What is the gearing ratio?
Gearing is the ratio of a REIT's debt to its total property value, also known as aggregated leverage. It is a metric that investors use to assess a company's financial leverage.
High and low gearing ratio
An optimal gearing ratio is primarily determined by the individual company relative to other companies within the same industry. However, you can refer to the basic guidelines for good and bad gearing ratios:
- A gearing ratio hi...