negative gearing

is when an investment is purchased with the assistance of borrowed funds and where the income from that investment (after the deduction of expenses) is less than the interest commitment in the course of a year

Financial and business terms. 2012.

Look at other dictionaries:

  • Negative gearing — is a form of leveraged speculation in which a speculator borrows money to buy an asset, but the income generated by that asset does not cover the interest on the loan (Interest > Income). In a few countries the strategy is motivated by… …   Wikipedia

  • Negative Gearing — Borrowing money to buy an investment asset without receiving enough income from the investment to cover the interest expenses and other costs inolved in maintaining it. Depending on the investor s home country, the shortfall between income earned …   Investment dictionary

  • negative gearing — /nɛgətɪv ˈgɪərɪŋ/ (say neguhtiv gearring) noun a financial situation where an investor borrows against an investment or portfolio of investments, and the loan interest payments exceed the investor s income from the investment, resulting in a… …   Australian English dictionary

  • negative gearing — Fin the practice of borrowing money to invest in property or shares and claiming a tax deduction on the difference between the income and the interest repayments …   The ultimate business dictionary

  • Negative gearing (Australia) — Negative gearing is a form of financial leverage where an investor borrows money to buy an asset, but the income generated by that asset does not cover the interest on the loan. The investor must fund the shortfall until the asset is sold, at… …   Wikipedia

  • Mark Latham — Opposition Leader of Australia Elections: 2004 In office 2 December 2003 – 18 January 2005 Preceded by Simon Crean Succ …   Wikipedia

  • Robert Kiyosaki — Infobox Person name = Robert Kiyosaki 200px image size = 336 x 283 caption = birth date = birth date and age|1947|4|8 birth place = Hilo, Hawaii death date = death place = occupation = Investor, Entrepreneur, Author, Motivational speaker networth …   Wikipedia

  • Passive income — is a rent received on a regular basis, with little effort required to maintain it. It is advocated by some authors, especially by Robert Kiyosaki.Some examples of passive income are: * Repeated regular income, earned by a sales person, generated… …   Wikipedia

  • Capital structure — Gearing ratio redirects here. For the mechanical concept, see gear ratio. Finance Financial markets …   Wikipedia

  • Oncostatin M — PDB rendering based on 1evs …   Wikipedia

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”

We are using cookies for the best presentation of our site. Continuing to use this site, you agree with this.