leverage

American  

[lev-er-ij, lee-ver-] / ˈlɛv ər ɪdʒ, ˈli vər- /

noun

1. the action of a lever, a rigid bar that pivots about one point and that is used to move an object at a second point by a force applied at a third.

2. the mechanical advantage or power gained by using a lever.

3. power or ability to act or to influence people, events, decisions, etc.; sway.

   Being the only industry in town gave the company considerable leverage in its union negotiations.

   Synonyms:

   pull, clout, weight, strength, advantage

4. the use of a small initial investment, credit, or borrowed funds to gain a very high return in relation to one's investment, to control a much larger investment, or to reduce one's own liability for any loss.

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verb (used with object)

leveraged, leveraging

1. to use (a quality or advantage) to obtain a desired effect or result.

   She was able to leverage her travel experience and her gift for languages to get a job as a translator.

2. to provide with leverage.

   The board of directors plans to leverage two failing branches of the company with an influx of cash.

3. to invest or arrange (invested funds) using leverage.

4. to exert power or influence on.

   It was Joe who leveraged her to change her habits.

leverage British  

/ ˈlɛv-, -vrɪdʒ, ˈliːvərɪdʒ /

noun

1. the action of a lever

2. the mechanical advantage gained by employing a lever

3. power to accomplish something; strategic advantage

4. the enhanced power available to a large company

   the supermarket chains have greater leverage than single-outlet enterprises

5. US word for gearing

6. the use made by a company of its limited assets to guarantee the substantial loans required to finance its business

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leverage Cultural  

1. The amount in which a purchase is paid for in borrowed money. The greater the leverage, the greater the possible gain or potential loss.

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Other Word Forms

• nonleveraged
  adjective
• unleveraged
  adjective

Etymology

Origin of leverage

First recorded in 1715–25; lever + -age

Explanation

If you have leverage, you hold the advantage in a situation or the stronger position in a contest, physical or otherwise. The lever is a tool for getting more work done with less physical force. With the right leverage, you might be able to lift a heavy box. This refers to non-physical situations too: the power to move or influence others is also leverage. Since your boss has the power to fire you, that's a lot of leverage to get you to do what he wants. If your friend owes you a favor, you have leverage to get a favor of your own.

Example Sentences

See Examples For:

leverage leveraged leveraging

Although the asset class has generally cut its gross positioning and reduced its leverage, Goldman finds that exposure is still elevated relative to longer histories.

From MarketWatch ● Aug. 21, 2026

Last year, the FCC sought information on whether the major networks had gained too much leverage over local stations and whether affiliation agreements were undermining stations’ control over programming and operations.

From The Wall Street Journal ● Aug. 21, 2026

The company expects to use about $600 million of the proceeds to repay debt, helping it reach its target of reducing net leverage below 2.0 times by Sept. 30, 2027.

From The Wall Street Journal ● Aug. 20, 2026

Some reports claim Togolese President Faure Gnassingbé wants him returned and that the French nationals could be used as leverage.

From BBC ● Aug. 20, 2026

He used the bed to leverage himself off the floor and shuffled to the window.

From "Bone Gap" by Laura Ruby

The family patriarch leveraged Hollywood glamour with entertainment spectacle to elevate the team into an internationally recognized brand.

From Los Angeles Times ● Aug. 17, 2026

Castro promoted guerrilla movements throughout Latin America and leveraged his alliance with the Soviet Union to send tens of thousands of Cuban soldiers into Africa.

From The Wall Street Journal ● Aug. 13, 2026

Its business has also gotten a big lift from the explosion in retail options trading and the public’s embrace of leveraged and options income funds.

From The Wall Street Journal ● Aug. 6, 2026

Rubner added that leveraged exchange-traded-fund assets have declined more than $60 billion from a June peak, “removing one of the largest sources of incremental leverage that had fueled the first-half rally.”

From MarketWatch ● Aug. 4, 2026

In the wake of Hadiya’s death, Tina had leveraged her local contacts, encouraging Chicago business leaders and philanthropists to work with Mayor Rahm Emanuel to expand community programs for at-risk youth across the city.

From "Becoming" by Michelle Obama

But Ellison isn’t saving the entertainment industry, he’s leveraging it.

From Los Angeles Times ● Aug. 13, 2026

"In short, Samsung is leveraging its strong position in memory to aggressively capture share across most of its business units."

From Barron's ● Jul. 30, 2026

Tolo and Johnson are skilled at capturing the public’s attention and leveraging it for business opportunities.

From The Wall Street Journal ● Jul. 13, 2026

"However, I believe I can now be a more positive influence leveraging new roles and opportunities that allow me to fight for Para-sport, and the coverage that it deserves."

From BBC ● Jul. 8, 2026

Steve Eisman was odd in his conviction that the leveraging of middle-class America was a corrupt and corrupting event, and that the subprime mortgage market in particular was an engine of exploitation and, ultimately, destruction.

From "The Big Short" by Michael Lewis

Related Words

• advantage
• bargaining chip
• clout
• weight