The leverage in which the so-called recourse borrowing is used. It is backed by collateral posted by the borrower. The...

A theory that centers on the assumption that the value of a levered firm equals the value of same firm...

An interest rate swap which pays LIBOR square (LIBOR is raised to the second power) or any power of the...

An interest rate swap in which the floating rate leg pays LIBOR square (LIBOR, or any floating reference rate, is...

In simple terms, leverage revolves around doing more with less. In finance, it refers to the ability of an investor...

A ratio that relates a bank's total debt to its equity/ capital or assets. Depending on the denominator, this ratio...

A financial leverage that negatively impacts return on equity (ROE). A firm with any amount of debt is said to...

The financial leverage in which debt is related to net equity as shown in the following formula: This tool is...

A process whereby a financial institution capitalizes on mismatches between the two sides of its balance sheet (assets and liabilities)....

A form of leverage that an entity can attain from an off-balance sheet item (asset, liability, financing activity, etc.) By...