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The environment now is different: since leverage is not much of an option in any industry at the moment, the banks look more attractive than they did.
Any such restriction would eat into their profitability, since leverage supercharges returns when bets pay off.But dictating a lower leverage ratio would not cure all ills, the banks argue.
Don't think you're scot-free if you've never financed your stock purchases, though, since leverage can magnify stock movements in both directions, many economists say.
This is vexing since leverage is much greater than in 1994 when Fed rate increases also caught speculators off guard and killed broker Kidder Peabody, the finances of Orange County, Calif .and the Mexican economy.
Since leverage is designed to capture the similarity or dissimilarity in degree between a node and its neighbors, examining leverage made this assortative behavior apparent.
Since leverage is of O(N) (i.e. scales linearly with network size), increasing the network size has little effect on the computational load.
Similar(53)
The food bank has since leveraged lessons learned and expanded to additional ECE programs.
Modell has since leveraged his team and stadium to the tune of $185 million–including $55 million from the league because he couldn't meet some of his debt covenants.
As a result shown in Tables 4 and 5, in the case of the small (no) view angle difference, the accuracy of LB and MT is higher than that of Siamese since leveraging the inter-subject difference is more effective than mitigating the intra-subject difference due to view angle differences in such a case.
Since the leverage ratio ties the debt level to the levered firm value, the tax savings are subject to the same dynamics as the unlevered free cash flows (see, e.g., Arzac and Glosten 2005).
Since high leverage increases systemic risk, subsidizing debt funding and leverage is paradoxical and distortive.
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CEO of Professional Science Editing for Scientists @ prosciediting.com