Leverage is an investment technique that involves leveraging borrowed money—specifically, various financial instruments or borrowed capital—to boost an investment’s potential return on Forex trading, Stocks and others.
The amount of debt a company utilises to finance assets is often referred to as leverage.
The use of debt (borrowed cash) to boost the returns on an investment (On Forex Market, Stocks, and other investments) or project is known as leverage. Leverage allows investors to increase their purchasing power in the market.
Instead of issuing shares to raise capital, corporations might use debt to invest in business operations in an attempt to create shareholder value.