target Leverage Ratio

Target Leverage Ratio

The ratio of the market value of debt to the total market value of the firm that management seeks to maintain.


Leveraged lease

Leveraged lease

A lease arrangement under which the lessor borrows a large proportion of the funds needed to purchase the asset. The lender has a lien on the assets and a pledge of the lease payments to secure the borrowing.


Reverse leverage

Reverse leverage

The investment of borrowed money where the return fails to match the interest payable on the loan.


Further Suggestions

Leverage clientele
Leveraged equity
Financial leverage
Net benefit to leverage factor
Leveraged stock
Leveraged recapitalization
Financial leverage clientele
Highly leveraged transaction (HLT)
Unleveraged beta
Unleveraged program
leverage on a warrant
Reverse leverage
Debt leverage
Homemade leverage
Operating leverage
Optimum Leverage Ratio
Unleveraged required return
Leveraged investment company
Leveraged company
leveraged buyout


 
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