noun
leverage
Influence or advantage used to achieve a result; originally mechanical advantage from a lever.
Where it comes from
Leverage ordinarily means influence or advantage used to achieve a result; originally mechanical advantage from a lever. Leverage was formed in English from lever plus -age. Lever came through Anglo-French levier from lever, to raise, ultimately from Latin levare, to raise or lighten, and levis, light in weight. Leverage first named the action or mechanical advantage of a lever: a small input can move a larger load.
How the meaning developed
That imbalance became a metaphor for strategic influence, then a financial term for using borrowed funds to control a larger investment and magnify both gains and losses.
Sources
Definitions adapted from Open English WordNet where applicable. License and attribution. Word-history text comes from Lexifour’s sourced social research; pages are assembled automatically, not individually fact-checked on every update.
Updated 2026-10-05. Report a correction.