leverage

what is operating leverage

In the physical sense, leverage is an assisted advantage. As a verb, to leverage means to gain an advantage through the use of a tool. For example, you can more easily lift a heavy object with a lever than you can lift it unaided. Leverage is commonly used in a metaphorical sense. For example, as a frequently used business or marketing term, leverage is any strategic or tactical advantage, and as a verb, means to exploit such an advantage, just as the use of a physical lever gives one an advantage in the physical sense.

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Source: whatis.techtarget.com

Category: Forex

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