Biography
Tim Nuding, CFA is the Chief Executive of Prosperity Capital Services LLP, a firm that provides research and consulting services for alternative investments. Tim is also the Founder of the Hedge Fund Research Club, sponsored by the CFA Society of the UK and CAIA London chapter. Tim formerly managed international asset management and investment banking businesses for Citibank and Dresdner Bank in the UK and Japan. He received his CFA charter in 2000 and is active in the CFA Society of the UK and the CFA Institute.
If we define financial leverage as the process of borrowing capital to make an investment with the expectation that the profits made from the investment will be greater than the interest on the debt, then what makes it good versus bad?