LeverageTo derive additional benefits from existing resources.
LeverageIn 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.
LeverageThe 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.
Financial leverage clienteleFinancial leverage clientele
A group of investors who have a preference for investing in firms that adhere to a particular financial leverage policy.
Net benefit to leverage factorNet benefit to leverage factor
A linear approximation of a number, that enables one to operationalize the total impact of leverage on firm value in the capital market imperfections view of capital structure.
Reverse leverageReverse leverage
The investment of borrowed money where the return fails to match the interest payable on the loan.
Leverage on a warrantLeverage on a warrant
A measure of 'true gearing' which measures how much more a warrant will move in percentage terms against the underlying asset. Calculated by multiplying the delta by gearing. Also known as elasticity, or omega.
Unleveraged programUnleveraged program
The use of borrowed funds to finance less than 50% of a purchase of assets. In a leveraged program borrowed funds are used to finance more than 50%.
Further SuggestionsLeverage clientele
Unleveraged required return
Leveraged investment company
Target Leverage Ratio
Optimum Leverage Ratio
Reverse leveraged buyout
Leveraged required return
Highly leveraged transaction (HLT)