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.
Leverage clienteleLeverage clientele
A group of shareholders who, because of their personal leverage, seek to invest in corporations that maintain a compatible degree of corporate leverage.
Leveraged recapitalizationLeveraged recapitalization
Often used in risk arbitrage. A public company takes on significant additional debt with the purpose of either paying an extraordinary dividend or repurchasing shares, leaving the public shareholders with a continuing interest in a more financially leveraged company. Popular form of shark repellent See: Stub.
Leveraged investment companyLeveraged investment company
An investment company or mutual fund entitled to borrow capital for its operations. Also, an investment company that issues both income shares and capital shares.
Debt leverageDebt leverage
Amplification of the return earned on equity when an investment or firm is financed partially with borrowed money.
Target Leverage RatioTarget Leverage Ratio
The ratio of the market value of debt to the total market value of the firm that management seeks to maintain.
Further Suggestionsleverage on a warrant
Highly leveraged transaction (HLT)
Net benefit to leverage factor
Optimum Leverage Ratio
Financial leverage clientele
Leveraged required return
Reverse leveraged buyout
Unleveraged required return