Meaning HOMEMADE LEVERAGE: Idea that as long as individuals borrow (or lend) on the same terms as the firm, they can duplicate the effects of corporate leverage on their own. Thus, if levered firms are priced too high, rational investors will simply borrow on personal accounts to buy shares in unlevered firms
More terms such as Homemade leverage in Dictionary H.
- Definition Hart-Scott-Rodino Act:
- Examples arbitrage. Antitrust act administered by U.S. Department of Justice and the FTC that requires an investor to file a form with the government before he acquires an economic interest in the lesser homemade leverage definition.
- Definition Horizontal Merger:
- Examples A merger involving two or more firms in the same industry that are both at the same stage in the production cycle; that is, two or more competitors homemade leverage explain.
- Definition Homogeneity:
- Examples The degree to which items are similar homemade leverage what is.
- Definition Horizontal Price Movement:
- Examples Stock price movement within a narrow price range over an extended period of time which creates the appearance of a relatively straight line on a graph of the stock's price homemade leverage meaning.
- Definition Highjacking:
- Examples Japanese term for a takeover homemade leverage abbreviation.