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Investments glossary

Total Debt-to-Capitalization Ratio Definition


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Quotes of the day:

A lot of other countries have central government systems that buy drugs for other people. That can reduce the fluctuations.

— Aaron Kesselheim

The total debt-to-capitalization ratio is a tool that measures the total amount of outstanding company debt as a percentage of the firm’s total capitalization. The ratio is an indicator of the company’s leverage, which is debt used to purchase assets.


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