kth.sePublications KTH
System disruptions
There are recurring service disruptions on some of the search portals due to high traffic. We are working to resolve the issue, you may temporarily encounter an error message.
Change search
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf
Decomposing Industry Leverage: the Special Cases of Real Estate Investment Trusts and Technology & Hardware Companies
KTH, School of Architecture and the Built Environment (ABE), Real Estate and Construction Management, Real Estate Economics and Finance.ORCID iD: 0000-0002-3384-7166
Number of Authors: 3 (English)Manuscript (preprint) (Other academic)
Abstract [en]

Different industries exhibit significantly different leverage – companies in the REIT and technology/hardware sectors are extreme examples. The leverage ratio is twice as high with 50% for REITs as for non-real estate firms with around 25% in the U.S.; whereas the technology/hardware sector has the lowest ratio with around 17%. We theoretically and em­pirically analyse their differences. By decomposing the difference into three channels, we find that the industry-specific channel explains around 67% for REITs and 68% for technology/hard­ware firms; the value-based channel is mostly responsible for the remaining part. When taking non-linear influences of extreme values into account, the relevance of the industry-specific channel is considerably reduced.

Keywords [en]
capital structure; leverage ratio; real estate investment trust (REIT); technology, hardware, software, and equipment firms; coefficient-based difference; value-based difference; intercept-based difference decomposition model
National Category
Economics and Business
Identifiers
URN: urn:nbn:se:kth:diva-326027OAI: oai:DiVA.org:kth-326027DiVA, id: diva2:1752434
Available from: 2023-04-21 Created: 2023-04-21 Last updated: 2023-04-21Bibliographically approved

Open Access in DiVA

fulltext(3407 kB)586 downloads
File information
File name FULLTEXT01.pdfFile size 3407 kBChecksum SHA-512
ffef4adb3b2b2e06eb82cdf8823bf8934cc44377e6a024548073c81913e938803d12f06a6fa2e84ebba8e242f2df963a6a8625b47b7e5b4a01114fd2765f92fa
Type fulltextMimetype application/pdf

Authority records

Steininger, Bertram I.

Search in DiVA

By author/editor
Steininger, Bertram I.
By organisation
Real Estate Economics and Finance
Economics and Business

Search outside of DiVA

GoogleGoogle Scholar
Total: 588 downloads
The number of downloads is the sum of all downloads of full texts. It may include eg previous versions that are now no longer available

urn-nbn

Altmetric score

urn-nbn
Total: 776 hits
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf