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Derivatives and Leverage

In general, leverage (or gearing) can be defined as borrowing funds to make investments. In the context of derivatives trading,...

Financial Ratio

A comparative measure that relates one or more financial statement item(s) to one or more financial statement item(s). A financial...

Leverage Ratio

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