gearing

Definition

The ratio of a company's long-term funds with fixed interest to its total capital. A high gearing is generally considered very speculative.

Use gearing in a sentence

You should always be gearing your product up before the release so that it is ready to get out and be sold.

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The company's high gearing with their investment strategy made their shareholders uneasy and made everyone begin to wonder if they were up to something.

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Since they had such a high gearing ratio, the management had decided that the rates would increase in the future, and they were better to hold these lesser interest rate debt.

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gear leverage