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

Data-center titans buy huge amounts of memory at higher prices, robbing Apple of its leverage.

From The Wall Street Journal ● Jul. 25, 2026

Though it went against all my anti-elitist beliefs, I did try to leverage my L.A. privilege and see “The Odyssey” as Christopher Nolan intended — in Imax 70mm.

From Los Angeles Times ● Jul. 24, 2026

Even in an ever-changing wireless market, Osvaldik underscored that the company’s philosophy toward its capital-allocation framework — which the company noted in February involves a 2.5x leverage target — will remain consistent.

From MarketWatch ● Jul. 23, 2026

The decisive question is how long Iran's leaders can preserve Hormuz as leverage without provoking an all-out war, renewed unrest or the construction of alternative routes that make the strait matter less.

From BBC ● Jul. 21, 2026

Whether it was Luke’s unchecked momentum, or Ricky’s diminutive stature, Luke lost leverage almost immediately.

From "We'll Fly Away" by Bryan Bliss

Trading options, as I told him, are highly speculative, highly volatile and highly leveraged.

From MarketWatch ● Jul. 25, 2026

South Korea is accelerating the implementation of a higher minimum cash deposit requirement for investing in leveraged exchange-traded funds, as authorities intensify efforts to curb extreme volatility in the world’s best-performing stock market this year.

From The Wall Street Journal ● Jul. 24, 2026

Since the launch of single-stock leveraged ETFs on May 27, Korean individual investors have poured about $9.45 billion into the products, often tracking chip makers.

From The Wall Street Journal ● Jul. 22, 2026

A South Korean NGO, Economic Democracy 21, said the government failed to protect individual investors when introducing the leveraged ETFs.

From Barron's ● Jul. 21, 2026

The social disruption caused by the collapse of the savings and loan industry and the rise of hostile takeovers and leveraged buyouts had given way to a brief period of recriminations.

From "The Big Short" by Michael Lewis

He said GenAI workflows have now been used on roughly 300 Netflix titles, mostly in post-production, adding: "We're leveraging GenAI for really complicated shots and sequences."

From Barron's ● Jul. 22, 2026

“We aim to stay ahead by executing against our three areas of focus: delivering more entertainment value, leveraging technology to improve every aspect of our service, and improving monetization.”

From Los Angeles Times ● Jul. 16, 2026

They’re asking the FTC and DOJ to investigate whether Netflix is leveraging its position in the subscription video-streaming market in ways that harm competition, creators and consumers.

From MarketWatch ● Jul. 14, 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

It made sense, Gus leveraging his terminality to make my dream come true: The sequel was a tiny thing to die for, but it was the biggest thing left at his disposal.

From "The Fault in Our Stars" by John Green

Related Words

• advantage
• bargaining chip
• clout
• weight